Tag Archives: Consumer Financial Protection Bureau

The CFPB's mortgage servicing standards--including the Qualified Mortgage (QM) definition and the Ability-to-Repay rule--take effect in less than 90 days. Some bankers have indicated they might limit their offerings to only QM products as the transition is made, and many are concerned that as a result, their operations may run counter to the Equal Credit and Opportunity Act, implemented by the Federal Reserve's Regulation B. Those fears, however, are unfounded, regulators say.

One in five loans originated in today's mortgage market will not meet the requirements of the Consumer Financial Protection Bureau's (CFPB) Qualified Mortgage (QM) rule that goes into effect in January, according to an audit of new loans by ComplianceEase. Of the 20 percent of loans that would not qualify, ComplianceEase determined fee levels would be the disqualifier for about half. The QM rule allows for points and fees of up to 3 percent.

The Consumer Financial Protection Bureau (CFPB) released a bulletin and interim final rule Tuesday to provide greater clarity to the market concerning mortgage servicing rules that take effect in January 2014. The clarifications address contact with delinquent borrowers, communications with family members after a borrower dies, and treatment of consumers who have filed for bankruptcy.

As the industry prepares to comply with the January implementation of new rules from the Consumer Financial Protection Bureau (CFPB), Fannie Mae and Freddie Mac updated their servicing guides to bring GSE standards in line with the new regulations. Among the guideline changes, servicers are prohibited from mentioning foreclosure earlier than 121 days into delinquency.

Two mortgage lenders must pay a combined $459,000 in civil penalties for what the Consumer Financial Protection Bureau (CFPB) says are violations of the Home Mortgage Disclosure Act (HMDA). According to the bureau, Mortgage Master, a nonbank lender based in Massachusetts, and Washington Federal, a Seattle-based bank, were found to have ""severely compromised mortgage lending data"" on applications from 2011.

Default servicing technologies are solving the most foreboding of challenges and revolutionizing the way business is conducted. From enabling process servers to validate their work straight from the field to standardizing background checks for property preservation vendors, today's solutions reinforce the mobile nature of the business and demonstrate a commitment to regulatory compliance and consumer protection.

As the calendar approaches September 15, marking the anniversary of the collapse of Lehman Brothers, the nation is reminded of that historical event which severed the very fabric of our financial system. It's been five years since that fateful day, and the Center for Responsible Lending (CRL) says Americans--regardless of political party, age, race, or locale--overwhelmingly support financial regulation, and in particular, increased consumer protections.

America's Homeowner Alliance announced this week that it is officially open for membership. Launched by a team of industry veterans led by Phil Bracken and guided by an advisory board made up of representatives from the housing industry, prominent consumer groups, and fair housing organizations, America's Homeowner Alliance is the first nationally organized group dedicated to protecting and promoting sustainable homeownership for all segments of America.

Having served in an acting capacity since January 2013, Steven Antonakes has been officially named deputy director of the Consumer Financial Protection Bureau (CFPB), the agency announced.

Following the release of the revised Qualified Residential Mortgage (QRM) rule from six federal agencies, several analysts offered insight into how the revisions might benefit or impede progress in the mortgage market. Fitch Ratings believes adopting a QRM standard that mirrors the QM definition will trigger more activity for the jumbo origination and securitization market. Capital Economics, though, noted the QM and QRM proposals aren't much help when it comes to the long-term goal of reducing the presence of the GSEs in the mortgage market.