WASHINGTON, D.C. – January 17, 2012 – (RealEstateRama) — David H. Stevens, President and CEO of the Mortgage Bankers Association (MBA), issued the following statement on the final Mortgage Servicing Rules released today by the Consumer Financial Protection Bureau (CFPB).
“MBA commends Director Cordray and the CFPB for finalizing the mortgage servicing rules, and continuing to produce regulations that enhance transparency and certainty for borrowers and servicers alike. Overall, the objective of this effort is the right one – create one set of rules so that borrowers know how they will be treated and servicers know what is expected of them.
“While we still have not seen the full rule, the information we have seen so far indicates that the CFPB made productive changes to a number of the provisions, many of which were suggested by MBA and other stakeholders and we appreciate the CFPB’s inclusive rulemaking process. As with any rule of this size, the devil is truly in the details, and for servicers, that means how the rules are implemented and operationalized.
“An initial reading of the summary indicates that there are some issues that still concern us. For example, the definition of ‘small servicer’, while improved, may still be too narrow and there may be inconsistencies between the new rules around dual tracking and existing timelines mandated by Fannie Mae, Freddie Mac, FHA and the states.
“We look forward to continuing to work with the CFPB to smooth over the implementation process for these new rules and address any remaining concerns with the new standards.”
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.
John Mechem (202) 557-2924