Servicing Newslinks Archive

“When Congress established the FHLBank membership framework, it didn’t limit membership to only certain insurance companies. FHFA’s decision to disqualify captive insurance companies removes a vital component of the FHLBank membership which provides liquidity for the real estate finance market.”   
–MBA President and CEO David Stevens, CMB, on a Federal Housing Finance Agency  final rule on Federal Home Loan Bank membership that retains a controversial Mortgage Bankers Association-opposed restriction on captive insurers. 

“We strongly encourage the FHFA to review the goals of this proposed survey, identify genuinely unique data points not otherwise captured by existing surveys, utilize focus groups and, ultimately, reissue a more complete survey for comment.”   –From an MBA/trade group letter expressing concerns over a proposed Federal Housing Financial Agency survey of mortgage borrowers.

“Our examiners will be squarely focused on whether companies have made good faith efforts to come into compliance with the rule. All of the regulators have indicated that their examinations for compliance in the first few months of implementing the new rule will be corrective and diagnostic, rather than punitive.” –Consumer Financial Protection Bureau Director Richard Cordray, in response to an MBA letter over concerns regarding implementation of its RESPA/TILA Integrated Disclosure rule.

“When everybody is too busy regulating, nobody is focused on the overall outcome and unintended consequences on consumers and the marketplace. Multiple, duplicative or confusing rules do not always make for a better, easier or safer lending environment. Getting the rules right with clarity creates the best environment and will lead to effective and functional consumer protection.”
–MBA President and CEO David Stevens, CMB.

“The proposed rule would have significant and unintended consequences on the financing of multifamily apartments, the vast majority of which are affordable to families earning below median income. The proposed rule appears to scope in the multifamily finance market in an abbreviated manner.”
–From an MBA/trade group letter asking the Securities and Exchange Commission for more time to review a proposed rule that would require collateral be posted on forward-settling agency securities.

“The scorecard clearly identifies front-end credit risk transfer for single-family loans as a priority and identifies the need to solicit feedback from industry. This has been one of our top priority issues and one on which we are eager to continue to engage with FHFA and the GSEs. We are further encouraged by FHFA’s direction to maintain similar levels of multifamily financing and to continue to exempt loans in affordable and underserved market segments from the financing caps.”
–MBA President and CEO David Stevens, CMB.

“Rising student debt levels and payment burdens among young renters are likely to impact this group’s long-term finances and their decisions to transition to homeownership. Delinquency and default can harm the ability of young renters to access low-cost credit and qualify for a home-purchase mortgage.”–Irene Lew, research assistant with the Joint Center for Housing Studies at Harvard University. 

“This administration does not support recapitalizing the GSEs with taxpayer funds and releasing them from conservatorship. Turning back the clock would be an exercise of bad policy judgement and not in the taxpayers’ interest. None of us should be misled by an increasingly noisy chorus of advocates of recapitalize and release.”  
–White House Senior Policy Advisor Michael Stegman.

“While the CFPB gave assurances that it would not engage in enforcement actions, it doesn’t protect the same investors from private actions or civil actions by other regulators, or through private lawsuits. We’re hearing from investors on this. We are told to expect a larger amount of mortgages that they won’t buy. This lack of clarity from the Bureau and this lack of protection regarding private actions have created a whole new level of concern regarding TRID compliance.”
–MBA President and CEO David Stevens, CMB.

“When everybody is too busy regulating, nobody is focused on the overall outcome and unintended consequences on consumers and the marketplace. Multiple, duplicative or confusing rules do not always make for a better, easier or safer lending environment. Getting the rules right with clarity creates the best environment and will lead to effective and functional consumer protection.”
–MBA President and CEO David Stevens.