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Tag Archives: mortgages

CFPB issues new mortgage servicing guidance

Posted in Mortgages

On August 19, 2014, the CFPB issued a compliance bulletin and policy guidance updating and replacing its earlier guidance regarding mortgage servicing transfers.  In replacing Bulletin 2013-01 (the “Original Guidance”), Bulletin 2014-01 (the “New Guidance”) reinforces the Original Guidance and adds several interesting components to the regulatory mix as a direct result of the implementation of… More >

Federal regulators issue joint proposed rule regarding appraisal management companies

Posted in CFPB Rulemaking, Federal Agencies, Mortgages

On March 24, 2014, the CFPB along with five other federal agencies issued a joint proposed rule (“Proposed Rule”) regarding Appraisal Management Companies (“AMC”) as required by section 1473 of the Dodd-Frank Act (“Dodd-Frank”).  Under Dodd-Frank, Congress tasked federal regulators with establishing minimum requirements regarding AMC registration and supervision.  The other regulators are the federal… More >

CFPB sends warning to mortgage servicers

Posted in Mortgages

Describing his message as a “tough one,” CFPB Deputy Director Steven Antonakes told attendees yesterday at the Mortgage Bankers Association’s National Mortgage Servicing Conference that “continued sloppiness” by servicers “is difficult to comprehend and not acceptable.”  While acknowledging the CFPB’s past statements that it would not immediately expect perfect compliance with the new mortgage servicing… More >

Richard Cordray visits the Daily Show?

Posted in Mortgages

Yes, if you were watching Jon Stewart’s Daily Show last night on Comedy Central, you would have seen that one of his guests was CFPB Director Richard Cordray.  (A video of Director Cordray’s appearance can be viewed here.)  Director Cordray’s Daily Show appearance last night followed his appearance yesterday morning on Morning Joe, an MSNBC… More >

CFPB seeking information on mortgage closing process

Posted in Mortgages

In a notice scheduled to be published in tomorrow’s Federal Register, the CFPB is seeking information about the mortgage closing process from industry, consumers and other members of the public.  According to the notice, because the CFPB wants “to encourage the development of a more streamlined, efficient, and educational closing process as the mortgage industry increases… More >

Federal financial regulatory agencies finalize appraisal requirement exemptions

Posted in Mortgages

The CFPB, Fed, FDIC, FHFA, NCUA, and OCC have finalized a supplemental rule creating several exemptions to the appraisal requirements for higher-priced mortgage loans (HPML).  Those requirements are contained in the final rule adopted jointly by the agencies in January 2013 to implement Dodd-Frank provisions mandating appraisals for HPMLs. The final rule creates the following two… More >

CFPB updates TILA and RESPA exam procedures

Posted in CFPB Exams, Mortgages

On November 27, the CFPB released further updates to its Truth in Lending Act and Real Estate Settlement Procedures Act examination procedures.  The updates reflect October 2013 amendments to the CFPB’s mortgage rules that take effect next month.  The amendments were published in the Federal Register on October 23, 2013.  

More on the final RESPA-TILA integrated disclosures rule

Posted in CFPB Rulemaking, Mortgages

 As we previously reported, the Consumer Financial Protection Bureau released the nearly 1,900-page final RESPA-TILA Integrated Disclosures Rule on November 20. The rule will be effective for applications received on or after August 1, 2015. The industry had urged the CFPB to provide a reasonable implementation period in view of the significant changes to systems… More >

Director Cordray comments on mortgage rules at MBA convention

Posted in CFPB General, Mortgages, Richard Cordray

Director Cordray mostly repeated previous comments in his remarks this week at the Mortgage Bankers Association Annual Convention in Washington, DC.  The first portion of Director Cordray’s remarks followed his usual script, outlining the history of the financial collapse, Dodd-Frank, and the start of the CFPB.  From there, he explained how the CFPB took into… More >

CFPB files RESPA suit for alleged kickbacks to affiliated businesses

Posted in CFPB Enforcement, Mortgages

Last week, the CFPB announced that it had filed a lawsuit against a Kentucky law firm and its principals, alleging that the defendants violated Section 8 of the Real Estate Settlement Procedures Act (RESPA) by creating a network of Affiliated Business Arrangements (ABAs) to pay illegal kickbacks for mortgage settlement referrals. The complaint was filed… More >

