Paul Muolo

For the past year nonbank loan officers have complained they must meet state licensing requirements and pass LO tests while their bank counterparts merely need to register with the states.

When the CFPB’s loan officer compensation proposal came out late Wednesday night nonbank mortgage lenders and loan brokers hit the roof. Some trade group officials thought the young agency actually understood the mortgage market, thinking it would do what is best for consumers – which brokers believe would benefit them.

A major shake up in the senior ranks at Arch Bay Capital has taken place with several departures from the company, according to three nonperforming loan investors that have conducted business with the firm.

Industry veteran Mark Korell, who four years ago joined the mortgage division of JPMorgan Chase, has left the company, according to colleagues who are close to him.

Specialty servicer Walter Investment Management Corp., Tampa, Fla., earned $5.1 million in the first quarter, a 46% jump from the same period a year ago as its servicing business threw off a large amount of cash flow.

Newcastle Investment Corp. is “very optimistic” it will participate in a big investment in mortgage servicing rights with other entities that its manager oversees.

Once again the government is taking out the mortgage crisis on nonbanks, their loan officers and mortgage brokers. On Monday National Mortgage News will publish a more detailed story about the mess, but suffice to say there are many things that rankle nonbanks concerning the Consumer Financial Protection Bureau’s new mortgage compensation rule.

The Consumer Financial Protection Bureau is expected to unveil a flat free compensation proposal Wednesday night after briefing industry officials on the matter earlier in the day.

Industry vendor CoreLogic has decided to close its appraisal management company in Danvers, Mass.

SpringLeaf Finance Corp., which is partly controlled by the U.S. government, has entered into another round of layoffs, and may have to file for bankruptcy protection.

Some loan officers hate appraisal management companies (AMCs) and here’s why: Several megabanks control AMCs through joint ventures and are making huge fee income while paying rank and file appraisers little.

Fannie Mae posted $3 billion in total “comprehensive” income in the first quarter, and then turned around and paid the U.S. Treasury $2.8 billion in dividends.

What the heck ever happened to Uncle Sam’s subprime (real estate) lender, Springleaf Financial? Good question.

Stearns Lending Inc. this week hired former Bank of America and MetLife executive Brian Hale as its new chief executive officer.

Stearns Lending Inc., one of the nation’s largest wholesale funders, this week hired former Bank of America and MetLife executive Brian Hale as its new chief executive officer.

Nationstar, which recently sold stock to the public, is continuing negotiations to buy Residential Capital Corp./GMAC from Ally Financial through a prepackaged bankruptcy agreement.

HARP 2.0 is hot – or so we keep hearing. Late last year the Treasury Department finally found the keys to the HARP kingdom: take the loan-to-value ratio girdle totally off the patient and see what happens.

HSBC Bank USA said that it has inked a deal to transfer roughly $52 billion of residential servicing rights to PHH Corp., which also will absorb two-thirds of its mortgage work force.

A timeline Acting FHFA director Ed DeMarco provided to Congress in March targets September as the date for the first single-family risk-sharing deals. But the question boils down to this: What will Fannie and Freddie come up with and will it be profit-enticing enough for the private sector jump on board?

There may be a simple reason why Wells won’t buy mortgages from a certain lender.