In a recent comment letter, mortgage trade groups urged the CFPB to prioritize completing pending rulemakings — beginning with Reg. X — to carry out implementing President Trump’s March executive order aimed at expanding access to mortgage credit.
The lawsuit filed by consumer advocacy groups contended that the new ECOA rule is a drastic turn from decades of interpretation and enforcement of the statute.
The lawsuit alleged that Rocket funneled leads to real estate agents who in turn steered clients to Rocket Mortgage. Plaintiffs also alleged that Rocket acquired Redfin to bring its steering practices “in house.”
Pending changes to disparate-impact liability enforcement will have a big effect on some industries, such as indirect auto finance, but the mortgage industry will likely be spared.
While alternative data can be used as a tool to expand credit access to unscored consumers, some industry experts cautioned lenders about turning away from the traditional credit reporting ecosystem.
HMDA compliance AI tool launched; law firm offers mortgage AI audit practice; federal court approves $110 million settlement involving Wells Fargo; NYDFS reinforces disparate-impact liability.
Denial rates for most mortgage products declined on an annual basis in 2025, though denials of applications for purchase mortgages via FHA and USDA increased slightly. (Includes data table.)
Matt Tully, chief compliance and customer success officer at Sagent, said the mortgage industry wants Reg. X updates to reflect experiences over the last decade.
The consumer groups raised various legal arguments about the final rule, including that it was issued in violation of various laws that set requirements for the rulemaking process.