Director Cordray focuses on mortgage rules in remarks to American Bankers Association

Posted in Mortgages

A substantial portion of Director Cordray’s remarks yesterday at the American Bankers Association’s Annual Convention in New Orleans was directed at justifying the Bureau’s decision not to delay the January 2014 effective dates of the new mortgage rules. Mr. Cordray reminded bankers that if the CFPB had failed to complete the rules, most of Title XIV of… More >

CFPB proposes final interim mortgage servicing rule

Posted in Mortgages

In keeping with its promise to provide further guidance to the industry on the mortgage loan rules that go into effect in January, the CFPB has issued an interim final mortgage servicing rule and a bulletin addressing servicing issues.   The main thrust of the interim final rule is to clarify the interplay between the mortgage… More >

CFPB finalizes amendments to mortgage rules

Posted in CFPB Rulemaking, Mortgages

As expected in light of Director Cordray’s comments last week, on Friday, the CFPB finalized several amendments and clarifications to the mortgage rules, proposed on June 24, 2013 (see our previous Legal Alert outlining the amendments as proposed).  The amendments include revisions to the CFPB’s mortgage servicing rules, loan originator compensation rules, and ability-to-repay rules. … More >

CFPB supervisory report highlights deficiencies in mortgage servicing, compliance management systems and fair lending compliance

Posted in CFPB Exams, Mortgages

Although its new mortgage servicing rules are not effective until January 10, 2014, the CFPB seems to already be using those rules as guideposts in its examinations of servicers.  In its Summer 2013 Supervisory Highlights, which highlights supervision work completed between November 2012 and June 2013, the CFPB focuses on deficiencies in mortgage servicing at… More >

CFPB issues Mortgage Rules Readiness Guide

Posted in Mortgages

The CFPB has issued a “2013 CFPB Dodd-Frank Mortgage Rules Readiness Guide” that is intended “to help financial institutions come into and maintain compliance with” the CFPB’s mortgage rules finalized in January 2013.  Unlike the CFPB’s small entity compliance guides, the CFPB states that it designed the Readiness  Guide “for use by institutions of all… More >

Breaking News! Insurers sue HUD regarding disparate impact

Posted in CFPB Enforcement, CFPB Exams, CFPB General, Fair Lending, Hot Issues, Mortgages

We just heard that a lawsuit was filed today in Federal District Court in DC challenging HUD’s final rule stating that the disparate impact theory will apply in assessing whether a company has complied with the Fair Housing Act. Here is the complaint. The outcome of this case could result in a court holding that… More >

Director Cordray speaks at Philadelphia Residential Mortgage Diversion Program anniversary celebration

Posted in Mortgages

CFPB Director Richard Cordray was among the speakers at a program last week celebrating the fifth anniversary of the Philadelphia Residential Mortgage Diversion Program.  The Diversion Program, which began in 2008, was the first city-sponsored plan in the nation to facilitate face-to-face negotiations between mortgage lenders and borrowers in connection with troubled loans.  In his remarks,… More >

CFPB launches new regulatory implementation website page

Posted in Mortgages

The CFPB’s website now has a regulatory implementation page that provides “one stop shopping” for all of its 2013 mortgage rules and related implementation materials. The page includes links to the rules, small compliance guides, videos, quick reference charts and other related materials.  The CFPB plans to keep the page updated with any new materials…. More >

Legal aid group files FOIA appeal with CFPB seeking release of mortgage complaint narratives

Posted in CFPB General

MFY Legal Services, an organization whose services include providing free legal assistance to New York City residents, has appealed the CFPB’s decision to withhold mortgage complaint narratives it requested pursuant to the Freedom of Information Act (FOIA).  MFY is represented in the appeal by the American Civil Liberties Union.  According to MFY’s appeal letter, the… More >

CFPB issues more small entity compliance guides for mortgage-related rules

Posted in Mortgages

The CFPB has issued several more Small Entity Compliance Guides on its mortgage-related rules.  In addition to its guide on the ability-to-repay and qualified mortgage rule, the CFPB has now issued Small Entity Compliance Guides on the 2013 HOEPA rule, escrow rule for higher-priced mortgages, ECOA valuations rule, and TILA higher-priced mortgages appraisal rule.  Each… More >