Council for Citizens Against Government Waste (CCAGW) President Tom Schatz sent a letter to the Senate strongly urging members to oppose a new draft bill unveiled on March 17, 2014 by Sens. Tim Johnson (D-SD) and Mike Crapo (R-ID) addressing the disposition of government-sponsored enterprises (GSEs), Fannie Mae and Freddie Mac. The letter reads as follows:Click to continue
Firas “Russ” Bachi of Waterford Township, Mich. was sentenced to two years in prison and two years of supervised release for defrauding a bank in connection with 10 mortgage loans, United States Attorney Barbara L. McQuade announced. McQuade was joined in the announcement by Paul M. Abbate, Special Agent in Charge, Federal Bureau of Investigation, Detroit Division, and Jeffrey Frost, Special Agent in Charge of the Detroit office of the U.S. Secret Service.Click to continue
CoreLogic has released The Home Mortgage Disclosure Act: Foundation for a Sound Housing Market, the third white paper in a series which addresses the implications of new and revised federal mortgage finance industry regulations. In this edition, the nearly 40-year-old Home Mortgage Disclosure Act (HMDA) is reviewed in the context of the new regulatory environment and what that might mean for future changes to the law.
Key insights provided in the white paper include:Click to continue
Question: We are an FHA-approved lender with several branch officers. At one of our branches, a loan officer has an assistant, who is not licensed, but helps him close loans. The loan officer pays his assistant directly from his own compensation. Is this arrangement permissible?
Answer: The arrangement described above is not permissible. A loan officer may not pay his assistant out of his own compensation; rather, the lender must bear this expense.Click to continue
Bank of America (BofA) reported early this morning that they experienced a quarterly loss of $276 million due to a $6 billion legal bill.Click to continue
Provisions in the comprehensive housing finance reform bill introduced by U.S. Sens. Tim Johnson and Mike Crapo will modestly dampen prices of multifamily properties and increase refinance risk, according to a new report by Moody’s Investors Service, Proposed Housing Finance Reform Will Be A Moderate Credit Negative for Multi-Family CMBS.Click to continue
A new Osterman study, sponsored by security awareness training company KnowBe4, shows a low satisfaction level with current methods of managing compliance, despite the fact that 63 percent consider regulatory compliance to be “very important." Only 13 percent are very satisfied with the current methods they use. Osterman's research also found typically 19 percent of compliance and audit time each year is spent on tracking requirements and another 31 percent on gathering and maintaining audit evidence.Click to continue
Several provisions in the comprehensive housing finance reform bill introduced by US Senators Tim Johnson and Mike Crapo would help spur issuance in the private-label residential mortgage-backed securities (RMBS) according to a new report by Moody’s Investors Service. Under the framework proposed in Johnson-Crapo, fewer residential mortgage loans would be eligible for inclusion in government-guaranteed securities because of changes in criteria establishing which securitizations can receive government guarantees.Click to continue
Ginnie Mae announced that it guaranteed $21.25 billion in mortgage-backed securities (MBS) in February 2014. “Ginnie Mae continues to provide stability to the U.S. housing finance system, during both times of crisis and recovery,” said Ginnie Mae President Ted Tozer. “Our Issuers recognize that our product provides flexibility to respond to market change and consistency rooted in transparency, accountability and standardization.”Click to continue
The Federal Deposit Insurance Corporation (FDIC) is urging financial institutions to actively utilize available resources to identify and help mitigate potential cyber-related risks. It is important for financial institutions of all sizes to be aware of the constantly emerging cyber threats and government-sponsored resources available to help identify these threats on a real-time basis.Click to continue