CFPB Escrow Requirements Become Effective June 1, 2013


(OnlineEd®) – The Consumer Financial Protection Bureau’s (“CFPB”) Escrow Requirements under the Truth in Lending Act rule will go into effect on June 1, 2013. The rule, known as Escrows Rule, requires certain creditors to create escrow accounts for a minimum of 5 years for higher-priced mortgage loans, but exempts higher-priced mortgage loans made by certain small creditors operating predominantly in rural or underserved counties. For purposes of the Escrows Rule, the CFPB defines rural counties by using the USDA Economic Research Service’s urban influence codes. Underserved counties are defined by data collected under the Home Mortgage Disclosure Act.

You can download a preliminary list based on the proposed revisions here.  A final list will be available before June 1, 2013.


If you have any questions about the list of counties or the new mortgage rules, please contact us at or (202) 435-7700.

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About Jeff Sorg

Jeff Sorg holds vocational and post-secondary school instructor licenses in several states and has authored numerous real estate continuing education and pre-licensing courses. Sorg is awarded the International Distance Education Certification Center's CDEi Designation for distance education. Memberships include ARELLO (Association of Real Estate License Law Officials), REEA (Real Estate Educators Association) the National Association of REALTORS®, Oregon Association of REALTORS®, and Portland Metro Association of REALTORS®. Awards and service include REALTOR® Emeritus; Life Member award; 2020, 2021, 2022 Chairperson of the Oregon Real Estate Forms Committee; Oregon REALTORS State Director. More on request.