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Broker compensation rules

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Iain Gliddon | 29 Apr 2014, 06:31 PM Agree 3
I doubt the CFPB or other government agencies would consider the rules around broker compensation - it makes too much sense. I believe the goal of the CFPB is to eliminate as many brokers as possible through onerous regulations.
  • KP | | 29 Apr 2014, 06:48 PM Agree 1
    Iain - Don't think you could have said it any better. Our industry continues to get bogged down with more and more regulation, but somehow we and the wholesale lenders always figure out loopholes to maneuver through them.
  • Simon Dalambert | | 29 Apr 2014, 06:53 PM Agree 3
    If a company can't make it on 3 points. They really don't have a sound business model. And need to be run out of business. I charge one point on all my mortgages and do very well. The Broker that can't make it work, should just unload their mortgage originators and hire processors. I am seeing this done in small Texas shops of 10 LO or less. The applications are done on line and the owner just signs on all mortgage applications. The LO is just a referal source. They are really not needed. If the LO's are any good. They will go out and get their own brokers licenses.
  • David Moore | | 29 Apr 2014, 07:06 PM Agree 2
    Without a doubt, the politicians have written the regulations in favor of the too big to fail banks, whether it is educational, test taking and fees paid to continue in business, it was all designed to put the little guy out of business and squelch competition. The 4 big box banks will get together over a steak dinner once a month and decide what the consumers in this country will pay for financing. To me it is as plain as the nose on your face. The problem is, the banks have deeper pockets and contribute more money to political campaigns, pure and simple.
  • Benjamin Albert | | 29 Apr 2014, 10:17 PM Agree 1
    I agree with you Iain all the way. The devils in the details as the old saying goes. The fact that depository and non depository lenders are not only subjected to the same proposed rules but also not having to adhere to the same educational requirements Says It all
  • woodmiriam8 | | 29 Dec 2014, 03:36 AM Agree 0
    The rule prohibits a creditor or any other person from paying, directly or indirectly, compensation to a mortgage broker or any other mortgage originator that is based on a mortgage transaction's terms or conditions, except the amount of credit extended. The rule also prohibits any person from paying compensation to a mortgage originator for a particular transaction if the consumer pays the mortgage originator's compensation directly.
  • Joe | | 13 Jun 2015, 07:35 AM Agree 0
    Iain: The CFPB, one of the only agencies that has no one regulating them. The biggest from of government hypocrisy in action. To limit the compensation of any worker,in any industry, but not have any limits on your own salaries is criminal.
  • Emilie Bak | | 23 Jul 2015, 03:11 AM Agree 0
    Really a great tips for others is given their official website CFPB .
  • | | 07 Aug 2017, 02:32 PM Agree 0
    Simon Dalambert |Just wondering if this mental midget is still in business. The Mortgage Loan Officers are the sales people that generate the business...so many people forget that. Without the sales force...in this case Loan Officer no one else would have a job. Nothing in this world happens until a salesperson sells a good or service.
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