Compliance & Regulation

Senators Jon Tester, D-Mont., and David Vitter, R-La., are urging the Federal Reserve Board to indefinitely delay implementation of its loan officer compensation rule which goes into effect April 1.

In a Federal Deposit Insurance Corp. statement released today on the legislative proposals to create a U.S. covered bond market, the agency said that it has "significant concerns" regarding the United States Covered Bond Act of 2011 (H.R. 290).

Far more than any trader's profane e-mails, due diligence reports from the securitization boom could worsen the financial industry's litigation headaches — and conceivably expose some firms and individuals to criminal charges.

Many believe the government went overboard by setting unrealistic goals, a move that could backfire and give banks more leverage to fight some of the most onerous requirements.

Former Fannie Mae CEO Daniel Mudd, who oversaw the GSE's huge expansion into nonprime investing and securitization, late last week received a "Wells Notice" from the Securities and Exchange Commission, indicating that he may face civil charges for allegedly misleading investors about the company's financial condition.

As part of national consumer protection week, the Lawyers’ Committee for Civil Rights Under Law and pro-bono counsel Davis Polk & Wardwell LLP filed a lawsuit on March 9 against for-profit loan modification companies who targeted vulnerable New York State homeowners.

The Federal Trade Commission is suing a national operation with marketing false loan modification services targeting homeowners who are behind in their mortgage payments or facing foreclosure.

One of the most far-reaching outcomes of the mortgage meltdown is the recognition that when the data underlying an application is inaccurate, the loan is not likely to be either suitable or sustainable.

AB 406- This bill would PROHIBIT BALLOON PAYMENTS from being included in the terms of an adjustable rate loan, as defined, for real property containing one to four residential units secured by a mortgage or deed of trust on real property.

The Federal Housing Finance Agency has extended a special program for one year so more borrowers can refinance and lower their mortgage payments.