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Home » News » PHH’s Use of Captive Mortgage Insurers Comes Under CFPB Scrutiny for Possible RESPA Violation
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PHH’s Use of Captive Mortgage Insurers Comes Under CFPB Scrutiny for Possible RESPA Violation

January 19, 2012
PHH Corp. has become the first publicly identified lender targeted to be investigated by the new Consumer Financial Protection Bureau, which is trying to determine if PHH steered mortgage borrowers into using its captive mortgage reinsurance program, the firm revealed last week. “In January 2012, the Consumer Financial Protection Bureau notified the company that the CFPB had opened an investigation to determine whether mortgage insurance premium ceding practices to the company’s captive reinsurers comply with the Real Estate Settlement Procedures Act and other laws enforced by the CFPB and requested certain...
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