WASHINGTON, D.C. – February 2, 2011 – (RealEstateRama) — John A. Courson, President and CEO of the Mortgage Bankers Association (MBA) today issued the following statement in response to the Federal Reserve Board’s announcement that it would not finalize three pending rulemakings under Regulation Z, which implements the Truth in Lending Act (TILA), prior to the transfer of authority for such rulemakings to the Consumer Financial Protection Bureau (CFPB).
“It is wholly appropriate for the Fed to halt these rulemakings. All along we have asked the Fed to suspend its Reg. Z rulemakings, knowing that the CFPB would soon take up many of the same TILA issues. We agree with the Board’s analysis that completing these rulemakings, then having the CFPB do its own rulemaking shortly thereafter, would not be in the public’s best interest. A series of unnecessarily duplicative rulemakings would have increased confusion, regulatory burden and costs to the very consumers these rules should protect. We look forward to working with the CFPB on its rule to address many of the same issues and to harmonize the TILA and RESPA consumer disclosures.”
The Mortgage Bankers Association (MBA) is the national association representing the real estate finance industry, an industry that employs more than 280,000 people in virtually every community in the country. Headquartered in Washington, D.C., the association works to ensure the continued strength of the nation’s residential and commercial real estate markets; to expand homeownership and extend access to affordable housing to all Americans. MBA promotes fair and ethical lending practices and fosters professional excellence among real estate finance employees through a wide range of educational programs and a variety of publications. Its membership of over 2,200 companies includes all elements of real estate finance: mortgage companies, mortgage brokers, commercial banks, thrifts, Wall Street conduits, life insurance companies and others in the mortgage lending field. For additional information, visit MBA’s Web site: www.mortgagebankers.org.