The government charges, the “apples to apples” comparisons on refis shown to prospective customers by Village Capital’s LOs were flawed and had “inaccurate” results.
Uncertain as to what the Department of Veterans Affairs will propose to curb churning of VA cash-out refinance loans, analysts are recommending that Ginnie Mae temporarily segregate some of the loans in mortgage-backed security pools until the department implements new rules.
The Department of Veterans Affairs wants to act quickly to stamp out cash-out refinance transactions that it deems abusive to service members. It’s going to bypass a lengthy rulemaking process and issue an interim rule to address the problem.