The Federal Reserve Board has moved--if belatedly--to clarify when third party fees in mortgage financings are not financings for purposes of Regulation Z.

In changes to the staff commentary on Truth-in-Lending published for comment Dec. 8, the agency said that third party charges paid by consumers are not finance charges if the creditor does not retain the charges or require the service.

Limited Time Offer

Save $400 off your subscription. Special offer ends April 30, 2017.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.