Financial Regulatory Reform Bill Passes

07/15/2010

For Immediate Release                                                                                                          Contact: Jon Otto

July 15, 2010                                                                                                                                     (703) 342-5851

 

Financial Regulatory Reform Bill Passes

 

Fairfax VA – NAMB – the Association of Mortgage Professionals expressed its disappointment with the Senate’s passage of the financial regulatory reform package, the “Dodd-Frank Wall Street Reform and Consumer Protection Act” today.  

 

“The final bill approved by the Senate today and expected to be signed by the President in the coming days will adversely affect consumers and small businesses at a time when they need relief,” said NAMB President, William Howe, CMC, CRMS.  “The unfortunate consequence of this bill will be higher costs to the consumers and continued job loss for small businesses in the mortgage industry.”

 

The final bill will deprive consumers of their existing choices and options to finance mortgage closing costs.  Consumers will only have two choices at the closing table: to come up with thousands of dollars to pay for closing costs out of their pocket at the closing table or to roll all of their closing costs into their interest rate. No longer will they have the opportunity to enjoy the benefits of utilizing both at the closing table.  In effect, this would steer them toward financing all costs in the interest rate of the mortgage loan causing consumers to pay interest on these costs for the life of the loan.  Congress has also failed to show any evidence to support provisions in the bill that tie an originator’s compensation to a consumer’s ability to repay a loan.  

 

“Despite NAMB’s efforts to spotlight the adverse consequences of some of the provisions contained in the bill, the provisions remain that will cause more harm than good,” said Howe.  “However, NAMB is committed to working with regulators through the rule-writing process on the numerous regulations called for in the final bill.”

 

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NAMB - The Association of Mortgage Professionals is the voice of the mortgage broker industry with members in all 50 states and the District of Columbia. NAMB provides education, certification and government affairs representation for the mortgage broker industry.

 

 

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NAMB - NAMB

Financial Regulatory Reform Bill Passes

07/15/2010

For Immediate Release                                                                                                          Contact: Jon Otto

July 15, 2010                                                                                                                                     (703) 342-5851

 

Financial Regulatory Reform Bill Passes

 

Fairfax VA – NAMB – the Association of Mortgage Professionals expressed its disappointment with the Senate’s passage of the financial regulatory reform package, the “Dodd-Frank Wall Street Reform and Consumer Protection Act” today.  

 

“The final bill approved by the Senate today and expected to be signed by the President in the coming days will adversely affect consumers and small businesses at a time when they need relief,” said NAMB President, William Howe, CMC, CRMS.  “The unfortunate consequence of this bill will be higher costs to the consumers and continued job loss for small businesses in the mortgage industry.”

 

The final bill will deprive consumers of their existing choices and options to finance mortgage closing costs.  Consumers will only have two choices at the closing table: to come up with thousands of dollars to pay for closing costs out of their pocket at the closing table or to roll all of their closing costs into their interest rate. No longer will they have the opportunity to enjoy the benefits of utilizing both at the closing table.  In effect, this would steer them toward financing all costs in the interest rate of the mortgage loan causing consumers to pay interest on these costs for the life of the loan.  Congress has also failed to show any evidence to support provisions in the bill that tie an originator’s compensation to a consumer’s ability to repay a loan.  

 

“Despite NAMB’s efforts to spotlight the adverse consequences of some of the provisions contained in the bill, the provisions remain that will cause more harm than good,” said Howe.  “However, NAMB is committed to working with regulators through the rule-writing process on the numerous regulations called for in the final bill.”

 

###

 

NAMB - The Association of Mortgage Professionals is the voice of the mortgage broker industry with members in all 50 states and the District of Columbia. NAMB provides education, certification and government affairs representation for the mortgage broker industry.

 

 

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