Industry Groups Urge Caution on Fed Proposal to Eliminate Rate-Based Loan Originator Compensation
January 7, 2010
Mortgage lenders are urging the Federal Reserve Board to proceed cautiously on a proposal to ban loan originator compensation based on loan terms or conditions and to make the rules sufficiently clear to avoid costly litigation and the hefty penalties under the Truth in Lending Act. Industry groups also called for a variety of practices to be excluded from the controversial proposal, which is...