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Community bankers: CFPB must modify QM rule

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Mortgage Professional America | 23 Jul 2014, 09:00 AM Agree 0
Community bankers are urging the Consumer Financial Protection Bureau to revise the current qualified mortgage rule, saying it's too burdensome for smaller institutions
  • gheinecke | | 23 Jul 2014, 10:58 AM Agree 0
    Welcome to the world of the Broker. Imagine excessive costs and oversight. We do quarterly reports, have given the buyer the right to sue us as of January 10, 2014 if they miss their payments and are limited to doing mortgages at 2.75%. To say nothing of annual re-certifications with every investor, continuing education annually along with passing these requirements being prohibited from being reimbursed for rapid rescore or extra credit costs, and having to absorb third party verification source costs. To say nothing of taking a test I doubt many bankers could pass. Also banks NEVER disclose what they make and calculate APR differently. In fact I doubt that few "bankers " on the platform even understand how to calculate the APR correctly. Only thing good was the background checks and preventing those bad apples from committing fraud by going from State to State.
  • | | 23 Jul 2014, 11:52 AM Agree 0
    The mortgage business used to be a profession, but due to all the changes it is turning into a perfect position for someone that doesn't need that much income. The people in charge of making the changes basically have no knowledge of what we go through, live in their big homes, and make a great income. They don't have someone telling them how much they can make and definitely would not have liked to take a pay cut like mortgage brokers.
  • Gmac | | 23 Jul 2014, 12:10 PM Agree 0
    Are you listening, CFPB and Congress? You have been repeatedly warned that actions (DODD Frank and the CFPB) you have taken would severely curtail credit availability for borrowers of smaller amounts of money. All of these actions are overcorrection for errors of the past that free markets corrected for immediately after the collapse. Not only are those at the lower end of the economic food chain devastated, but our economy has been restricted by severe artificial underwriting requirements that are overkill. Wake up America! Support the bills being promulgated in Congress to repeal Dodd Frank and eliminate the CFPB. The only legitimate way the CFPB can serve consumers is by fostering comprehensive financial education for school children and any adults who want it. It has proven disastrous as can now be plainly seen to have this rogue agency operating without proper checks and balances. Educate the citizenry, YES! telling merchants (in this case of home mortgages) how much to sell their products for, ABSOLUTELY NOT. Economic justice is best achieved by free men and women through free enterprise with educated consumers. This is a concept that made this country a world leader over the last 200 years. Why do you want to reverse our proven success?
  • Debbie | | 24 Jul 2014, 07:54 AM Agree 0
    Amen! Educate the people! Can't take advantage of somene if they have basic knowledge of the mortgages and the process.
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