12 U.S.C. § 2603 | Uniform settlement statement

(a)

Disclosure for mortgage loan transactions

section 2604 of this title 15 U.S.C. 1601 1

1 See References in Text note below.

The Bureau shall publish a single, integrated disclosure for mortgage loan transactions (including real estate settlement cost statements) which includes the disclosure requirements of this section and , in conjunction with the disclosure requirements of the Truth in Lending Act [ et seq.] that, taken together, may apply to a transaction that is subject to both or either provisions of law. The purpose of such model disclosure shall be to facilitate compliance with the disclosure requirements of this chapter  and the Truth in Lending Act, and to aid the borrower or lessee in understanding the transaction by utilizing readily understandable language to simplify the technical nature of the disclosures. Such forms shall conspicuously and clearly itemize all charges imposed upon the borrower and all charges imposed upon the seller in connection with the settlement and shall indicate whether any title insurance premium included in such charges covers or insures the lender’s interest in the property, the borrower’s interest, or both. The Bureau may, by regulation, permit the deletion from the forms prescribed under this section of items which are not, under local laws or customs, applicable in any locality, except that such regulation shall require that the numerical code prescribed by the Bureau be retained in forms to be used in all localities. Nothing in this section may be construed to require that that part of the standard forms which relates to the borrower’s transaction be furnished to the seller, or to require that that part of the standard forms which relates to the seller be furnished to the borrower.

(b)

Availability for inspection; exceptions

The forms prescribed under this section shall be completed and made available for inspection by the borrower at or before settlement by the person conducting the settlement, except that (1) the Bureau may exempt from the requirements of this section settlements occurring in localities where the final settlement statement is not customarily provided at or before the date of settlement, or settlements where such requirements are impractical and (2) the borrower may, in accordance with regulations of the Bureau, waive his right to have the forms made available at such time. Upon the request of the borrower to inspect the forms prescribed under this section during the business day immediately preceding the day of settlement, the person who will conduct the settlement shall permit the borrower to inspect those items which are known to such person during such preceding day.

(c)

Disclosure of fees

section 3350(11) of this titleThe standard form described in subsection (a) may include, in the case of an appraisal coordinated by an appraisal management company (as such term is defined in ), a clear disclosure of—

(1)

the fee paid directly to the appraiser by such company; and

(2)

the administration fee charged by such company.

(d)

Disclosure for charitable mortgage loan transactions

section 501(c)(3) of title 26With respect to a mortgage loan transaction involving a residential mortgage loan offered at 0 percent interest with only bonafide and reasonable fees and that is primarily for charitable purposes, an organization described in and exempt from taxation under section 501(a) of such title may use forms HUD–1 and GFE (as defined under section 1024.2(b) of title 12, Code of Federal Regulations) together with a disclosure substantially in the form of the Loan Model Form H–2 (as depicted in Appendix H to part 1026 of title 12, Code of Federal Regulations), collectively, in lieu of the disclosure published under subsection (a) of this section.

Pub. L. 93–533, § 4Dec. 22, 197488 Stat. 1725 Pub. L. 94–205, § 3Jan. 2, 197689 Stat. 1157 Pub. L. 104–208, div. A, title II, § 2103(g)(1)Sept. 30, 1996110 Stat. 3009–401 Pub. L. 111–203, title X, § 1098(2)July 21, 2010124 Stat. 2103 Pub. L. 116–342, § 2(b)Jan. 13, 2021134 Stat. 5134(, , ; , , ; , , ; , title XIV, § 1475, , , 2200; , , .)

Editorial Notes

References in Text

Pub. L. 90–321May 29, 196882 Stat. 146 section 1601 of Title 15The Truth in Lending Act, referred to in subsec. (a), is title I of , , , which is classified generally to subchapter I (§ 1601 et seq.) of chapter 41 of Title 15, Commerce and Trade. For complete classification of this Act to the Code, see Short Title note set out under and Tables.

