Improving the Safety and Soundness of Nonbank Mortgage Servicers Will Require More Than Prudential Regulation

Urban Institute, Dec. 2020–Karan Kaul, Laurie Goodman
The authors say given nonbank risks are mostly liquidity in nature, we conclude that the most effective path forward is to pair prudential regulation with a permanent solution to the liquidity issue, perhaps through a federal liquidity facility.
https://www.urban.org/research/publication/improving-safety-and-soundness-nonbank-mortgage-servicers-will-require-more-prudential-regulation