The CFPB's Ability-to-Repay Rule and the Qualified Mortgage safe harbor just hit the 5-year mark. The Bureau's recently-released assessment stated that increased costs to originate mortgages and the general lack of credit availability to prospective homeowners is NOT the result of the ATR/QM rule, but nonetheless is fully aware that the temporary "GSE patch" (which expires in less than 2 years) expands the QM definition and currently accounts for 21% of all originations, which represents a failure of the Rule to achieve its desired goals.
The Bureau is expected to issue a proposed rule to fix several problems in 2019. Listen in as the ABA's Rod Alba and I discuss what to expect in the coming year.
Rod Alba from the ABA joins me again and talks about what we should expect in the days and months going forward with new acting CFPB director Mick Mulvaney. Mick is a staunch conservative with disdain for the Bureau, questioning not only the Constitutional nature of its structure but also it's "absurd rules". How will he change it? What's ahead in the next 12-18 months?
Washington, DC-based Rod Alba (senior counsel with the American Bankers Association) joins me to discuss next steps for the Consumer Financial Protection Bureau in the wake of yesterday's resignation of Director Richard Cordray. Will this important change signal the end of the Bureau's current agenda and usher in a new era of relaxed enforcement? Find out what we should expect.