The largest civil money penalty imposed by the board was $604,000 as part of a settlement with Ocwen Loan Servicing...

Moody’s believes servicing acquisitions by Ocwen will be limited by franchise uncertainty, capital constraints and a highly competitive market…

John Getchis, senior vice president at Ginnie Mae, said he does not think the churning trend will continue…

“The CFPB’s use of consent decrees and administrative decisions to make changes in the rules, rather than formal rulemaking or published guidance, has created uncertainty in the market and higher costs for consumers,” the Mortgage Bankers Association said.

At the end of 2016, the CFPB had a number of pending investigations in the fair lending area, but the regulator offered no other details.

The Consumer Financial Protection Bureau referred eight matters to the Department of Justice last year, claiming it found discrimination in credit transactions.

Private capital needs to return to the mortgage market to make the market less dependent on taxpayers, according to JPMorgan Chase. The company dedicated portions of its latest annual report to call for a number of changes that could increase non-agency lending. According to Chase, a “healthy” non-agency mortgage-backed security market hasn’t resumed eight years after the financial crisis because housing finance reform and other securitization standards ...

With the potential for restrictions placed on Ocwen Financial to be removed in the near future, officials at the nonbank stress that Ocwen has transformed compared with when the restrictions were applied. Near the end of 2014, Ocwen agreed to a $150.0 million settlement with the New York Department of Financial Services. Among other provisions, the settlement required Ocwen to meet certain benchmarks and receive approval from the state regulator before acquiring ...

Small banks reduced the share of non-qualified mortgages they originated in 2016, but some nonbanks are expected to significantly increase their activity in the sector. Non-QMs accounted for 9.0 percent of the mortgages originated by participants in the American Bankers Association’s annual real-estate lending survey. Some 159 banks were surveyed by the trade group and about 76.0 percent of the participating institutions had assets of less than $1.0 billion. In 2015 ...

Congress should make a number of changes to the ability-to-repay rule that would encourage more non-agency lending, according to the Consumer Mortgage Coalition. The CMC represents lenders, servicers and service providers. “The liability for mortgage lending is now so severe that private capital has left the mortgage market and has stayed away,” Anne Canfield, executive director of the CMC, said in testimony last week submitted to a subcommittee of the ...