Out with Old and In with New – Or, In with Old and In with New?!
There is a little controversy as to whether the old/current HMDA lobby notice needs to remain posted, along with the new notice requirement beginning January 1, 2018. Why the confusion? The requirement to make HMDA data available covers numerous years and the data will be available online beginning with 2017 data. For several years, you will have data prior to 2017 available from/at the bank, and 2017 data and beyond, available on the CFPB website, until it has been around long enough for all required data to be available online at the CFPB. So, do you need one notice directing the customer where to obtain data prior to 2017 and another notice directing the customer to the CFPB website for 2017 data and beyond?
It is our position that beginning January 1, 2018, banks are subject only to the new rules. They are not subject to the old rules anymore. Therefore, only the new notice requirement applies. §1003.5(e) indicates a lobby notice must be posted and gives the language. If the CFPB wanted both notices, this would have been specified, or they would have listed it as a transition rule. We don’t believe an examiner can cite you for a regulation that no longer exists and has been replaced.