If you currently have a mortgage, or have applied for one in the past, you know how difficult it can be to fully understand exactly what you’re signing up for. The Consumer Financial Protection Bureau has released redesigned forms that prospective borrowers will receive after applying for a loan, prior to closing on their home. These forms will be made available to folks at least 3 days prior to closing, and will be much more transparent than past forms.

According to the Seattle Times, the proposal aims to prevent costly surprises, and help consumers understand the actual cost of obtaining a loan. It also aims to protects consumers who’re taking out  pricier mortgages. Most of the changes that were made to these documents were required by Congress under the 2010 financial overhaul law, which aimed to protect Americans from unaffordable mortgage loans, and any hidden costs. For over 30 years, federal law has required two sets of disclosure documents to be filled out by lenders, who could become confused when explaining them to borrowers because the documents were very similar in verbage, but needed to be filled out by two separate agencies. CFPB has tried to bridge that gap with the redesign of these new documents; one will describe the mortgage, and one will outline the costs of closing the mortgage. For the full article, please visit the Seattle Times.