Are There Any Exceptions to the Periodic Statement Rule?

Updated 24 days ago (March 6, 2026)

Yes. The general rule is that the Periodic Statement Rule applies to any closed-end mortgage secured by a dwelling. A "closed-end" mortgage refers to loans where the principal is the only amount you are allowed to borrow against your property, meaning you cannot renegotiate the mortgage, refinance your mortgage, take out a second mortgage or take out a home-equity loan without permission from your lender. The term "secured by a dwelling" refers to loans secured by real estate.

The Periodic Statement Rule does not apply to:

  • Open-end loans or lines of credit

  • Home-equity lines of credit (HELOCs)

  • Reverse mortgages

  • Timeshare loans

  • Loans serviced by small servicers

  • Loans while the borrower is a debtor in bankruptcy, in certain circumstances

  • Loans that have been charged-off, that is, whenever the lender declares your loan is unlikely to be collected, in certain circumstances

Financial Disclaimer: Tellus provides this content for informational purposes only. This is not financial advice. Financial returns and mortgage terms vary based on individual circumstances and market conditions. Consult a qualified financial advisor before making financial or borrowing decisions.