If you weren’t sure, you now know who wasn’t responsible for the financial crisis of 2008. According to Richard Cordray, Director of the Consumer Financial Protection Bureau (CFPB), it wasn’t the Credit Unions. I guess it was those unscrupulous Independent Mortgage Bankers, the Mortgage Brokers and the Banks (of all sizes), along with their affiliates, that all contributed to the…
As Private Gomer Pyle would say to Sargent Carter, “Surprise, surprise, surprise!” It shouldn’t be a big surprise to mortgage lenders that one of the CFPB’s top priorities when performing audits in 2016 will be to carefully review and analyze all LO compensation plans (CFPB Audits). This has been an ongoing concern of the CFPB. They want to ensure that…
Well, not really. The CFPB issued a long-awaited bulletin today (CFPB Bulletin 2015-05) labeled as their guidance on the use of Marketing Services Agreements (MSAs). The only real guidance that I could determine from reading the bulletin is not to be in an MSA arrangements. If you are, you do so at your own peril. The bulletin highlighted several enforcement…
According to The Community Home Lenders Association (CHLA), non-bank mortgage lenders seem to more regulated when it comes to consumer lending protections than their bank counterparts (Regulations). When is enough, a little too much? Since the crash of 2008, Congress has passed a whole bunch of new rules and regulations. Most of these are a result of the infamous Dodd-Frank…
With the TRID rules effective date just around the corner, the industry is pushing Congress hard for legislation to impose an enforcement moratorium. Lenders are concerned that honest mistakes/errors may take place as the result of the complexity of the new rules, the massive programming changes required for compliance, the exactness of the new forms and remaining uncertainty over implementation…
If you’re a lender and you haven’t seen this video you should take a look (Complaint). CFPB is now posting videos of consumer complaints to bring about awareness of the recourse available when they think they have been wronged by a lender. Interestingly, in the video posted here, the consumer happens to be an immigrant. Although we do not get…
