On Wednesday, July 10, 2024, the Consumer Financial Protection Bureau (CFPB) released its long-awaited and much anticipated proposal to amend Regulation X. As expected, the proposal focuses primarily on default servicing requirements and would impose an entirely new framework for regulating how loss mitigation is handled in the mortgage servicing industry. Other topics are
In a consent order with a reverse mortgage servicer on June 18, 2024, the Consumer Financial Protection Bureau (CFPB) made the argument that failing to effectively service loans is abusive. The groundwork for this line of thinking was laid out by the current CFPB administration through various statements and guidance documents, but the public order
On July 1, 2024, banks and other financial institutions doing business in Florida will be required to comply with new rules designed to ensure fair access to banking and prevent politically or ideologically motivated denial of services. While Florida-licensed and chartered banks have been subject to some of these rules since the enaction of the
The Alabama Supreme Court’s recent ruling in Coan v. Championship Property, LLC has significant implications for mortgage lenders, servicers, and foreclosure sale purchasers. The decision settles a contested issue: May trial courts require borrowers to make escrow-style payments pending a final judgment in a foreclosure or eviction dispute? Although the full extent of the ruling
The Mississippi Securities Division is the closest regulator to the investing public of Mississippi. Among other tasks, they protect investors from fraud and abuse and make sure those licensed securities professionals doing business in the state are in compliance with the necessary securities laws. Today, securities regulators face a quickly changing landscape of new technology
Over the past two years, we’ve been covering the state legislatures and executive officials taking aim at environmental, social and governance (ESG) investing and ramping up the pressure on companies that incorporate ESG factors into business decisions. Financial services companies have been watching carefully to see what’s next in the state pushback to ESG. And
Following a long wait, the U.S. Department of Housing and Urban Development (HUD) published a revised version of the Fair Housing Administration’s (FHA) handbook governing the origination and servicing of FHA loan products, including Home Equity Conversion Mortgages (HECMs, which are more commonly known as “reverse mortgages”). While the revisions in the new handbook are
On May 1, 2024, the Federal Housing Administration (FHA) issued Mortgagee Letter (ML) 2024-07 titled “Appraisal Review and Reconsideration of Value Updates,” which enhances the agency’s current policy on home valuations. ML 2024-07 underscores FHA’s ongoing commitment to addressing appraisal bias, which directly aligns with the Interagency Task Force on Property Appraisal and Valuation Equity’s
“Although there may be other constitutional checks on Congress’ authority to create and fund an administrative agency, specifying the source and purpose is all the control the Appropriations Clause requires.” With these words, seven members of the Supreme Court upheld the constitutionality of the Consumer Financial Protection Bureau’s funding mechanism and forestalled the possibility that
Based on a recent report from the Financial Stability Oversight Council (FSOC), nonbank mortgage companies (NMCs) need to prepare for additional regulatory scrutiny from both state and federal regulators. In the report, FSOC identifies NMCs as critical participants in both the residential mortgage origination and servicing industries. And in recognition of this distinction, FSOC believes