Compliance & Regulation

The issue of premium capture continues to cause perhaps the most concern in the securities market when it comes to the developing risk retention requirements for securitized product.

A prominent realtor, her son and daughter-in-law pleaded guilty earlier this week to an expanding mortgage fraud that enabled them to buy expensive vacation homes at Alabama’s Gulf Shores using “straw borrowers” to qualify for credit union loans.

The Consumer Financial Protection Bureau is set to release Wednesday two prototypes for a single, streamlined mortgage disclosure form.

As home prices fall again and regulatory reforms take hold, long-simmering tensions between mortgage lenders and appraisers are flaring up anew.

Politicians and government leaders did not have a comprehensive knowledge of the mortgage and appraisal industries as they struggled to set the policy that avoided an even deeper financial crisis than what occurred in 2008, said former U.S. Congressman Paul Kanjorski during a technology conference ongoing in Las Vegas this week.

Once mortgage fraudsters find a chink in a lender's armor, they not only zero in on it, but they also pass it around to their fellow thieves, speakers at a conference in Las Vegas said.

The risk retention proposal will give the "too big to fail" banks a competitive advantage over smaller banks in the mortgage securitization market, according to a new report from the Amherst Securities Group.

The House Financial Services Committee late last week approved several bills to restructure the new Consumer Financial Protection Bureau and curb its powers until the agency’s first director is confirmed by the Senate.

A U.S. attorney is taking a novel approach to suing Deutsche Bank for the alleged "reckless" FHA lending practices of its MortgageIT subsidiary with the case sending a chill through other government lenders who fear they, too, may be on the government’s hit list.

Fifteen industry and consumer groups are urging federal regulators to extend the June 10 comment period on the contentious risk retention proposal, which they say will have an “enormous impact on the availability and cost” of obtaining a mortgage.