WASHINGTON (Reuters) – U.S. and state regulators ordered Wells Fargo (WFC.N) and JPMorgan Chase (JPM.N) to collectively pay $35.7 million on Thursday to settle charges that they participated in an illegal marketing kickback scheme with a now-defunct title company. The Consumer Financial Protection Bureau and the Maryland Attorney General’s Office ordered Wells Fargo to pay… Read More »

Adopt a compliance management system. If you are a frequent reader of our blog, you know that we have emphasized that message over and over and over again. Today, we discuss the most important element of a compliance management system—a written compliance program. The CFPB expects that each entity under its supervision will adopt a… Read More »

That summarizes the mortgage industry’s consensus response to the new “Rate Checker” tool the Consumer Financial Protection Bureau (CFPB) announced recently as part of an “Owning a Home Toolkit” designed to help homebuyers shop for mortgage loans. Using basic information consumers enter about their location, loan amount and collateral value, the rate checker produces prevailing… Read More »

Congress acted quickly as its new session began to approve a six-year extension of the Terrorism Risk Insurance Act (TRIA). Authorizing legislation for the federal program had expired at the end of last year when the Senate failed to vote on a measure the House had approved. President Obama signed the law immediately, restoring the… Read More »

The year began with a strong jolt of positive news: Employers added 252,000 jobs in December, beating estimates, and the unemployment rate declined to 5.6 percent, its lowest level since June, 2008. But wages declined for the first time in more than a year and the labor participation rate slumped, as well, casting a “yes-but”… Read More »

You don’t often see “pro-consumer” linked to a U.S. Supreme Court decision these days, but that’s an apt description of the court’s unanimous ruling on the right of borrowers to rescind mortgage loans. Lower courts had split on whether consumers can simply notify lenders that they are exercising that right or must actually file suit… Read More »

Federal regulatory agencies regularly interpret their regulations through guidance, letters, and memoranda explaining how the rules will be applied. But just how much interpreting and re-interpreting of those rules are the agencies allowed to do? The U.S. Supreme Court is considering that question and its answer could have sweeping implications for the rule-making process –… Read More »

President Barack Obama announced that the Federal Housing Administration will cut fees on the mortgages it insures in order to make buying a home less expensive. The annual premium charged on FHA loans have been trimmed to 85 basis points from the 135 basis points levie. The result for home buyers will be similar to… Read More »

November 13, 2014: CFPB ordered a California mortgage lender, Franklin Loan Corporation to pay $730,000 in compensation to affected consumers who were purportedly steered towards higher interest loans by 32 loan officers who were incentivized with quarterly bonuses to do so. The CFPB found that these bonus payments violated the Federal Reserve Board’s Loan Originator… Read More »