Skip to main content

CFPB Considers Altering HELOC Reporting

Phil Hall
Jul 14, 2017
The Consumer Financial Protection Bureau (CFPB) has issued a proposal that would alter the reporting requirements for banks and credit unions that issue home equity lines of credit (HELOCs)

The Consumer Financial Protection Bureau (CFPB) has issued a proposal that would alter the reporting requirements for banks and credit unions that issue home equity lines of credit (HELOCs).
 
Under rules that are scheduled to take effect in January 2018, financial institutions are generally required under the Home Mortgage Disclosure Act (HMDA) to report home equity lines of credit if they made 100 such loans in each of the last two years. Under the new proposal, the threshold would increase to 500 loans for 2018 and 2019, at which time the CFPB could consider whether to make this adjustment permanent.
 
The CFPB stated this proposal came after concerns were raised by community banks and credit unions, and the agency is seeking comment on whether to postpone collection of this information for smaller-volume institutions in order to study whether the threshold should be adjusted permanently. The CFPB estimated that the temporary 500-loan threshold would still capture about three-quarters of the home-equity lending market, down from about 88 percent at the 100-loan threshold.
 
The public comment period is open until Monday, July 31.

 
More from
Reverse
Liberty Reverse Mortgage Becomes Full Service Reverse Lender Following RMS Acquisition

Last week Ocwen Financial Services announced the acquisition of Reverse Mortgage Solutions. In a recent interview with Reverse Mortgage Daily, Mike Kent shared how the acquisition will affect the company.

Reverse
Jun 22, 2021
Ocwen Financial To Acquire Reverse Mortgage Servicing Platform

Ocwen Financial Corporation's wholly-owned subsidiary, PHH Mortgage Corporation will acquire RMS' reverse mortgage servicing platform.

Industry News
Jun 18, 2021
Education Still Remains A Hurdle For Prospective Reverse Mortgage Borrowers

While the reverse mortgage industry has made strides in educating its borrowers, some hurdles still remain.

Reverse
Jun 09, 2021
Texas State Legislators Looks To Protect Reverse Mortgage Borrowers

A Texas House Bill has been introduced to prevent false, misleading or deceptive advertising by reverse mortgage lenders.

Reverse
Jun 02, 2021
FAR Hires A New Senior Director Of Marketing And Intelligence

Naomi Hart will lead marketing performance management with an emphasis on growth.

Community
May 28, 2021