Urban Institute, May 9, 2018–Jim Parrott, Mark M. ZandiAs it becomes apparent that the 115th Congress will not pass legislation to reform Fannie Mae and Freddie Mac, the authors describe the path the current administration will likely take to reform the government-sponsored enterprises administratively.
Category: Top National News
Mulvaney Guts CFPB’s Student Lending Office
American Banker, May 9, 2018–Kate Berry (subscription)Mick Mulvaney on Wednesday announced a restructuring of the Consumer Financial Protection Bureau that will strip the agency’s student lending office of all functions except consumer education.
RBS Reaches $4.9 Billion Deal to Settle U.S. Mortgage Bond Investigation
Reuters, May 9, 2018–Nate Raymond, Eric Walsh, Sinead CruiseRoyal Bank of Scotland has agreed to pay a smaller-than-expected $4.9 billion to resolve a U.S. investigation into its sale of mortgage-backed securities, paving the way for a long-awaited return of cash to UK taxpayers who bankrolled its post-crisis survival.
Civil Rights Groups Challenge HUD’s Fair Housing Enforcement
New York Times, May 8, 2018–Glenn ThrushCivil rights advocates sued the Trump administration on Tuesday over enforcement of the 50-year-old Fair Housing Act, part of an effort to prevent discrimination in the allocation of funds for Gulf Coast hurricane housing and infrastructure reconstruction.
Companies With the Most Complaints in CFPB Database Were Mulvaney Donors
Public Citizen, May 8, 2018–Michael TanglisEight of the 10 financial institutions that are the subjects of the most complaints in the Consumer Financial Protection Bureau public database contributed to acting Director Mick Mulvaney while he was in Congress, according to an analysis published by Public Citizen.
Equifax Reveals How Much Information was Really Exposed in Data Breach
HousingWire, May 8, 2018–Caroline BasileIn a new filing with the Securities and Exchange Commission, the credit reporting agency broke down in detail the types of–and how much exactly–sensitive personal information was exposed to hackers in the breach.
Massive Secondary Mortgage Sale
Mortgage Daily, May 8, 2018Capital One Financial Corp. is selling the loans to Credit Suisse AG-subsidiary DLJ Mortgage Capital Inc. The loan sale follows Capital One’s previously announced exit from the origination of residential and home-equity loans.
N.Y. Attorney General Resigns After Allegations of Physical Abuse
The Hill, May 7, 2018–Brett SamuelsNew York Attorney General Eric Schneiderman resigned Monday night after a bombshell report detailing allegations from multiple women of physical abuse against him.
Republican Regulator Who Blasted Dodd-Frank Rules to Step Down
Wall Street Journal, May 7, 2018–Dave Michaels (subscription)Michael Piwowar said he intends to step down from the SEC on July 7, after serving nearly five years on the five-person commission. Mr. Piwowar’s departure would leave the agency with four commissioners, meaning some votes could be deadlocked if the SEC’s two Democrats oppose measures favored by Chairman Jay Clayton.
Freddie Mac is Quietly Helping the U.S.’s New Mortgage Kings
Bloomberg, May 7, 2018–Joe LightFreddie Mac has quietly started extending credit to nonbanks that issue mortgages, a move it says will help the companies maintain access to a crucial stockpile of cash if their home loans go sour. But critics say the financing could create an unfair market advantage that allows preferred lenders to muscle out competitors. (MBA mention)