Could QRM final rule come by year end?
Six regulatory agencies are working on rules that would implement Dodd-Frank’s risk-retention provisions, including establishing criteria for qualified residential mortgages. The agencies released a QRM proposal more than a year ago. When will a final rule emerge? Read on to learn what top regulators had to say during a recent House Financial Services Committee hearing.
Lawmakers push for regulatory burden relief
Congress concluded its month-long summer break, and members of the U.S. Senate Banking Committee marked their return to Washington, D.C., with a hearing on Dodd-Frank implementation. Much of the discussion focused on reducing regulatory and compliance burdens. Read on to learn what one top regulator said agencies can do now to help provide relief to smaller institutions.
Agencies stand pat on MBS treatment in final liquidity rule
Federal banking regulators finalized a rule aimed at promoting the short-term resilience of internationally active banks. The liquidity coverage ratio rule will require large banks to hold an amount of unencumbered high quality liquid assets to facilitate their ability to meet unexpected funding demands in times of financial distress. Read on to learn about the rule and its treatment of certain mortgage-related assets.
Bankers to regulators: This time, make regulatory burden review count
Groups representing financial services industry participants from community banks to the largest Wall Street mega firms urged regulators to pursue substantive regulatory burden reduction as the government works to identify outdated, unnecessary or unduly burdensome regulations under the Economic Growth and Regulatory Paperwork Reduction Act. Read on to learn about specific regulatory requirements the groups said the banking agencies should reconsider.
CFPB uses ‘chokepoint’ strategy in debt-relief market
The Consumer Financial Protection Bureau targeted a payment processor the agency said made it possible for debt-relief companies to collect illegal fees from consumers in violation of the Federal Trade Commission’s telemarketing sales rule. The action marks the second time the bureau has used such a chokepoint strategy to address issues in the debt-settlement market. Read on to learn what the CFPB has said about the applicability of this strategy in other consumer financial markets.
CFPB fines credit reporting data furnisher
The Consumer Financial Protection Bureau has taken action against a Texas-based auto finance company it said failed to fix known flaws in a computer system that provided inaccurate information to credit reporting agencies. Richard Cordray, the bureau’s director, warned that “companies cannot pass the buck by blaming a computer system or vendor for their mistakes.”