Wall Street Journal, Aug. 14, 2018–Josh Zumbrun (subscription)Gradually rising interest rates have yet to dent Americans’ appetite for borrowing, with the total stock of new debt climbing to $13.3 trillion in the second quarter, continuing a gradual rise in household borrowing over the past four years, the Federal Reserve Bank of New York said.
Category: Top National News
Fewer Using Nonconventional Loans to Fund a New Home Purchase
National Mortgage News, Aug. 13, 2018–Elina Tarkazikis (subscription)The percentage of nonconventional financing for new-home purchases fell to 30.8% in 2017, from 31.5% in 2016. For reference, 2016 was the first time this share represented less than a third of the market since 2008.
The Financial Crisis Cost Every American $70,000, Fed Study Says
Bloomberg, Aug. 13, 2018–Jeanna SmialekGross domestic product remains well below what its 2007 trend would have implied and it’s unlikely the economy will ever make up that lost ground, according to research from the Federal Reserve Bank of San Francisco published Monday. The hit will cost the average American $70,000 in lifetime income, they estimate.
Wells Fargo was Hit with More Scandal. But Does Anyone Care?
American Banker, Aug. 13, 2018–Victoria Finkle (subscription)As the negative headlines pile up, a question arises: Has Wells fatigue set in?
Citi Fined $8.6M for Deficiencies in Subsidiary’s Mortgage Docs
National Mortgage News, Aug. 10, 2018–Neil Haggerty (subscription)The Federal Reserve Board announced an $8.6 million fine against Citigroup Friday, alleging deficiencies in how a subsidiary prepared certain mortgage-related documents in 2015.
FHA Endorsements Inch Up, Might Rise More
Mortgage Daily, Aug. 10, 2018Monthly FHA business inched higher and might accelerate further. Delinquency turned sharply higher, and reverse mortgage production was the slowest it’s been in four years. But commercial mortgage endorsements doubled.
Fannie Mae Warns of Raft of Fake Employers Being Used on Borrowers’ Mortgages
HousingWire, Aug. 9, 2018–Ben LaneThe government-sponsored enterprise issued a new warning this week, identifying 10 new purported employers that do not seem to actually exist.
Who’s on First? The Confusing State of Federal Fintech Regulation
American Banker, Aug. 9, 2018–Rachel Witkowski (subscription)Federal agencies have recently rolled out a series of efforts aimed at collaborating more on fintech regulation, but one key question remains: who is taking the lead?
House Panel Plans FHFA Oversight Hearing, Invites Watt to Testify
American Banker, Aug. 8, 2018–Neil Haggerty (subscription)The hearing is planned for “no later than” Sept. 27 and Fannie Mae Chief Executive Timothy Mayopoulus and FHFA Director Mel Watt “will be invited to testify,” according to a press release from Committee Chairman Jeb Hensarling, R-Texas, and Oversight and Investigations Subcommittee Chairman Ann Wagner, R-Mo.
Trump Administration Cuts Dozens of Staff at Financial Market Watchdog
Reuters, Aug. 8, 2018–Pete SchroederThe Trump administration moved on Wednesday to drastically shrink the Office of Financial Research, a government agency tasked with identifying looming financial risks, notifying around 40 staff members they would be laid off.