FASB Rolls Servicer Discretion Debate Over to Permitted QSPE Activities Project
August 4, 2006
The Financial Accounting Standards Board has added the debate on servicer discretion to a long-running project to clarify the permitted activities for a qualifying special-purpose entity, or QSPE, to ensure consistency in a forthcoming guidance for mortgage securitizations. The Mortgage Bankers Association has been closely following FASB’s discussions on both projects due to their implications for the accounting treatment of mortgage securitizations. The two projects are part of an ongoing board effort to update…