Ability to repay and qualified mortgages (ATR/QM)
Resources to help industry participants understand, implement, and comply with the Ability to Repay/Qualified Mortgage (ATR/QM) rule.
Featured topic
On February 23, 2022, the Bureau released a factsheet on the interest rate that is used for calculating prepaid interest under the price-based General QM APR calculation rule for certain ARMs and step-rate loans.
On April 27, 2021, the Bureau issued a final rule to extend the mandatory compliance date of the General QM Final Rule. The Bureau has also provided an executive summary and updated other compliance aids for the ATR/QM Rule, which can be found below.
Rules
Browse the ATR/QM rules to see specific amendments made by each final rule to Regulation Z.
Regulations and official interpretations
Browse Regulation Z (12 CFR1026) on: Interactive Bureau Regulations | eCFR
Main ATR/QM rule provisions and official interpretations can be found in:
- § 1026.43(a), Scope
- § 1026.43(b), Definitions
- § 1026.43(c), Ability to repay
- § 1026.43(d), Refinancing of non-standard mortgages
- § 1026.43(e), Qualified mortgage
- § 1026.43(f), Balloon-payment qualified mortgages made by certain creditors
- § 1026.43(g), Prepayment penalties
- Appendix Q to Part 1026—Standards for determining monthly debt and income
- Supplement I to Part 1026 (including official interpretations for the above provision)
Quick references
Executive summaries
Executive summary of the December 2020 amendments to the ATR/QM Rule
Executive summary of the October 2020 amendments
Other references
Unofficial redline of the Patch Extension Final Rule’s amendments to the ATR/QM Rule
Factsheet on prepaid interest and the General QM APR special rule for adjustable rate mortgages
Coverage charts
- Comparison of ATR requirements with QM origination requirements
- Small creditor qualified mortgages flowchart
- Eligibility for making qualified mortgages
- Transaction coverage and exemptions for the 2013 mortgage origination rules – Reference tool illustrating general coverage and exemptions of certain mortgage products.
Proposed rule changes and related materials
Summary of the August 2020 proposal to amend the ATR/QM Rule
Summary of June 2020 proposals to amend the ATR/QM Rule
Unofficial redline of the Patch Extension NPRM’s proposed changes to the ATR/QM Rule
Unofficial redline of the General QM NPRM’s proposed changes to the ATR/QM Rule
Stay informed
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Guides
Small entity compliance guide
Download the latest version , version 3.1
Supervision and examination materials
Guides to how the Bureau will supervise and examine entities under its jurisdiction for compliance with Federal consumer financial law.
See the mortgage origination examination procedures
See the mortgage rules readiness guide , version 4.0
Additional materials
- Statement on Mandatory Compliance Date of General QM Final Rule and Possible Reconsideration of General QM Final Rule and Seasoned QM Final Rule
- 2016 Rural-small interim final rule executive summary
- 2015 Amendments relating to small creditors and rural or underserved areas executive summary
- Factsheet for small creditors operating in rural or underserved areas
- Rural or underserved areas tool