Which regulation governs what

• Six regulations do almost all the work on this exam, and each answers a different question. Learn the question each one answers and most items resolve themselves before you read the options.
• Regulation X implements RESPA and governs settlement services: who may be paid for what, and how a loan is serviced after it closes. If the fact pattern involves a referral, a fee split, an escrow account or a servicer, start here.
• Regulation Z implements TILA and governs the cost of credit: the finance charge, the annual percentage rate, the disclosures, rescission, ability to repay, originator compensation and advertising. It is the largest single body of material in the syllabus.
• Regulation B implements ECOA and governs fairness: who may be asked what, what may be considered, and what must be told to an applicant who is turned down.
• Regulation C implements HMDA and governs reporting. Regulation P implements the Gramm-Leach-Bliley privacy provisions and governs sharing consumer financial information. Regulation V implements the FCRA and governs consumer report information.
• The FinCEN rules in 31 CFR part 1029 sit outside that scheme and govern anti-money laundering programmes and suspicious activity reports for loan or finance companies.
• A single fact pattern often engages two of them. An originator who accepts a fee for steering business to a title company has a RESPA problem and a licensing fitness problem. Reading the question for which regulation is being tested is half the work.

12 CFR 1024.112 CFR 1026.112 CFR 1002.1