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Home » Store » Regulation » GAO Suggests Greater FHFA Oversight of Nonbanks

GAO Suggests Greater FHFA Oversight of Nonbanks

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Regulation

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A recent study by the U.S. Governmental Accountability Office recommended that Congress consider granting the Federal Housing Finance Agency more authority to examine third parties, such as nonbanks, that do business with Fannie Mae and Freddie Mac.Although nonbank servicers are subject to oversight by federal and state regulators and monitoring by Fannie and Freddie, the GAO wants to see greater regulation. It said in light of recent nonbank growth, the FHFA’s indirect oversight of third parties that do business with the GSEs is not enough.“FHFA lacks statutory authority to examine these third parties to identify and address deficiencies that could affect the enterprises.
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