TRID’s impact is here to stay, no matter what
Remember, in 2015, when we all joked that TRID stood for “The Reason I Drink” in the real estate industry?
Well it has been nearly two and a half years, and now TRID’s Closing Disclosure and Loan Estimate forms seem like any another part of the closing process. New automation technology (like what is offered by Easysoft Legal Software) helped closing agents and real estate attorneys deal with the changeover, but all that time and preparation doesn’t mean there aren’t still questions about how the TRID changes apply.
In fact, just this month two U.S. Senators introduced the “The TRID Improvement Act.” The proposal, which was supported by ALTA and others, addresses concerns from the title agency that the current rules do not allow title insurance companies to disclose available discounts for title insurance, meaning that the price shown on the TRID forms was much more than what a customer would actually pay. We know that part doesn’t apply to everyone that Easysoft Legal Software serves, but at the very least it shows that lawmakers and stakeholders are still very interested in the subject.
Federal lawmakers have also debated rolling back Dodd-Frank rules – and at least some changes to that massive overhaul appear to be coming. A proposal repealing the regulations passed the House but died in the Senate. However, the latter chamber has passed a proposal that, if signed into law, would loosen some of the rules enacted by the 2010 law. Now lawmakers will try to find middle ground that both chambers will support. It is anything from a done deal though, because in the Senate, Republicans will need to keep the support of the Democrats who supported the plan there, while convincing their colleagues in the House that the final proposal goes far enough.
President Donald Trump, if you remember, has vowed to repeal Dodd-Frank, so if both the House and Senate come to an agreement on the issue, we assume it would be signed into law. Of course, Dodd-Frank is the reason we have TRID. It created the Consumer Financial Protection Bureau known as CFPB, which is the agency overseeing TRID, so it will be interesting to see the effect that any rollback has on both the overhaul and the CFPB.
No matter what lawmakers decide, we think the changes brought forth by TRID are here to stay. Yes, before Oct. 3, 2015, there was a lot of angst and uncertainty about how the industry, especially smaller outfits and real estate attorneys, would cope. We’re also not going to act like the days – and months – after TRID were completely smooth either, but now the changes seem like just part of the job. We’ve done a good job at becoming more customer-facing as an industry with marketing efforts and better websites and the idea of consumers being able to shop around is no longer greeted with fear, but instead as an opportunity to find more customers.
There has also been a race to accountability (Think about the embrace of ALTA’s Best Practices) that we admit has had an overall positive effect. Whether you’re a big firm, a small outfit, or a solo real estate attorney, customers expect you to show how you are going to be helpful and ethical.
Plus, there was a lot of money and time devoted to the TRID changes, so the closing industry should at least keep that good parts that came out of it, regardless what is done in Washington. Learn more about our Easysoft Legal Software TRID resources by clicking here.