Federal Reserve Approves Interim Final Rule Requiring Notice be given to Consumers When their Mortgage Loan is Sold or Transferred

January 22, 2010

The Federal Reserve Board approved an interim final rule on November 16, 2009 to implement a recent statutory amendment requiring that notice be given to consumers when their mortgage loan has been sold or transferred. The new disclosure requirement became effective immediately upon enactment of the Helping Families Save Their Homes Act in May, 2009. Under that Act, a purchaser or assignee that acquires a mortgage loan must provide the required disclosures in writing within 30 days.