MBANow: Justin Wiseman on CFPB Servicing Rule

The Mortgage Bankers Association released a new MBANow video featuring MBA Director of Loan Administration Justin Wiseman, who discusses updates to the Consumer Financial Protection Bureau’s servicing rule.  

The video can be viewed at https://www.youtube.com/watch?v=6_7mtdt0zQ8&feature=em-uploademail.     

The CFPB recently announced it would conduct a “lookback” study on servicing rules promulgated under the Dodd-Frank Act. Wiseman noted that the Bureau’s lookback is limited to the Real Estate Settlement Procedures Act portion and not the Truth In Lending Act portion.  

“Because the lookback only involves RESPA, it rules out the Periodic Statement requirements that are contained in TILA, which are important to our members and takes time to implement,” Wiseman said. “The lookback is only looking at the servicing rules proposed in 2013 and implemented in 2014 and is not dealing with the rather significant amendments the CFPB has proposed.”  

Wiseman noted several resources for MBA members: the Successor in Interest Matrix, which outlines requirements servicers need to implement policies and procedures in each state to validate a successor in interest; and updates to MBA’s National Servicing Standards Book, which will contain all updates to the CFPB’s servicing rule that become effective in October and April.   

Other videos in the MBANow series can be viewed at the MBA YouTube channel, https://www.youtube.com/watch?v=Swk2VUJeZFI&feature=em-uploademail. The videos are also available on the MBA Insights landing page, https://www.mba.org/publications/insights/insights-publication##SubscriberID####RND##&PageID=21109.