CFPB’S 900-page final rule on mortgage servicing raises industry concerns

first_imgThe Consumer Financial Protection Bureau (CFPB) recently published a 900-page final rule on mortgage servicing. The final rule, otherwise known as “Amendments to the 2013 Mortgage Rules under the Real Estate Settlement Procedures Act (Regulation X) and the Truth in Lending Act (Regulation Z),” has raised concerns in the industry for “unintended consequences.”  For example, the National Association of Federal Credit Union (NAFCU) is already pointing out flaws in the final rule, according to HousingWire. To see what NAFCU’s Director of Regulatory Affairs said about the new regulatory changes, click here.According to the CFPB’s press release issued August 4, 2016, the rule establishes new protections for consumers, including:Requiring servicers to provide certain borrowers with foreclosure protections more than once over the life of the loan:Under the CFPB’s existing rules, a mortgage servicer must give borrowers certain foreclosure protections, including the right to be evaluated under the CFPB’s requirements for options to avoid foreclosure, only once during the life of the loan. Today’s final rule will require that servicers give those protections again for borrowers who have brought their loans current at any time since submitting the prior complete loss mitigation application. continue reading » 9SHARESShareShareSharePrintMailGooglePinterestDiggRedditStumbleuponDeliciousBufferTumblrlast_img

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