May 15, 2013

CFPB Releases Videos About New Mortgage Rules

The CFPB has released a number of videos regarding the proposed new mortgage rules. Videos on the TILA Escrow Rule, the Mortgage Servicing Rules and the Loan Originator Compensation Rule can be found on the CFPB’s YouTube site. Specifically, learn more about the Ability-to-Repay and Qualified Mortgage (QM) Final Rule, which goes into effect January 10, 2014

May 15, 2013

CFPB Debuts Spanish Language Website

The CFPB has launched its Spanish language website. The website, which is optimized for mobile use, provides access to essential consumer resources, such as how to submit a consumer complaint and answers to consumers’ frequently asked questions. CFPB en Español currently features 250 Ask CFPB questions, with more to come.

“The CFPB is dedicated to being as accessible as possible for the greatest number of consumers,” said CFPB Director Richard Cordray. “CFPB en Español can be a trusted resource for Spanish-speaking consumers looking for clear information on consumer financial products and services.”

The website address is www.consumerfinance.gov/es.

May 6, 2013

FHFA Limiting Fannie Mae and Freddie Mac Loan Purchases to “Qualified Mortgages”

On May 6, 2013, the Federal Housing Finance Agency (FHFA) announced it is going to limit both Fannie Mae and Freddie Mac to acquiring safe mortgages. The FHFA went on to say that beginning January 10, 2014, Fannie and Freddie would no longer be able to purchase loans that are interest only, a term of longer than 30 years or include points and fees in excess of 3% of the total loan amount. Adoption of these new limitations is in keeping with FHFA’s goal of gradually contracting their market footprint and protecting borrowers and taxpayers. 

April 23, 2013

Mortgage Expert Advice: Keep up with CFPB Transitions

HousingWire recently interviewed several mortgage industry leaders following the SourceMedia Servicing Conference in Dallas, TX. Echoing sentiments from others being interviewed, Megan Johnson, a default litigator with Homeward Residential, said, "A company needs to get everybody on the same page. When you bring together all departments, everyone knows how their sections work, but no one knows how the all the pieces work together." In doing so, Johnson said companies can better avoid risk.

Thursday, April 18, 2013

Ability-to-Repay and Qualified Mortgage Rule - Small Entity Compliance Guide

The CFPB has released a small entity compliance guide on the Ability to Repay and Qualified Mortgage Rule. This most recent guide explains the Ability to Repay (ATR) and Qualified Mortgage Rule(QM) requirements for lenders who originate closed-end residential mortgages. While the guide is 45 pages, it outlines in detail the ruling and offers considerations for a practical implementation approach to help lenders get started.

Thursday, January 10, 2013

CFPB releases qualified mortgage final rule

Bloomberg

The housing finance sector’s long wait for one of Dodd-Frank’s most highly-anticipated final rules is at an end.

The Ability to Repay Final Rule officially issued by the Consumer Financial Protection Bureau (CFPB) on Jan.10 will establish a 43 percent debt-to-income ratio threshold for qualified mortgages (QM). However, in a surprise move, the final rule establishes a temporary category of QMs that has more flexible underwriting requirements. The Bureau said it crafted this temporary provision because it fears lenders will initially be reluctant to write loans that are not QMs, even though the loans are responsibly underwritten.

Read on for details about the new rule.

If you have a subscription to respanews.com you can also read about the qualified mortgage rule.

Tuesday, January 8, 2013

CFPB announces mortgage disclosure rule target date

Bloomberg

On Tuesday, January 8, the Consumer Financial Protection Bureau (CFPB) set a target date for the release of the Truth in Lending Act (TILA)/RESPA Mortgage Disclosure Integration. While the date shown in the Bureau’s semi-annual regulatory agenda (as published in the Federal Register) indicates a September 2013 date, CFPB director Richard Cordray said in an interview with Bloomberg they would look to release a final rule this summer*.

*January 10 Bloomberg article states rule date as third or fourth quarter.

Read on for more details about the target date.

If you have a subscription to respanews.com you can also read more about the target date.

Thursday, January 3, 2013

ALTA Releases Full Title Insurance and Settlement Company Best Practices

Special Member Update via Email
ALTA Advocacy Update

Over the past few years, many challenges in the marketplace have influenced and changed the way the business of title insurance and real estate settlement are conducted. Many of these changes have prompted lenders to consolidate their business and even consider taking their settlement work in-house. ALTA’s Board of Governors is committed to promoting the vast agent and settlement network that exists today. In order to help title and settlement companies to understand what lenders, regulators and consumers are seeking in the marketplace, ALTA is pleased to announce the publication of the “Title Insurance and Settlement Company Best Practices.”

Monday, December 10, 2012

California bulletin indicates settlement service vetting companies may violate state law

In a new turn in the title agent vetting saga, the California Department of Corporations issued a bulletin cautioning lender licensees that using the emerging agent vetting companies to pre-screen their agents may violate state law. It also warned escrow licensees that participating in an agent vetting program could violate state law. The department asked all licensees to be cautious when looking into these programs. Read on for details from the bulletin.