Rep. Sean Duffy (R-WI) recently argued before the U.S. House of Representatives regarding the “dangerous” nature of the Consumer Financial Protection Bureau (CFPB). Duffy gave an impassioned speech, outlining some of the much-needed reforms to the CFPB, including replacing the Bureau's Director Richard Cordray with a board responsible solely to the American people. Duffy's sponsored HR 3193, The Consumer Financial Freedom and Washington Accountability Act, was passed the House by a strong bipartisan vote of 232-182.Click to continue
Freddie Mac has released its multifamily housing economic outlook for 2014 showing that multifamily growth will be favorable, but will also moderate and become more in line with long-run historical levels. Multifamily rent growth and vacancy in 2014 will be consistent with long-run average performance at the national level, but will slow a bit from 2013.Click to continue
Question: May I deliver an appraisal and other valuations to the applicant(s) via e-mail, thereby reducing the waiting period required prior to closing?
Answer: In order to provide an answer to this question, many issues need to be discussed.
By now, everyone in the mortgage industry should be aware of the new ECOA Valuations Rule which applies to all applications received on or after Jan. 18, 2014. Click to continue
The Federal Housing Finance Agency (FHFA) announced it has reached a settlement with Société Générale, related companies and specifically named individuals for $122 million. The settlement resolves claims in the lawsuit FHFA v. Société Générale, et al alleging violations of federal and state securities laws in connection with private-label mortgage-backed securities (MBS) purchased by Fannie Mae and Freddie Mac during 2006.Click to continue
The Consumer Financial Protection Bureau (CFPB) has called on the nation’s top credit card companies to make credit scores and related content freely available to their customers. A report released by the CFPB found accuracy issues top the list of credit reporting complaints the Bureau has received from consumers. The CFPB also warned companies that provide information to credit reporting agencies not to avoid investigating consumer disputes.Click to continue
A Florida man was sentenced to 12 months and one day in federal prison for defrauding thousands of homeowners in a $4 million nationwide home loan modification scheme. Special Inspector General for the Troubled Asset Relief Program (SIGTARP) Christy Romero, Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division, and U.S. Attorney Carmen M. Ortiz of the District of Massachusetts made the announcement.Click to continue
The National Fair Housing Alliance announced a housing discrimination complaint against the Bank of America Corporation based on its treatment of prospective Latino borrowers seeking mortgage loans. NFHA’s investigations in Charleston, SC found that Bank of America denied prospective Latino borrowers’ requests to speak with a loan officer about obtaining a home loan or quoted prospective Latino borrowers a higher monthly payment and closing costs, compared to treatment of similarly situated but less qualified prospective white borrowers. The complaint has been filed with the U.S.Click to continue
The Independent Community Bankers of America (ICBA) is calling on federal banking regulators to exempt community banks from new reporting burdens designed for larger financial institutions. In a recent comment letter to the banking agencies, ICBA raised questions about the validity and usefulness of the information requested through the proposed changes to quarterly call reports and urged an exemption for banks with total consolidated assets of $10 billion or less.Click to continue
Weiner Brodsky Kider PC (WBK) has announced it has selected Clayton Holdings LLC to assist in its program to help mortgage originators and servicers prepare for Consumer Financial Protection Bureau (CFPB) examinations. Clayton is a leading provider of loan due diligence and consulting services to the mortgage industry.
The program is designed to:
►Simulate CFPB examinations of origination and/or servicing operations to measure an institution’s ability to detect, prevent and correct practices that may violate CFPB-governed statutes and regulations.Click to continue
The Federal Financial Institutions Examination Council (FFIEC), this past December, published a 19-page document detailing practices related to social media. In it, the FFIEC states “the use of social media by a financial institution to attract and interact with customers can impact a financial institution's risk profile. The increased risks can include the risk of harm to consumers, compliance and legal risk, operational risk, and reputation risk.Click to continue