USA Today, Apr. 13, 2018–Kevin McCoyFederal regulators are seeking a $1 billion payment from Wells Fargo to settle problems with mortgage and auto loan issues, along with compliance risk management concerns, the bank said Friday as it reported its first-quarter earnings.
Category: Top National News
Why the Dodd-Frank Rollback Has Some Small Banks Yawning
Wall Street Journal, Apr. 15, 2018–Ryan Tracy, Christina Rexrode (subscription)Smaller banks say deregulation bill doesn’t go far enough and mainly benefits the biggest regional banks.
Elizabeth Warren, Mick Mulvaney Spar in Senate Testimony over CFPB
CBS News, Apr. 12, 2018Massachusetts Democratic Sen. Elizabeth Warren grilled Office of Budget and Management Director Mick Mulvaney on Thursday over his numerous votes to abolish the Consumer Financial Protection Bureau.
Appeals Court Skeptical of Mulvaney’s Ability to Independently Lead CFPB
Wall Street Journal, Apr. 12, 2018–Lalita Clozel (subscription)An appeals court appeared skeptical Thursday that the interim director of the Consumer Financial Protection Bureau could independently run the bureau given his other role as head of the White House’s Office of Management and Budget.
Zillow Intends to Buy and Flip Homes
Wall Street Journal, Apr. 12, 2018–Laura Kusisto, Rolfe Winkler (subscription)Real-estate listings company Zillow Group is getting into the business of buying and flipping homes, a risky and untested business model for the online service that could disrupt the traditional brokerage business.
Subprime Mortgages Make A Comeback–with a New Name and Soaring Demand
CNBC, Apr. 12, 2018–Diana Olick Subprime mortgages–home loans to borrowers with sketchy credit who put little to no skin in the game. Following the epic housing crash, they disappeared, due to strong, new regulation, and zero demand from investors who were badly burned. Barely a decade later, they’re coming back with a new name–nonprime–and, so far, some new standards.
Mulvaney: ‘The Bureau Is Not Designed to be Accountable’
DS News, Apr. 11, 2018–Radhika OjhaAppearing before the House Financial Services Committee, Consumer Financial Protection Bureau Acting Director Mick Mulvaney. “The bureau is not designed to be accountable and my work there is aimed towards one end goal: to make the bureau more accountable.”
New York Fines Nationstar $5M for Past Compliance Flaws
National Mortgage News, Apr. 11, 2018–Bonnie Sinnock (subscription)The New York Department of Financial Services is fining Nationstar Mortgage $5 million for failing to comply with servicing and origination regulations as it grew between 2012 and 2014.
The Fed’s New Rules Are a Letdown for Wall Street
Wall Street Journal, Apr. 11, 2018–Aaron Back (subscription)Big Wall Street banks like Goldman Sachs and Morgan Stanley won’t get the relaxation of capital requirements that they hoped for under the Trump administration. That is the key takeaway from proposed changes to the annual stress test process announced by the Federal Reserve Tuesday.
With Ryan Departing, It’s Now or Never for Reg Relief
National Mortgage News, Apr. 11, 2018–Victoria Finkle (subscription)Wednesday’s announcement, anticipated by some for months, could heighten pressure to move a pending regulatory relief bill as soon as possible–well ahead of the November elections that will determine which party leads the chamber next term.