source:
  type: regulation
  id: reg-z-1026.39
  authority: 12 CFR §1026.39 — Mortgage transfer disclosures (Regulation Z)
  description: 12 CFR §1026.39 — Mortgage transfer disclosures.
  coverage_tier: operative
obligations:
- id: reg-z-1026.39-full
  canonical_id: reg-z-1026.39-full
  section: 12 CFR §1026.39 — Mortgage transfer disclosures
  type: do
  tags:
  - regulator-direct
  - tila
  - corpus-expansion
  - tier-operative
  primary_source:
    tier: 1
    authority: 12 CFR §1026.39 — Mortgage transfer disclosures
    source_class: cfpb-regulation
    source_url: https://www.law.cornell.edu/cfr/text/12/1026.39
    snapshot_id: 7d5c344370abdfd8
    fetched_at: '2026-06-17T18:31:37Z'
    content_hash: sha256:578dac5bd8c1be86762f0fec080a54f6636c992e472a7461a5b7aa8258e5703e
    paragraph_quote: '§ 1026.39 Mortgage transfer disclosures. (a) Scope. The disclosure
      requirements of this section apply to any covered person except as otherwise
      provided in this section. For purposes of this section: (1) A “ covered person”
      means any person , as defined in § 1026.2(a)(22) , that becomes the owner of
      an existing mortgage loan by acquiring legal title to the debt obligation ,
      whether through a purchase , assignment or other transfer, and who acquires
      more than one mortgage loan in any twelve-month period. For purposes of this
      section, a servicer of a mortgage loan shall not be treated as the owner of
      the obligation if the servicer holds title to the loan, or title is assigned
      to the servicer, solely for the administrative convenience of the servicer in
      servicing the obligation . (2) A “ mortgage loan” means: (i) An open-end consumer
      credit transaction that is secured by the principal dwelling of a consumer ;
      and (ii) A closed-end consumer credit transaction secured by a dwelling or real
      property. (b) Disclosure required. Except as provided in paragraph (c) of this
      section, each covered person is subject to the requirements of this section
      and shall mail or deliver the disclosures required by this section to the consumer
      on or before the 30th calendar day following the date of transfer. (1) Form
      of disclosures. The disclosures required by this section shall be provided clearly
      and conspicuously in writing, in a form that the consumer may keep. The disclosures
      required by this section may be provided to the consumer in electronic form,
      subject to compliance with the consumer consent and other applicable provisions
      of the Electronic Signatures in Global and National Commerce Act (E-Sign Act)
      ( 15 U.S.C. 7001 et seq. ). (2) The date of transfer. For purposes of this section,
      the date of transfer to the covered person may, at the covered person ''s option,
      be either the date of acquisition recognized in the books and records of the
      acquiring party, or the date of transfer recognized in the books and records
      of the transferring party. (3) Multiple consumers. If more than one consumer
      is liable on the obligation , a covered person may mail or deliver the disclosures
      to any consumer who is primarily liable. (4) Multiple transfers. If a mortgage
      loan is acquired by a covered person and subsequently sold, assigned, or otherwise
      transferred to another covered person , a single disclosure may be provided
      on behalf of both covered persons if the disclosure satisfies the timing and
      content requirements applicable to each covered person . (5) Multiple covered
      persons. If an acquisition involves multiple covered persons who jointly acquire
      the loan, a single disclosure must be provided on behalf of all covered persons
      . (c) Exceptions. Notwithstanding paragraph (b) of this section, a covered person
      is not subject to the requirements of this section with respect to a particular
      mortgage loan if: (1) The covered person sells, or otherwise transfers or assigns
      legal title to the mortgage loan on or before the 30th calendar day following
      the date that the covered person acquired the mortgage loan which shall be the
      date of transfer recognized for purposes of paragraph (b)(2) of this section;
      (2) The mortgage loan is transferred to the covered person in connection with
      a repurchase agreement that obligates the transferor to repurchase the loan.
      However, if the transferor does not repurchase the loan, the covered person
      must provide the disclosures required by this section within 30 days after the
      date that the transaction is recognized as an acquisition on its books and records;
      or (3) The covered person acquires only a partial interest in the loan and the
      party authorized to receive the consumer ''s notice of the right to rescind
      and resolve issues concerning the consumer ''s payments on the loan does not
      change as a result of the transfer of the partial interest. (d) Content of required
      disclosures. The disclosures required by this section shall identify the mortgage
      loan that was sold, assigned or otherwise transferred, and state the following,
      except that the information required by paragraph (d)(5) of this section shall
      be stated only for a mortgage loan that is a closed-end consumer credit transaction
      secured by a dwelling or real property other than a reverse mortgage transaction
      subject to § 1026.33 of this part: (1) The name, address, and telephone number
      of the covered person . (i) If a single disclosure is provided on behalf of
      more than one covered person , the information required by this paragraph shall
      be provided for each of them unless paragraph (d)(1)(ii) of this section applies.
      (ii) If a single disclosure is provided on behalf of more than one covered person
      and one of them has been authorized in accordance with paragraph (d)(3) of this
      section to receive the consumer ''s notice of the right to rescind and resolve
      issues concerning the consumer ''s payments on the loan, the information required
      by paragraph (d)(1) of this section may be provided only for that covered person
      . (2) The date of transfer. (3) The name, address and telephone number of an
      agent or party authorized to receive notice of the right to rescind and resolve
      issues concerning the consumer ''s payments on the loan. However, no information
      is required to be provided under this paragraph if the consumer can use the
      information provided under paragraph (d)(1) of this section for these purposes.
      (4) Where transfer of ownership of the debt to the covered person is or may
      be recorded in public records , or, alternatively, that the transfer of ownership
      has not been recorded in public records at the time the disclosure is provided.
      (5) Partial payment policy. Under the subheading “Partial Payment”: (i) If periodic
      payments that are less than the full amount due are accepted, a statement that
      the covered person , using the term “lender,” may accept partial payments and
      apply such payments to the consumer ''s loan; (ii) If periodic payments that
      are less than the full amount due are accepted but not applied to a consumer
      ''s loan until the consumer pays the remainder of the full amount due, a statement
      that the covered person , using the term “lender,” may hold partial payments
      in a separate account until the consumer pays the remainder of the payment and
      then apply the full periodic payment to the consumer ''s loan; (iii) If periodic
      payments that are less than the full amount due are not accepted, a statement
      that the covered person , using the term “lender,” does not accept any partial
      payments; and (iv) A statement that, if the loan is sold, the new covered person
      , using the term “lender,” may have a different policy. (e) Optional disclosures.
      In addition to the information required to be disclosed under paragraph (d)
      of this section, a covered person may, at its option, provide any other information
      regarding the transaction. (f) Successor in interest. If, upon confirmation,
      a servicer provides a confirmed successor in interest who is not liable on the
      mortgage loan obligation with a written notice and acknowledgment form in accordance
      with Regulation X, § 1024.32(c)(1) of this chapter, the servicer is not required
      to provide to the confirmed successor in interest any written disclosure required
      by paragraph (b) of this section unless and until the confirmed successor in
      interest either assumes the mortgage loan obligation under State law or has
      provided the servicer an executed acknowledgment in accordance with Regulation
      X, § 1024.32(c)(1)(iv) of this chapter, that the confirmed successor in interest
      has not revoked. [ 76 FR 79772 , Dec. 22, 2011, as amended at 78 FR 80130 ,
      Dec. 31, 2013; 81 FR 72388 , Oct. 19, 2016]'
  judgment: false
