HUD published detailed changes to the FHA Single Family Annual Mortgage Insurance Premium (Annual MIP) and Up-Front Mortgage Insurance Premium (UFMIP) in Mortgagee Letter 2012-04.
The Temporary Payroll Tax Cut Continuation Act of 2011 requires FHA to increase the Annual MIP it collects by 0.10 percent….
Just a quick update on the progress of the combined RESPA/TILA disclosures being vetted by the CFPB. In January the CFPB released two more versions of the settlement statement for public review. These were the 7th and 8th forms sent out for informal review and comment. …
Customers frequently ask DocuTech questions regarding best practices when making disclosures to borrowers. One of the most asked questions has to do with the problem with multiple applicants on a single loan and whether each applicant needs to receive disclosures or whether it is sufficient to provide the disclosures to one borrower without any compliance concerns. …
So far, the CFPB has been busy taking over regulatory duties inherited from the Fed and other agencies. With the appointment of Richard Cordray as director of the CFPB, the question now becomes, “What are the top priorities for new regulations?”
In January,…
On November 16, HUD published a proposed rule in the Federal Register (page 70921) to implement the Fair Housing Act’s discriminatory effects standards. The summary states that “HUD… has long interpreted the Act to prohibit housing practices with a discriminatory effect,…
In a controversial move, President Barack Obama used a recess appointment to appoint Richard Cordray as the first director of the Consumer Financial Protection Bureau. This move which was seen as necessary to protect the public by the Democrats,…
From time to time DocuTech is asked provide guidance on how a seller paid buydown should be disclosed on the Truth-in-Lending disclosures. This question has become more frequent with the implementation of the new payment table disclosure requirements introduced by the Federal Reserve Board effective on January 30,…
It has been nearly two years since the mandatory implementation of HUD’s 2010 RESPA rule. You might think that things would now be quiet along the RESPA front, but there is still uncertainty regarding several of its provisions and the industry continues to grapple with compliance. …
Mortgage rates are at historic lows and so many DocuTech clients are working as fast and furious as they can to help borrowers take advantage of the great deals in the market….
On August 10, 2011, technical changes applicable to 24 CFR §§3500 et seq. (“Regulation X”) will be put into effect(see 76 FR 40612). These technical changes are due both to ambiguities that were inadvertently included when Regulation X was amended in November,…
by Lotstein Legal PLLC
www.lotsteinlegal.com
Just when you thought your technology was finally up to date, there is a whole new round of changes headed your way. Unfortunately, rolling out new technology in the mortgage industry is not as simple as a consumer upgrading a cell phone or downloading an app for that….
Summer is here and the temperatures are heating up across the country. The regulatory environment also continues to heat up as new rules and regulations seem to be coming at a hot summer pace. …
Section 1100F of the Dodd-Frank Wall Street Reform and Consumer Protection Act amends section 615(a) of the Fair Credit Reporting Act (“FCRA”) to require creditors to disclose certain credit score information on their adverse action notices provided under FCRA. The Dodd-Frank Act designates that Section 1100F becomes effective on the “designated transfer date” of July 21, 2011. This article will summarize the adverse action requirements under FCRA and the Equal Credit Opportunity ACT (“ECOA”) and discuss the changes required under Dodd-Frank.
The Dodd-Frank Act was enacted to as a response to the financial crisis of the late 2000’s. Part of the blame for this crisis was a perceived lack of responsibility for the quality of securitized loans by loan originators….
by Lotstein Legal PLLC
www.lotsteinlegal.com
The Department of Housing and Urban Development’s (HUD) RESPA team answers questions about the use of the 2010 Good Faith Estimate. Keep in mind the Frequently Asked Questions document and the RESPA ROUNDUP documents must all be consulted to get the benefit of HUD’s cumulative guidance….
On August 26, 2009, the Federal Reserve Board proposed a new rule to be included in Regulation Z (12 CFR §§226 et seq.) that eliminates dual compensation paid to loan originators and prohibits the practice of “steering” consumers into making loans that were not “in their interest because the loans would result in greater compensation for the loan originator” (Federal Register,…
Under the Dodd-Frank Act, lenders will have to retain five percent of every loan sold on the secondary market, except for those that meet the definition of “qualified residential mortgages” (QRM)….
Per Mortgagee Letter 2011-10, the FHA Annual Mortgage Insurance Premium will be increased by 0.25% for case numbers assigned on and after April 18, 2011.
The one-time Upfront Mortgage Insurance Premium will stay at 1.00%,…
The new setting “Use New Loan Originator Compensation Rule” indicates whether the Federal Reserve Board’s Loan Originator Compensation rule (effective April 1, 2011) applies to a given loan.
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Fredric J. Gooch
General Counsel – VP Compliance
DocuTech Corporation
Introduction
New loan originator compensation rules enacted by the Federal Reserve Board go into effect on April 1, 2011. The final rules were released by the Federal Reserve Board on August 16,…
