The financial system of the United States changed when President Obama signed the Dodd-Frank Wall Street Reform and Consumer Protection Act last July.
The Dodd-Frank Act is intended to promote the nation’s financial stability by improving accountability and transparency in the economy by protecting the American taxpayer by ending bailouts, protecting consumers from abusive financial services practices, and for other purposes.
Dallas-based MRG Document Technologies, a provider of mortgage document preparation software and compliance technology to banks, credit unions and other lenders nationwide, recently explained to the Wisconsin Credit Union Real Estate Network the implications the Dodd-Frank Act has on the mortgage loan process.
Marsha Williams, an attorney and chair of the National Mortgage Compliance Practice Group at MRG, Michael O’Leary, senior mortgage consultant, and Kathleen Mantych, senior marketing director, were the three speakers at the presentation. The purpose of the presentation was to educate union representatives about the regulations and the most cost-effective, thorough methods of compliance.
“With the influx of government regulations, we are happy to share our insight and product knowledge with credit union professionals,” Mantych said. “Knowledge of the new regulations and the technology needed to adapt will help credit unions grow and improve their business.”
To streamline the regulatory process, the act consolidated and created new agencies. The act says all of the new agencies have to report annually or biannually to Congress presenting the results of their financial plans and to explain future goals.
The law amended the Federal Reserve Act and developed new oversight of specific institutions that are regarded as systemic risk.
The act also establishes a comprehensive regulation of financial markets, including increased transparency of derivatives to protect the economy, American consumers, and investors and businesses.
