CFPB analyst Megan Thibos reminds consumers that, “During the foreclosure crisis, many borrowers with subprime mortgages faced sharply increased mortgage payments and were unable to make those payments.”
The bank statement loans and TRID exceptions prompted Fitch to apply higher loss severities to the MBS, which play a role in credit enhancement levels…
SFIG Executive Director Richard Johns suggested that instead of removing requirements for risk-retention, policymakers could provide capital relief for issuers that retain risk on their securities, rewarding “good behavior.”