Agency Information Collection Activities: Proposed Collection Renewal; Comment Request

Citation84 FR 33943
Record Number2019-15035
Published date16 July 2019
SectionNotices
CourtFederal Deposit Insurance Corporation
Federal Register, Volume 84 Issue 136 (Tuesday, July 16, 2019)
[Federal Register Volume 84, Number 136 (Tuesday, July 16, 2019)]
                [Notices]
                [Pages 33943-33944]
                From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
                [FR Doc No: 2019-15035]
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                FEDERAL DEPOSIT INSURANCE CORPORATION
                [OMB No. 3064-0188]
                Agency Information Collection Activities: Proposed Collection
                Renewal; Comment Request
                AGENCY: Federal Deposit Insurance Corporation (FDIC).
                ACTION: Notice and request for comment.
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                SUMMARY: The FDIC, as part of its obligations under the Paperwork
                Reduction Act of 1995 (PRA), invites the general public and other
                Federal agencies to take this opportunity to comment on the renewal of
                the existing information collection described below (3064-0188).
                DATES: Comments must be submitted on or before September 16, 2019.
                ADDRESSES: Interested parties are invited to submit written comments to
                the FDIC by any of the following methods:
                 https://www.FDIC.gov/regulations/laws/federal.
                 Email: [email protected]. Include the name and number of
                the collection in the subject line of the message.
                 Mail: Jennifer Jones (202-898-6768), Counsel, MB-3105,
                Federal Deposit Insurance Corporation, 550 17th Street NW, Washington,
                DC 20429.
                 Hand Delivery: Comments may be hand-delivered to the guard
                station at the rear of the 17th Street Building (located on F Street),
                on business days between 7:00 a.m. and 5:00 p.m.
                 All comments should refer to the relevant OMB control number. A
                copy of the comments may also be submitted to the OMB desk officer for
                the FDIC: Office of Information and Regulatory Affairs, Office of
                Management and Budget, New Executive Office Building, Washington, DC
                20503.
                FOR FURTHER INFORMATION CONTACT: Jennifer Jones, Counsel, 202-898-6768,
                [email protected], MB-3105, Federal Deposit Insurance Corporation, 550
                17th Street NW, Washington, DC 20429.
                SUPPLEMENTARY INFORMATION: Proposal to renew the following currently
                approved collection of information:
                 1. Title: Appraisal for Higher-Priced Mortgage Loans.
                 OMB Number: 3064-0188.
                 Form Number: None.
                 Affected Public: Insured state nonmember banks and state savings
                associations.
                 Burden Estimate:
                 Summary of Annual Burden and Internal Cost
                --------------------------------------------------------------------------------------------------------------------------------------------------------
                 Total
                 Estimated Estimated Estimated annual
                 Information collection (IC) Type of burden Obligation to number of frequency of time per Frequency of estimated
                 description respond respondents responses response response burden
                 (hours) (hours)
                --------------------------------------------------------------------------------------------------------------------------------------------------------
                Review and Provide Copy of Full Third Party Mandatory.......... 1,300 13 0.13662 On Occasion........ 2,309
                 Interior Appraisal. Disclosure.
                Investigate and Verify Recordkeeping...... Mandatory.......... 1,300 8 0.13662 On Occasion........ 1,421
                 Requirement for Second
                 Appraisal.
                Conduct and Provide Second Third Party Mandatory.......... 1,300 1 0.13662 On Occasion........ 178
                 Appraisal. Disclosure.
                rrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrr
                 Total Hourly Burden........ ................... ................... .............. .............. ........... ................... 3,908
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                 General Description of Collection: Section 1471 of the Dodd-Frank
                Act established a new Truth in Lending section 129H, which contains
                appraisal requirements applicable to higher-risk mortgages and
                prohibits a creditor from extending credit in the form of a higher-risk
                mortgage loan to any consumer without meeting those requirements. A
                higher-risk mortgage is defined as a residential mortgage loan secured
                by a principal dwelling with an annual percentage rate that exceeds the
                average prime offer rate for a comparable transaction as of the date
                the interest rate is set by certain enumerated percentage point
                spreads.
                 To implement this statutory requirement, a final rule was
                promulgated to amend 12 CFR part 1026, Regulation Z by the Bureau of
                Consumer Financial Protection, the Board of Governors of the Federal
                Reserve, the FDIC, the Federal Housing Finance Authority, the National
                Credit Union Association, and the Office of the Comptroller of the
                Currency.
                 In particular, the rule requires that, within three days of
                application, a creditor provide a disclosure that informs consumers
                regarding the purpose of the appraisal, that the creditor will provide
                the consumer a copy of any appraisal, and that the consumer may choose
                to have a separate appraisal conducted at the expense of the consumer.
                If a loan meets the definition of a higher-risk mortgage loan, then the
                creditor would be required to obtain a written appraisal prepared by a
                certified or licensed
                [[Page 33944]]
                appraiser who conducts a physical visit of the interior of the property
                that will secure the transaction, and send a copy of the written
                appraisal to the consumer. To qualify for the safe harbor provided
                under the rule, a creditor is required to review the written appraisal
                as specified in the text of the rule and appendix A. If a loan is
                classified as a higher-risk mortgage loan that will finance the
                acquisition of the property to be mortgaged, and the property was
                acquired within the previous 180 days by the seller at a price that was
                lower than the current sale price, then the creditor is required to
                obtain an additional appraisal. A creditor is required to provide the
                consumer a copy of the appraisal reports performed in connection with
                the loan, without charge, at least days prior to consummation of the
                loan.
                 There is no change in the method or substance of the collection.
                The overall reduction in burden hours is the result of economic
                fluctuation. In particular, the number of respondents has decreased
                while the hours per response and frequency of responses have remained
                the same.
                Request for Comment
                 Comments are invited on: (a) Whether the collection of information
                is necessary for the proper performance of the FDIC's functions,
                including whether the information has practical utility; (b) the
                accuracy of the estimates of the burden of the information collection,
                including the validity of the methodology and assumptions used; (c)
                ways to enhance the quality, utility, and clarity of the information to
                be collected; and (d) ways to minimize the burden of the collection of
                information on respondents, including through the use of automated
                collection techniques or other forms of information technology. All
                comments will become a matter of public record.
                 Dated at Washington, DC, on July 11, 2019.
                Federal Deposit Insurance Corporation.
                Robert E. Feldman,
                Executive Secretary.
                [FR Doc. 2019-15035 Filed 7-15-19; 8:45 am]
                 BILLING CODE 6714-01-P
                

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