The Dodd-Frank Wall Street Reform and Consumer Protection Act brings dramatic changes to the financial regulatory landscape, but as compliance experts inspect the new law more closely they are finding twists and turns more complex than first imagined. Over the next 12 months, with a possible extension to 18 months, the newly born Bureau of Consumer... [Includes one chart]
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With states’ enforcement powers gaining more strength under the new financial reform law, banks should consider moving their lending operations out of subsidiaries or risk such operations becoming subject to state licensing and lending laws, compliance experts with Sonnenschein Nath & Rosenthal suggest. While federal preemption will still be available to federally regulated banks and...
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Title X and Title XIV provisions that do not require implementing regulations are raising some legal uncertainties in terms of their effective dates, according to compliance experts. While most of the effective dates pertaining to the Bureau of Consumer Financial Protection occur on the “designated transfer date” or sometime thereafter, certain provisions, particularly under...
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The Department of Housing and Urban Development will investigate certain mortgage lenders for allegedly discriminating against expectant mothers and people with short-term disability. HUD said it is launching the investigations in response to a recent New York Times report that certain lenders have illegally denied mortgage loans to pregnant mothers, parents with new babies...
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The Senate is considering legislation passed by the House of Representatives last week which would make key reforms to the National Flood Insurance Program and reauthorize it for five years. By a vote of 329-90, the House passed H.R. 5114, the Flood Insurance Reform and Priorities Act of 2010, on July 15 to end the series of lapses and short-term extensions to the NFIP that have...
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Broker reluctance to report associates whom the broker has fired for violating California real estate regulations has prompted the state’s Department of Real Estate to test a new policy aimed at weeding out the bad apples. Under existing state law, a broker is required to notify the DRE immediately after discharging an employee for violation of real estate law or...
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The Los Angeles City Council is cracking down on mortgage lenders that seize foreclosed homes and let them fall into disrepair and decay, leaving the city to pick up the tab for cleanup or demolition. Council President Eric Garcetti said the ordinance was passed to stop financial institutions from compounding LA’s dire foreclosure crisis by seizing homes and...
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Federal banking regulators are expected to issue final regulations next month that will implement requirements under the Secure and Fair Enforcement for Mortgage Licensing Act for registering federally employed loan originators. The expected action comes after the Office of Management and Budget, after a seven-month review, cleared July 13 final rules submitted by the Office of...
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Pennsylvania. The state Departments of Banking and Aging have announced a new policy on reverse mortgages to help protect elderly homeowners... Oregon. The state Department of Consumer and Business Services recently took enforcement actions against several mortgage lenders for violating...
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Subpoenas Issued for PLS Docs. The FHFA, as conservator of Fannie Mae and Freddie Mac, has started a financial inquiry to determine whether... Goldman Sachs Agrees to Settle Government’s Securities Fraud Complaint. On July 15, the Wall Street titan agreed to pay... Mystery Shopper Scam. With many new college graduates in need of temporary work while looking for full-time jobs, the FTC has...
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The American Land Title Association has updated its uniform instructions to help facilitate the handling of new settlement documents that became mandatory...
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