Credit Unions are required to provide a list of homeownership counseling organizations to members applying for a mortgage loan within three business days after application.

If the loans your credit union is offering members are closed end, dwelling secured loans that permit negative amortization and the member is a first time borrower they must receive the counseling notice and counseling.

If the member is receiving a high-cost mortgage loan the credit union must provide the counseling notification and receive written notification that the member has received homeownership counseling.

“Housing counseling agencies approved by the U.S. Department of Housing and Urban Development (HUD) can offer independent advice about whether a particular set of mortgage loan terms is a good fit based on your objectives and circumstances, often at little or no cost. If you are interested in contacting a HUD-approved housing counseling agency in your area, you can visit the Consumer Financial Protection Bureau’s (CFPB) website, and enter your zip code. You can also access HUD’s housing counseling agency website via For additional assistance with locating a housing counseling agency, call the CFPB at CFPB (2372).”

The credit union is required to provide a list of ten HUD approved counseling agencies using the member’s zip code to generate counselors closest to the member. The disclosure should include: Agency namePhone number AddressWebsite addressLanguages Spoken Counseling services provided, and…

“The counseling agencies on this list are approved by the U.S. Department of Housing and Urban Development (HUD), and they can offer independent advice about whether a particular set of mortgage loan terms is a good fit based on your objectives and circumstances, often at little or no cost to you. This list shows you several approved agencies in your area. You can find other approved counseling agencies at the Consumer Financial Protection Bureau’s (CFPB) website; or by calling at CFPB (2372). You can also access a list of nationwide HUD-approved counseling intermediaries at

The CFPB suggests that the counseling be completed in two stages: In the first stage, the member would obtain counseling after receiving the initial good-faith estimate, or the high-cost mortgage disclosures. In the second stage, the consumer has a second contact with the counselor, so the counselor can verify receipt of all the additional required disclosures prior to issuing certification.

The HOEPA Rule does allow the counseling to be provided by phone; however, self-study programs do not satisfy the regulatory requirements.

Thank you for joining me for this review of the HOEPA Counseling Requirements Stay Tuned… Shawn Wolbert, CIA, CUCE Director CU System Relations 101 S. Washington Square, Suite 900 Lansing, MI (800) Ext. 486 (734) Mobile Follow me on Twitter – Shawn Go2CUGuru