In a 12-page fact sheet on the announcement, the regulator notes the final rule is “similar in key respects to the proposed rule, with certain enhancements and other changes made in response to comments.”
“In many cases, Wells stopped accepting electronic mortgage payments after it placed homeowners into the unwanted forbearance, causing those who were current on their loans to become delinquent without their knowledge and through no fault of their own,” said Kellett & Bartholow.
Despite this "relief" measure, the GSE regulator has been sharply criticized by lenders because the fee is so steep: 500 basis points for first-time buyers and 700 bps for everyone else.
Gripes about mortgage applications hit a historical high, jumping 29.9% sequentially to 1,609 in 3Q20. The nine-month reading registered a stunning 124.6% spike year-over-year.