I rarely have clients call in distress seeking urgent help. As I practice mortgage compliance and not criminal law, most calls I receive take some time to research. However, a few years ago, I received a call from a frantic mortgage broker asking me to come to her office as soon as possible. Perhaps it was the distraught tone in her voice or my genuine intrigue as to what compliance conundrum could be so pressing, I grabbed my purse and started my drive.
Forty-five minutes later, I was in her office as she relayed to me the traumatic event that had unfolded that morning. Two men had arrived at her office and asked her to confirm her name and the name of her company. Initially thinking they were potential clients, she confirmed the information only to find out that they were investigators with the state regulatory office. Unfortunately, by the time she called me, and I arrived at her office to help, the time for implementing solutions had mostly passed.
For the last two years, many mortgage companies have allowed employees to work from home, which has led to a greater sense of complacency surrounding compliance within their office.
While mortgage compliance has no absolutes, “compliance” may yet again become the buzzword of 2022. As mortgage companies try to navigate the new normal and how to bridge the changes that have come with the last two years, their Compliance Management System may be a far-off thought, perhaps even a distant memory.