A new California bill that seeks to regulate the use of automated decision tools is facing strong opposition from the Mortgage Bankers Association and other trade groups.
The bills with endorsements from the MBA marked up by a House committee didn’t garner support from Democrats, making it unlikely that they’ll be signed into law during the Biden administration.
Critics argue the new second mortgage program is another attempt by Freddie Mac to expand its footprint. But GSE insiders say it’s already allowed under its charter.
Industry trade groups as well as analysts believe the proposed waiver pilot is purely a political gesture and will, in fact, expose borrowers and lenders to financial risk.
The Homebuyers Privacy Protection Act has bipartisan support in the House. The bill, like its companion bill in the Senate, would amend the Fair Credit Reporting Act to prohibit the sale of consumers’ information without their approval.
A proposal from the Federal Communications Commission could sharply limit lead generation activity. Meanwhile, the CFPB apparently can’t do much about trigger leads and legislation in Congress hasn’t moved.