Ability to Repay and Qualified Mortgage Policy
Updated 05/06/2026
This policy summarizes the requirements of the ATR/QM rules. Institutions are encouraged to review and modify as needed, based on their size, complexity, and scope.
Rule: 12 CFR Part 1026 – Truth in Lending (Regulation Z)
Keywords: Truth in Lending, Regulation Z, TILA, ATR, QM, Mortgage
5/6/2026 –
- Removed references to 43% DTI and Appendix Q.
- Revised QM section “Other Agencies” (1026.43(e)(4)) to reflect current regulation.
- Removed General QM Amendments Effective March 1, 2021, section due to no longer being valid.
- Removed QM Temporary Small Creditor Rule section due to no longer being valid.
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