News By Edition

Jason Keller, associate director of U.S. Advisory Services with Wolters Kluwer Compliance Solutions and former community and economic senior advisor at the Federal Reserve Bank of Chicago, spoke with Dodd Frank Update about the upcoming Community Reinvestment Act modernization rules and what lenders can do to get ready for any changes. Read on for more details.

At CBA Live, hosted by the Consumer Bankers Association, Dodd Frank Update sat in on a discussion with experts about the next frontier in fair lending: artificial intelligence (AI). The panel of experts discussed the ways AI is being used in fair lending and what regulators are doing in response to this new tool. Read on for more details.

The Mortgage Bankers Association, National Association of Realtors, and the National Association of Home Builders filed an amici brief with the U.S. Supreme Court in Consumer Financial Protection Bureau v. Community Financial Services Association of America which will determine the constitutionality of the Consumer Financial Protection Bureau’s funding structure. Read on for more details.

Wells Fargo entered into a preliminary settlement agreement with shareholders as part of a class action lawsuit related to misleading information Wells Fargo provided regarding its response to the creation of fake accounts – which was made public in 2016 – and resulted in nearly $200 million in fines from regulators. Read on for more details.

Even though the Consumer Financial Protection Bureau has not issued a RESPA-related enforcement action recently, that does not mean it is not on the bureau’s radar. With its advisory opinion on digital comparison shopping platforms in February, servicers may be left with questions about how to comply with RESPA’s requirements while also maximizing consumer reach and drive production. Franzén & Salzano President Loretta Salzano and Firstline Compliance, LLC Vice President Jerra Ryan are experts who can clarify some uncertainties. Read on for more details.

The Mortgage Bankers Association reported mortgage applications declined for the week ending May 12, compared with one week prior. Read on for more details.

President Joe Biden announced his nominees to the Federal Reserve Board of Governors, including one promotion to vice chair, a renomination, and the filling of a vacancy left by former Fed Gov. Lael Brainard who now serves as director of the National Economic Council. Read on for more details.

The Consumer Financial Protection Bureau issued a compliance guide for small entities that are to be subject to the Section 1071 small-business lending rule. The guide provides a detailed summary of the final rule’s requirements and provides details and examples when necessary to clarify and explain the different components and requirements of the final rule as it affects small entities. Read on for more details.

Rep. Maxine Waters (D-Calif.), ranking member of the House Financial Services Committee, and Sen. Sherrod Brown (D-Ohio), chair of the Senate Banking, Housing, and Urban Affairs Committee, have been joined by 144 current and former members of Congress in filing an amicus brief supporting the Consumer Financial Protection Bureau in the case seeking to determine the constitutionality of its funding structure. Read on for more details.

New York Attorney General Letitia James announced “nation-leading” regulations on the cryptocurrency industry which aims to protect investors, consumers, and the broader economy. The Crypto Regulation, Protection, Transparency, and Oversight (CRPTO) Act was proposed to the New York State Assembly and State Senate by James’ office in collaboration with New York Department of Financial Services. Read on for more details.

The Securities and Exchange Commission announced charges against HSBC Securities (USA) Inc. and Scotia Capital (USA) Inc. for “widespread and longstanding” failures by both firms and their employees to maintain and preserve electronic communications. Read on for more details.

A new installment of October Research’s Economic Forecast webinar series welcomes international real estate expert Dr. Ted Jones, who delved into numerous topics affecting the title industry, housing and the mortgage market. Read on for more details.

The Federal Housing Finance Agency (FHFA) issued a request for input (RFI) on Fannie Mae and Freddie Mac’s single-family pricing framework. The RFI solicits public feedback on the goals and policy priorities that FHFA should pursue in its oversight of the pricing framework. Read on for more details.

At CBA Live, hosted by the Consumer Bankers Association (CBA), Dodd Frank Update sat in on a conversation by experts who discussed the Consumer Financial Protection Bureau’s rulemaking for section 1033, the personal financial data access rule. This upcoming rule intends to grant consumers greater access to their personal financial data, as well as regulating the way consumer financial services providers use and store that data.

Read on for more details.

The Consumer Financial Protection Bureau filed its brief with the U.S. Supreme Court for its case against Community Financial Services Association of America which questioned whether the bureau’s funding structure – which sees its annual budget provided by the Federal Reserve instead of Congress – is a violation of the appropriations clause. Read on for more details.

The Consumer Financial Protection Bureau released its latest circular which issues a warning to banks about the practice of “reopening” closed accounts to process transactions and apply fees. The circular confirms that engaging in such activity might put banks in violation of the Consumer Financial Protection Act. Read on for more details.

North Carolina-based First Citizens Bank saw a $9.5 billion profit in the first quarter after receiving discounts from federal regulators when it agreed to acquire loans and assume deposits from Silicon Valley Bank after its collapse. Read on for more details.

Accurate Group released its 2023 U.S. Housing Equity Loan Survey, designed to capture homeowner intentions and tolerance for engaging in real estate lending over the next 12 months. Read on for more details.

The Federal Deposit Insurance Corp. proposed a new rule that would allow it to impose special assessments to recover the loss to the deposit insurance fund arising from the protection of uninsured depositors in connection with the systemic risk determination announced following the closures of Silicon Valley Bank and Signature Bank. Read on for more details.

The California Department of Financial Protection and Innovation released its findings following an investigation into the collapse of Silicon Valley Bank. The regulator’s findings echo the finding previously published by the Federal Reserve, stating regulators did not act early or forcefully enough to prevent the collapse. Read on for more details.

