- FHA Urges Mortgage Forbearance During D.C. Shutdown
American Banker 11 Oct 2013
Federal Housing Administration (FHA) Commissioner Carol Galante in a Friday letter urged banks and mortgage lenders to "make every effort to communicate with and assist affected borrowers."
- September Foreclosure Activity Falls 27 Percent
Housing Wire 10 Oct 2013
The newest data from RealtyTrac reflect a sharp drop in U.S. foreclosure filings in September, which was the 36th consecutive month of year-over-year declines. According to the report, 131,232 homes nationwide were facing a default notice, auction sale, or bank seizure last month -- 27 percent fewer than in September 2012.
- CFPB Takes Aggressive Action Against HMDA Violators
American Banker 10 Oct 2013
The Consumer Financial Protection Bureau (CFPB) on Oct. 9 penalized two non-bank mortgage lenders for reporting erroneous data to regulators.
- State Laws Offer Consumers Varying Degrees of Protections From Creditors, Report Says
Washington Post 10 Oct 2013
In a new report, the National Consumer Law Center (NCLC) graded state “exemption laws” intended to protect struggling families from creditors. Few places were found to have satisfied five basic standards for protecting consumers: preserving at least $1,000 in a bank account and barring creditors from seizing vehicles, household goods, homes, and most wages.
- Regulators Encourage Loan Workouts for Those Caught in Gov't Shutdown
American Banker 10 Oct 2013
Banks and other financial institutions should consider loan modifications for borrowers impacted by the government closure, according to federal regulators.
- Lakewood OH Extends Ban on Payday Lenders
Lakewood Patch (OH) 10 Oct 2013
Officials in Lakewood, Ohio, say that many payday lenders are exploiting “loopholes” in the 2008 Short-Term Lending Act, which otherwise caps the interest rates that these lenders can charge.
- Susan Tompor: Bill Proposed to Help Consumers Close Their Bank Accounts
Detroit Free Press 10 Oct 2013
Unhappy consumers who want to leave their bank face many frustrations, such as added fees and reopening of accounts that they thought they had closed. Their experiences have prompted the proposal of the Freedom and Mobility in Consumer Banking Act, which would require the U.S. banking system to create clear rules for closing a bank account.
- SunTrust Settles Some Mortgage Claims With Regulators
Reuters 10 Oct 2013
SunTrust Banks Inc. on Oct. 10 announced that it has reached agreements with the Department of Housing and Urban Development and the Department of Justice to settle mortgage origination claims and its obligation under the national mortgage servicing settlement.
- CFPB: Student Loan Debt Hijacks the Housing Recovery
Housing Wire 09 Oct 2013
Rohit Chopra, the student loan ombudsman for the Consumer Financial Protection Bureau (CFPB), reports that student loan debt is having a strong trickle-down effect on the health of the housing sector. He is urging the industry to seek a securitization cure to create a more financially responsible industry. The
- Consumer Group Finds Racial Disparity in Bank Complaints
Washington Post 09 Oct 2013
People in minority neighborhoods are more likely to file complaints with the Consumer Financial Protection Bureau (CFPB) about their banks than those in predominantly white communities are, according to a new report from the National Community Reinvestment Coalition.
- Prepaid Debit Cards Shed Some Fees, But Face Scrutiny
New York Times 09 Oct 2013
American Express became the latest company to introduce a prepaid card offering when it announced Oct. 8 that starting in November, customers will be able to load cash onto its Serve prepaid card, without charge, at about 14,000 CVS and 7-Eleven stores. The cards have grown in popularity in recent years and are now offered by major banks as well as alternative financing companies.
- J.P. Morgan to Cull Business Clients
Wall Street Journal 09 Oct 2013
JPMorgan Chase is seeking to rein in lending to pawn shops, payday lenders, check cashers, "buy here pay here" auto dealerships, and third-party payment processors as it moves to tighten controls in the face of greater regulatory scrutiny.
- No Decision Yet on Caldwell Payday Loan Centers Rezone
Idaho Press-Tribune 09 Oct 2013
The next city council meeting in Caldwell, Idaho, may involve a decision to move payday loan businesses away from the city's commercial zones
- California Banks, Credit Unions Warned to Be on Lookout for Illegal Payday Lenders
Sacramento Bee (CA) 09 Oct 2013
In its ongoing crackdown against illegal payday loans, California is warning banks and credit unions to watch for fraudulent lenders. "By accepting debit and credit transactions from unlicensed payday lenders ... financial institutions are, knowingly or unknowingly, enabling illegal payday loan transactions to occur in California," the state Department of Business Oversight (DBO) cautioned on Oct. 7 in letters to more than 300 state-licensed institutions.
- MBA: Mortgage Credit Availability Declined 0.7 Percent in September
Banker & Tradesman 08 Oct 2013
Loan underwriting criteria are tightening, if the Mortgage Credit Availability Index (MCAI) is any indication.
- Cash-Strapped States Diverted Dollars Meant for Mortgage Relief
Chico Enterprise-Record (CA) 08 Oct 2013
Many states are using money from a $2.5 billion settlement with major mortgage lenders -- meant to alleviate the housing crisis -- to plug budget holes, fund pet projects, or promote economic development. Instead of for the intended purpose, states have tapped at least $1 billion for non-housing related initiatives.
- Young Credit Card Holders Are Less Likely to Default
Bloomberg 08 Oct 2013
Although Congress passed the CARD Act in 2009 to help prevent consumers under age 21 from digging themselves deep into credit card debt, a new study by researchers at Arizona State University and the Federal Reserve Bank of Richmond suggests that younger credit card users are not more likely to default. Consumers in this age group, rather, are working to build a credit history.
- Va. Delegate Wants Federal Workers Protected From Debt Collection
WTOP.com 08 Oct 2013
Virginia Del. Bob Marshall (R-Manassas) has proposed legislation to keep state residents employed by the U.S. government from being taken to court for debt collections due to the federal shutdown
- Despite 2010 Bill, Payday Loans Continue
Colorado Springs Business Journal 08 Oct 2013
Recent data from the Colorado attorney general’s office shows that the number of payday loans in the state increased slightly from 2011 to 2012. Under rules by the Colorado General Assembly, payday lenders cannot offer loans larger than $500 or charge interest rates greater than 45 percent. Although the borrowed amount for individual payday loans has increased, the number of businesses offering the product in Colorado has declined.
- Foreclosures Recede as Housing Rebounds
Wall Street Journal 08 Oct 2013
The number of foreclosures continues to fall but remains at a level that is higher than normal. CoreLogic reports that there were 48,000 foreclosures completed in August, down 35 percent from a year earlier.