Consumer complaints to the CFPB about mortgage-related issues are on the verge of a free-fall, with volumes dropping by double digits, quarterly and annually, in every category tracked, according to a new analysis and ranking by Inside the CFPB. For starters, total gripes fell 15.9 percent from the third quarter of 2017 to the fourth quarter, and by 27.8 percent year over year. Digging into specific kinds of complaints, criticisms about loan modifications mirrored those trend lines, dropping 15.3 percent from 3Q17 to 4Q17, and by 29.2 percent on an annual basis. When it came to mortgage servicing, consumer kvetching was on a parallel track, down 13.0 percent and 26.4 percent, quarter over quarter and year over year, respectively. In ...
In a joint brief filed this week, federal respondents took issue with arguments made by GSE shareholders in their fight against the net worth sweep and said a shareholder petition for a Supreme Court review of their case should not be granted. Shareholders in several cases filed three petitions for a writ of certiorari back in November. The plaintiffs asked the Supreme Court of the United States to intervene to “restore certainty and uniformity.” They claim that the Federal Housing Finance Agency acted unconstitutionally when it imposed the net worth sweep.
Freddie Mac Names Head of HR and Diversity. Freddie Mac announced that Jacqueline Welch has been named head of the Human Resources, Diversity & Inclusion (HRDI) division and chief diversity officer. In her expanded role as senior vice president of HRDI and CDO, Welch will be a member of the company’s senior operating committee and will report directly to Freddie Mac CEO Donald Layton. Welch joined Freddie in December 2016, and the GSE says she brings more than 20 years of experience in HR strategy and execution to the company. Chicago’s Bridgeview Bank Now Fannie Mae Approved. This week, Chicago-based Bridgeview Bank announced it has received Fannie Mae approval, which allows the company to expand its consumer home financing business.
The GSEs have been purchasing more adjustable-rate mortgages in the past year and the Federal Housing Finance Agency Office of Inspector General said that warrants monitoring. Since November 2016, the GSEs’ purchase of ARMs has grown. The numbers are far lower than the volume of ARMs purchased during the housing bubble in the early 2000’s, a new IG white paper noted. The ARM share of single-family mortgage purchases by the GSEs dropped from around 20 percent in 2006 to 12 percent in 2007. And by 2009, ARM purchases by Fannie and Freddie tumbled to just 2.3 percent of their single-family business. From 2007 to 2010, the GSEs tightened restrictions on their purchase of ARMs, including those with nontraditional features and layered risk.
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