The national trade group estimated that more than 700 credit unions would be exempt from TRID under the definition provided in the CFPB's September 2014 version of the TILA-RESPA Small Entity Compliance Guide.

That guide stated, “consistent with the current rules under TILA, the rule also does not apply to loans made by a person or entity that makes five or fewer mortgages in a calendar year and thus is not a creditor.”

However, CUNA said it discovered that the Small Entity Compliance Guide, which was updated this month, now reads: “Consistent with the current rules under TILA, the rule also does not apply to loans made by a person or entity that is not a creditor.”

CUNA is urging the CFPB to address these concerns and confirm that creditors making five or fewer mortgages per year are exempt from the TILA-RESPA rule.

“At its core, this is an issue of transparency,” Jim Nussle, president/CEO for CUNA, said in a prepared statement.

“The CFPB made a change to the Small Entity Compliance Guide that will affect over 700 credit unions and numerous other financial institutions but did not highlight, publicize or explain this change. Although listed as a 'miscellaneous administrative change' by the bureau, the new rule is a substantial change that may deal a striking blow to anyone making five or fewer mortgages in a calendar year.”

In response, NAFCU downplayed the clarification's potential to provide regulatory relief for credit unions.

“NAFCU does not believe that the minor technical change to the scope section of the CFPB's TILA-RESPA Small Entity Compliance Guide will impact the applicability of TRID compliance to small credit unions, given the clarity in the rule text and official commentary,” Director of Regulatory Affairs Alicia Nealon said.

“NAFCU continues to urge the bureau to publicize clearer guidance, correct commentary where necessary and creates tools like FAQs and legal opinion letters to assist credit unions' compliance efforts.”