April 28, 2021

In This Issue:

  • TLTA Legislative Update
  • TDI Quarterly Audit Results Published
  • Emails Claiming to Sell TLTA Membership Lists Are a Scam – Don’t Click or Reply
  • It’s Official: QM Rule Compliance Delayed Until October 2022

TLTA Legislative Update

TLTA | April 22, 2021

The House Business and Industry Committee met yesterday, April 27, and recommended SB 885, Sen. Hughes' Quitclaim Bill that TLTA is working to pass this session, for the House's local and consent calendar. Because the House committee passed the version of the bill approved by the Senate last week, no conference committee would be required if the House passed it on their local calendar without amendments.
The other bill we are working to pass this session, HB 3115 by Rep. Shine, the Homestead Certainty Bill, remains in the House Calendars Committee, and we are working with that committee's members to win approval of the bill's consideration on the House floor. 
For your reference, here's our Master Legislative Tracking List and Action Report, which was updated today, April 28. This report includes updates on the bills TLTA is trying to pass this session, updates regarding other bills on which TLTA's Board of Directors has taken positions, as well as a link to the larger list of more than 150 bills on which we are working this session. Click the image to access this helpful tool:
Only 33 days remain in the 87th Legislative Session, but special sessions are expected due to redistricting and other issues. 

Bills TLTA Is Trying to Pass

The bills TLTA is trying to pass during the 87th Legislative Session were approved by TLTA's Board of Directors  as recommended by our Legislative Committee , which is chaired by Steve Streiff. TLTA is seeking passage of two statutory changes that would improve real estate transactions:
In addition to the bills we are trying to pass listed above, you can review our broader Master Legislative Tracking List and Action Report, which includes other bills on which TLTA's Board has taken positions, as well as a link to a list of the more than 150 bills we are working this session. We have been actively addressing concerns and seeking improvements to these bills to avoid unintended consequences and preserve our daily functions as title agents and underwriters.

Questions about TLTA's legislative process and how you can get involved?

 The TLTA Legislative Committee, our Local Legislative Liaisons, our Grassroots Network and our PAC Board of Governors are all part of our team of engaged legislative advocates. Learn More About TLTA's Legislative Process and How You Can Get Involved »

TDI Quarterly Audit Results Published

TLTA | April 26, 2021
The following is a summary of recent TDI audits, violations and enforcement actions from December 2020 through February 2021. 
Read TDI's complete summary of operations for the quarter, or read the key statistics below.   
Compliance Audits: TDI's goal is to comprehensively audit agencies at least once every two years. This quarter, TDI conducted 53 audits.   
Commissioner Orders: This quarter, TDI signed 0 Commissioner Orders. As of this report, 42 cases remain active and under investigation.   
Compliance Audit Results: Below are TDI's most common audit findings for the quarter that ended in February. The numbers below represent how many agencies had an infraction, not the number of times the infraction occurred:
Number of Agencies
Texas Insurance Code
Actual receipts and/or disbursements not in agreement with settlement statement or premium split not disclosed
Escrow Accounting
Outstanding checks not cleared timely
Minimum Escrow Accounting Procedures and Internal Controls
#16 - Every disbursement not supported by invoice or sufficient other evidence
Procedural Rules
P-21: Schedule D of commitment not in file or premium split not disclosed on the commitment
Procedural Rules
P-73: Failure to prepare/maintain form T-64 (TD) when CD used

Review the Complete Quarterly Audit Report »
TLTA Editor's Note: Last month TLTA hosted a live webinar: Texas Title Agent Essentials for Avoiding Audit Disasters. If you missed the live presentation, you can watch it on-demand. Don't miss this timely and much-needed review for experienced title agents. It also provides a necessary, thorough introduction for new title agents.

Emails Claiming to Sell TLTA Membership Lists Are a Scam – Don’t Click or Reply

TLTA | April 26, 2021

Some TLTA members have reported receiving emails that claim to be selling TLTA contact lists (here’s an example):

These emails are a scam. Any links they contain should not be clicked, as they likely open the door to malicious software.
Additionally, these emails should not be replied to. TLTA does not sell members’ contact information, and any info third-parties claim to be TLTA-related is fraudulent.
If you are in the market for B2B marketing help, research vendors by first talking to other industry professionals. Responding to a cold call via email purporting to deliver something that seems too good to be true should be avoided.
As always, if you see something strange that claims to be associated with TLTA, please share it with us, and we’ll be happy to review and advise you regarding its validity.

It’s Official: QM Rule Compliance Delayed Until October 2022

HousingWire | April 27, 2021
The Consumer Financial Protection Bureau formally delayed the mandatory compliance date of the General Qualified Mortgage final rule – better known as the QM rule – from July 1, 2021 to October 1, 2022 on Tuesday. This follows the bureau’s notice of proposed rulemaking on the issue on March 4.

“So many consumers have been hit hard by the pandemic and the economic downturn, and we want to ensure that responsible, affordable mortgages remain available,” said CFPB Acting Director Dave Uejio. “As the mortgage market navigates an uncertain and challenging time, extending the date by which lenders must comply with the CFPB’s new General QM definition will help provide options and flexibility for both lenders and borrowers.”

The bureau just issued its final rulings on QM in December, establishing a pricing threshold that effectively replaced the debt-to-income limit of 43% with a price-based approach that gives lenders relief for loans capped at 150 basis points above the prime rate. Today’s action means that lenders have more time to offer QM loans based on the homeowners’ DTI, and more time to use the GSE Patch, which provides QM status to loans that are eligible for sale to Fannie Mae or Freddie Mac.
Read More »
Review CFPB's Press Release »
Read the Final Rule »
Read the Executive Summary of the Final Rule » 

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