Today, FHLMC published Bulletin 2020-9, which announces FHLMC’s “eligibility, underwriting and delivery requirements for SOFR-indexed ARMs [and] the availability of new ARM Notes and riders specific to the SOFR ARM offering.”
Lenders may immediately begin to underwrite borrowers for their SOFR programs and,…
Today, FNMA released an updated version of Lender Letter 2020-03, providing clarification and special rules for the handling of certain mortgage loans due to the coronavirus pandemic. These rules include:
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By: Timothy A. Raty, Sr. Regulatory Compliance Specialist
Date: March 26, 2020
“No technological computation and calculation would
be possible in an environment that would not employ a
generally used medium of exchange, money.”
(Ludwig von Mises,…
On March 11, 2020 Gov. Brad Little (R) signed into law ID HB 401 (2020) which amends several sections of Idaho’s Code governing mortgage companies – most notably repealing Chapter 28, Title 26 (https://legislature.idaho.gov/sessioninfo/2020/legislation/H0401/). These amendments take effect on the later of 60 days following adjournment of the current Idaho Legislature session or July 1,…
On March 3, 2020 Gov. Tony Evers (D) signed into law WI AB 293 (2019) which practically repeals and replaces Chapter 137 of Wisconsin’s Statutes (as well as Wis. Stat. Ann. § 706.07) with a new Chapter 140, which promulgates the requirements for notarial certificates (see https://docs.legis.wisconsin.gov/2019/proposals/ab293)….
In an email dated March 5, 2020 FNMA announced the following:
“Revisions to certain Fannie Mae-only ARM Notes and ARM Riders; retirement of Multistate Biweekly Notes and Riders
We’ve revised certain Fannie Mae-only notes and riders to reinsert Maximum Rate in Section 4(D)….
On February 5, 2020 FNMA announced the publication of revised ARM notes and riders which include fallback language recommended by the Alternative Reference Rates Committee (ARRC). FNMA encourages lenders to adopt this language immediately, with a mandatory usage date of June 1,…
On June 28, 2018, California Governor Jerry Brown signed into law the California Consumer Privacy Act of 2018 (CCPA). This law, as discussed previously, formalizes rights that consumers have concerning the collection and use of their personal information….
Today, FNMA and FHLMC issued a joint “URLA Implementation Timeline” which indicates that the new URLA must be used beginning on November 1, 2020. Industry participants may begin using the new URLA as soon as September 1, 2020 and pre-approved participants may begin using it as soon as June 1,…
FNMA has announced pending plans to modify their ARM products in the first half of 2020 (see https://www.fanniemae.com/content/news/libor-sofr-transition?utm_campaign=ssn-sell2019iss&utm_source=sfsfmc&utm_medium=email&utm_content=eml-noa-1120b-o-n&utm_term=b2b). These changes are being done under the guidance of the FHFA and in coordination with FHLMC.
Some of the planned changes include incorporating the Alternative Reference Rate Committee’s (ARRC’s) “fallback language” into the uniform notes and other legal documents for ARMs….
The Pennsylvania Department of Banking and Securities has announced in 49 Pa.B. 6554 (Nov. 2, 2019) that they would be adjusting the “base figure” from $256,023 to $260,404 (see http://www.pacodeandbulletin.gov/Display/pabull?file=/secure/pabulletin/data/vol49/49-44/1633.html). The “base figure” is defined in 41 P.S….
The Finance Commission of Texas adopted proposed amendments to various sections of 7 Tex. Admin. Code Pt. 80 & 81, as well as amendments to the “Conditional Letters” published within such codes and on their website (https://www.sml.texas.gov/ResidentialMortgageLoanOriginator/rmlo_mb_forms.html)….
On October 30, 2019 the CFPB published in the Federal Register final rules increasing the dollar amount of the Regulation Z exemption threshold outlined in 12 CFR § 1026.3(b)(1)(i) from $57,200 to $58,300 (see 84 FR 58020 [2019];…
The Washington Department of Financial Institutions has finalized amendments to its regulations administrating the “Consumer Loan Act” (Wash. Rev. Code Ann. §§ 31.04.015 et seq.) and “Mortgage Broker Practices Act” (Ibid. §§ 19.146.005 et seq.…
On October 23, 2019, FNMA and FHLMC published a notice concerning updates to the Redesigned 1003, available here: https://www.fanniemae.com/content/notification/notification-urla-announcement-october-2019, and posted directly on the FNMA Redesigned 1003 website along with the updated copy here: https://www.fanniemae.com/singlefamily/uniform-residential-loan-application
These updates,…
Last year, now-former Gov. Jerry Brown (D) signed into law “The California Consumer Privacy Act of 2018” (“CCPA”), which is scheduled to take effect on January 1, 2020. On October 11, 2019 the California Secretary of State’s office assigned Legislative Chapter numbers to the following five amendments to the CCPA,…
Last year, FNMA announced revisions to their Form 1008 (Uniform Underwriting and Transmittal Summary), with a mandatory effective date of July 1, 2019. Earlier this year, FNMA announced that they had postponed this mandatory effected date to February 1,…
Earlier this year, Congress passed the Taxpayer First Act (133 Stat. 981 [2019]; see https://www.congress.gov/bill/116th-congress/house-bill/3151/text?q=%7B%22search%22%3A%5B%22taxpayer+first+act%22%5D%7D&r=1&s=8#toc-H41D3744607B44119A2D000B89E5119D2), Section 2202 of which amends 26 U.S.C.A. § 6103(c) to require, within the context of a taxpayer requesting a copy of the taxpayer’s tax returns,…
The Maryland Department of Labor, Licensing, and Regulation finalized (with some modifications) their proposed revisions to Md. Code Regs. 09.03.06 on August 29, 2019, with the finalized rules being published in the Maryland Register on September 13, 2019 (see 46 Md….
In an email dated August 28, 2019 FNMA announced that they had “updated the summary document for the Multistate Fixed-Rate Note 3200 to include an Authorized Change for properties located in Alabama.” We have reviewed this change, which now permits lenders to include the following as the last sentence in Section 6(A) of Form 3200:
“In no event will any late charge under this Section 6(A) exceed $100.”
We are planning to incorporate this change and details of any modifications we make will be announced on our website (https://compliance.docutech.com/)….
