Law and legal issues

The Department of Justice argues that mortgage lenders, including Rocket Mortgage, should be held accountable for the work of third-party appraisers.

The Department of Housing and Urban Development did not assign any fault or liability in conjunction with the "historic" settlement.

The decision revealed Monday upholds an appeals court ruling in favor of federal investigators.

Two trade groups filed a lawsuit against the Consumer Financial Protection Bureau claiming it exceeded its authority and ignored the legislative history on medical debts.

The Department of Justice alleges that The Mortgage Firm failed to serve majority Black and Hispanic neighborhoods in the Miami metropolitan area.

The lenders are working on written agreements to resolve the complaints involving a combined 30 mortgage professionals named defendants.

The manufactured home loan lender, a unit of Berkshire Hathaway subsidiary Clayton Homes, was accused of ignoring red flags that sent many borrowers into bankruptcy, default and ultimately out of their homes.

The meals, which were more promotional than sales-oriented, shouldn't make originators exempt from receiving overtime pay, an attorney argued.

Newrez's servicing arm approved an "obviously counterfeit" HELOC request from a bad actor totaling almost $500,000, a complaint claims.

Plaintiffs argue that Mr. Cooper's hefty payment to Alphv hinged on the promise that the criminal organization would delete stolen customer PII.

In multiple 2024 suits filed against mortgage businesses, the plaintiff claims he was never a client, but received messages despite being on the do-not-call list.

Luminate Home Loans closed its Neo Home Loans division in October after it fired leaders allegedly funneling trade secrets to the rival.

The lender and servicer is spending $9.3 million on security upgrades in addition to its pending $25 million fund for consumers and their attorneys.

Jason Mitchell, the CEO of The Mitchell Group, called the CFPB's lawsuit against both his company and Rocket Homes "a witch hunt."

The complaint claims over 50 class members and it alleges potential damages exceeding $5 million from the bank.

Changes to buyer broker commissions, along with the National Association of Realtors battle with the Biden Administration, had an impact on how mortgage lenders operated in 2024.

The watchdog accuses Rocket Homes and The Mitchell Group brokerage of initiating a plan to generate origination business for Rocket Mortgage.

Rival lenders lodged suits for poaching, Rocket sued HUD over appraisal bias and a top LO was accused of large-scale mortgage fraud.

Stakeholders in the financial services space, including the IRS and HUD, filed objections to Hometown's proposed liquidation plan.

A borrower alleges the bank made billions of dollars in profit off millions of dollars in rate lock extension fees it wrongly charged mortgage customers.