Fed's Duke: Community banks need a separate set of mortgage rules

A Federal Reserve governor said the crush of mortgage regulations emanating from Dodd-Frank and the capital framework proposed by the banking agencies could “seriously impair the ability of community banks to offer their traditional mortgage products.” Elizabeth Duke argued policymakers should change course as they work to finalize rules that will impact community institutions’ mortgage operations. Read on to learn about her concerns and why she believes small institutions must have their own mortgage rules.