The Federal Reserve released its latest financial stability report, which warned that banks’ concerns about slower economic growth could lead to decreases in lending, accelerating the current economic slowdown. It also highlighted areas of heightened risk within financial markets that may face increased scrutiny from bank examiners. Read on for more details.

In an attempt to bring charges against non-bank mortgage company Ocwen for alleged violations of federal consumer protection laws that occurred while Ocwen was under a consent order with the Consumer Financial Protection Bureau (CFPB), a district judge in the Southern District of Florida has held that the CFPB is barred from bringing claims from that period. Read on for more details.

Philadelphia-based Republic First Bancorp announced plans to exit the mortgage origination business, as well as plans to streamline its commercial lending business. Read on for more details.

Crypto exchange Bittrex announced it filed for Chapter 11 bankruptcy in federal court in Delaware following a Securities and Exchange Commission investigation and suit and the decision to cease operations in the U.S. in April. Read on for more details.

Sen. Sherrod Brown (D-Ohio) sent letters to six large banks that offer voice authentication services, outlining concerns that artificial intelligence could be used to generate voice clips that allow fraudulent actors to break into customers’ accounts. Read on for more details.

The Texas Bankers Association, along with Rio Bank of McAllen, Texas, filed suit in the U.S. District Court for the Southern District of Texas against the Consumer Financial Protection Bureau to challenge the section 1071 small business lending final rule issued on March 30. The complaint alleges, among other things, the final rule will drive smaller lenders from the marketplace if they are forced to comply. Read on for more details.

At CBA Live 2023 in Las Vegas, Nev., Consumer Bankers Association President and CEO Lindsey Johnson and Consumer Financial Protection Bureau Director Rohit Chopra discussed the state of banking following significant bank collapses, banking regulation, and what can be expected in the future. Read on for more details.

In a recently released report, the Federal Deposit Insurance Corp. outlined and analyzed the risks and benefits of different options for reforming deposit insurance. The options include maintaining the current limited coverage framework, extending existing deposit insurance coverage to all deposits, or developing “targeted coverage” for different types of accounts. Read on for more details.

TD Bank and First Horizon have mutually agreed to terminate their previously announced merger agreement. Read on for more details.

In a new survey from the National Federation of Independent Business, the relationship between small businesses and banks was assessed, offering insight into small-business banking operations and the confidence small businesses have in the banking system and the economy. Read on for more details.

The Federal Reserve Federal Open Market Committee voted to increase the federal fund rate by an additional 25 basis points during its May 2-3 meeting. Fed Chair Jerome Powell indicated this increase is possibly the last in a series of rate hikes started in March 2022 to address record-high inflation. Read on for more details.

Following almost two months of efforts to recover from the impact of the Silvergate, Signature, and Silicon Valley Bank collapse, First Republic Bank was taken into receivership by the Federal Deposit Insurance Corp. (FDIC) and sold to JPMorgan Chase. The FDIC has said it will cover a portion of any losses incurred on First Republic’s portfolio of single-family residential mortgage loans. Read on for more details.

The Consumer Financial Protection Bureau, Federal Trade Commission, the Civil Rights Division of the U.S. Department of Justice, and the Equal Employment Opportunity Commission released a joint statement outlining a commitment to enforce their respective laws and regulations against firms that engage in unlawful discrimination through the guise of artificial intelligence tools. Read on for more details.

New data from Black Knight’s monthly Mortgage Monitor found home prices rose again in March for the third consecutive month, with limited new housing supply seen as the primary cause. Read on for more details.

Sen. Jon Kennedy (R-La.) introduced the Transparency in CFPB Cost-Benefit Analysis Act which would require, among other things, the Consumer Financial Protection Bureau (CFPB) perform a cost-benefit analysis during any rulemaking activity. Read on for more details.

A group of Republican senators introduced a bill designed to eliminate the Consumer Financial Protection Bureau. Read on for more details.

Oklahoma City-based WEOKIW Federal Credit Union has signed a contract to implement the Empower LOS from Black Knight.

Columbus, Ohio-based Go Mortgage announced the appointment of Jessica Manna as its chief marketing officer.

San Francisco-based First Republic Bank released its first quarter earnings report, giving investors a first glimpse at the state of the bank following its near-collapse as a ripple effect of the collapse of Silicon Valley Bank and Signature Bank in early March. In an effort to prevent First Republic’s collapse, national banks issued it a $30 billion in deposits to increase liquidity as depositors and investors acted in fear. Read on for more details.

The Mortgage Bankers Association filed an amicus brief in a lawsuit alleging an appraiser and a lender violated federal law by lowering the valuation of a home because the owners were Black and by denying a mortgage refinancing application based on that low appraisal. The amicus brief seeks to respond to a statement of interest filed by the Consumer Financial Protection Bureau and the Department of Justice. Read on for more details.

Cryptocurrency exchange platform Coinbase filed an action in federal court seeking to compel the Securities and Exchange Commission (SEC) to provide a response to a petition filed by the company in July 2022. The petition requested the SEC propose and adopt clearer regulatory guidelines for the cryptocurrency industry. Read on for more details.

October Research and Dodd Frank Update hosted industry experts to discuss the nuances and utilities of special purpose credit programs on a recent webinar.

Read on for more details.

Department of Housing and Urban Development Secretary Marcia Fudge announced the additional steps that the agency is taking to ensure that otherwise-qualified individuals are not denied housing opportunities solely due to a criminal record. Read on for more details.

The Federal Financial Institutions Examination Council Appraisal Subcommittee released the names of the individuals who are providing testimony during its second public hearing on May 19. Read on for more details.