Pub. L. 93–533 Pub. L. 93–533This chapter, referred to in subsec. (a), was in the original “this title” and was translated as reading “this Act”, meaning , which is classified principally to this chapter, to reflect the probable intent of Congress, because does not contain titles.

Amendments

Pub. L. 116–3422021—Subsec. (d). added subsec. (d).

Pub. L. 111–203, § 1098(2)section 2604 of this title2010—Subsec. (a). , substituted “The Bureau shall publish a single, integrated disclosure for mortgage loan transactions (including real estate settlement cost statements) which includes the disclosure requirements of this section and , in conjunction with the disclosure requirements of the Truth in Lending Act that, taken together, may apply to a transaction that is subject to both or either provisions of law. The purpose of such model disclosure shall be to facilitate compliance with the disclosure requirements of this chapter and the Truth in Lending Act, and to aid the borrower or lessee in understanding the transaction by utilizing readily understandable language to simplify the technical nature of the disclosures.” for “The Secretary, in consultation with the Administrator of Veteran’s Affairs, the Federal Deposit Insurance Corporation, and the Director of the Office of Thrift Supervision, shall develop and prescribe a standard form for the statement of settlement costs which shall be used (with such variations as may be necessary to reflect differences in legal and administrative requirements or practices in different areas of the country) as the standard real estate settlement form in all transactions in the United States which involve federally related mortgage loans.”, “Such forms” for “Such form”, “Bureau may” for “Secretary may”, “the forms” for “the form”, and “prescribed by the Bureau” for “prescribed by the Secretary” and substituted “standard forms” for “standard form” in two places.

Pub. L. 111–203, § 1098(2)(B)Subsec. (b). , (C), substituted “forms” for “form” wherever appearing and “Bureau” for “Secretary” in two places.

Pub. L. 111–203, § 1475Subsec. (c). , added subsec. (c).

Pub. L. 104–2081996—Subsec. (a). substituted “Director of the Office of Thrift Supervision” for “Federal Home Loan Bank Board”.

Pub. L. 94–205, § 3(1)1976—Subsec. (a). –(3), designated existing provisions as subsec. (a), struck out “minimum” after “with such” and “unavoidable” after “necessary to reflect” in parenthetical provisions covering allowable regional variations in the uniform settlement statement, and substituted provisions authorizing the Secretary to permit deletions from the standard form for provisions requiring that the standard form contain all the information and data required under the Truth in Lending Act.

Pub. L. 94–205, § 3(4)Subsec. (b). , added subsec. (b).

Statutory Notes and Related Subsidiaries

Effective Date of 2021 Amendment

Pub. L. 116–342, § 2(c)Jan. 13, 2021134 Stat. 5135

section 1604 of Title 15Jan. 13, 2021“The amendments made by subsections (a) and (b) [amending this section and , Commerce and Trade] shall take effect on the date of the enactment of this Act [].”

, , , provided that:

Effective Date of 2010 Amendment

section 1098(2) of Pub. L. 111–203 section 1100H of Pub. L. 111–203 section 552a of Title 5Amendment by effective on the designated transfer date, see , set out as a note under , Government Organization and Employees.

section 1475 of Pub. L. 111–203 section 1400(c) of Pub. L. 111–203 section 1601 of Title 15Amendment by effective on the date on which final regulations implementing that amendment take effect, or on the date that is 18 months after the designated transfer date if such regulations have not been issued by that date, see , set out as a note under , Commerce and Trade.

Effective Date of 1976 Amendment

Pub. L. 94–205Jan. 2, 1976Jan. 2, 1976Pub. L. 94–205 section 12 of Pub. L. 94–205 section 2602 of this titleAmendment by effective , with the Secretary authorized to suspend for up to 180 days from , any provision of this section as amended by , see , set out as a note under .

Effective Date

Dec. 22, 1974section 20 of Pub. L. 93–533 section 2601 of this titleSection effective 180 days after , see , set out as a note under .