Posts Tagged ‘consumer credit’

Rep. Neugebauer Questions Overreach of CFPB without Oversight

March 9th, 2015 Comments off

cfpb_credit_cfpbFinancial Institutions and Consumer Credit Subcommittee Chairman Rep. Randy
Neugebauer (R-TX), evaluating the five-year history of the Consumer Financial Protection Bureau (CFPB), informs MHProNews the agency does not perform in a sustainable manner, lacks transparency and accountability, and is “susceptible to political influence.” He sees value in the agency but would like to re-structure it. He says in a video, “We must reflect and focus on what consumer protection means for credit availability, the cost of credit, and consumer choice,” and notes the government should not make financial choices for the American people. He recounts the story of a constituent who does not want to lose her overdraft protection on her prepaid credit card. “Consumer protection does not happen in a vacuum. New regulations and regulatory actions have consequences for real people,” he says, suggesting the pendulum may be swinging too far towards paternalism in the amount of protection offered by the CFPB, which does not allow for innovation in the marketplace. ##

(Video credit: YouTube; image credit: Consumer Financial Protection Bureau)

matthew-silver-daily-business-news-mhpronews-com  Article submitted by Matthew J. Silver to-Daily Business News-MHProNews.

Legislator asks to Delay New Mortgage Rules

October 25th, 2013 1 comment

Representative Shelley Moore Capito (R-WV), who serves as Chairman of the House Financial Services Subcommittee on Financial Institutions and Consumer Credit, is garnering support to encourage Consumer Financial Protection Bureau (CFPB) Director Richard Cordray to postpone implementation of the new mortgage rules set to take effect in Jan. 2014, until Jan. 1, 2015. Noting financial institutions have 4,000 pages of new regulations to pore over, she says some smaller firms may only have one or two compliance officers, making it especially difficult for them to be in full compliance by the deadline. Included in the delay would be the HOEPA High Cost Mortgage Rules that impact manufactured housing. According to the Manufactured Housing Institute (MHI) newsletter to MHProNews, Cordray has made it known he does not want to forestall implementation of the mortgage rules.

(Image credit: HousingWire)

Mortgage Default Rate Falls

April 16th, 2013 Comments off

NationalMortgageNews informs MHProNews the composite index default rate for first time mortgages gained five basis points from February, 2013 and a 46 basis point improvement from March a year ago, according to S&P/Experian Consumer Credit Default Indexes. The composite index for first mortgage loans ended March at 1.41%, compared to 1.48% in Feb. and 1.88% a year ago March. New York experienced a rise in the default rate, up 38 basis points Feb. to March to 1.79%. Although Miami saw a 28 point increase month-over-month, it continues to have the highest default rate in the nation at 2.93%.

(Image credit: HousingWire)

Kelli B. Nelson, new MHI Director of Government Relations

October 1st, 2012 Comments off

Richard Jennison, President and CEO of the Manufactured Housing Institute (MHI) has announced the appointment of Kelli B. Nelson as the new Director of Government Relations. Her responsibilities will include promoting the manufactured housing agenda to Congress and the executive branch, as well as directing MHI policy and utilizing state association contacts with members of Congress in furthering MHI legislative priorities. Formerly a Senior Legislative Assistant/Financial Services Policy Advisor to Rep. Donald Manzullo (R-Ill), Ms. Nelson was staff member of the House Financial Services Committee, including the Subcommittee of Financial Institutions and Consumer Credit. Jennison said, “Her experience working on Capitol Hill, coupled with her working knowledge of the House Financial Services Committee, will add significantly to our legislative team and our effectiveness in advancing issues key to the manufactured housing industry.” MHProNews has learned Rep. Manzullo is co-chair of the House Manufacturing Caucus.

(Image credit: Manufactured Housing Institute)

MH Excluded from Definition of Higher-Risk Mortgage Loans

August 16th, 2012 1 comment

The Truth in Lending Act (TILA) was set up to promote informed use of consumer credit and increase transparency by requiring disclosures about its costs and terms. A joint group of federal agencies that oversee truth-in-lending concerns, including the Consumer Financial Protection Bureau (CFPB), are proposing to amend Regulation Z, which implements TILA. The revisions include a provision added as part of Dodd-Frank that excludes loans for manufactured homes in communities from the definition of “higher-risk mortgage loan.” The Indiana Manufactured Housing Association (IMHA) reports some industry lenders say they would not be able to make more than half of the loans they currently make on manufactured homes without this exclusion. MHProNews has learned if the loan is secured by the home and the land on which it sits (italics added), it could be considered a “higher risk mortgage”. Public comment on the proposal will be open until Oct. 15, 2012. See pp. 14, 38, and 44 of the attached link to the entire document forwarded to MHProNews by D.J Pendleton of the Texas Manufactured Housing Association.

(Photo credit: MHProNews)

MHI Testifies at Dodd-Frank Hearing

July 12th, 2012 Comments off

Speaking for the Manufactured Housing Institute (MHI) at a hearing on the impact of Dodd-Frank mortgage requirements before the House Financial Services subcommittee on Financial Institutions and Consumer Credit Wed. July 11, Tom Hodges, General Counsel for Clayton Homes, suggested Congress create a secondary market for manufactured home buyers so all residential borrowers will have access to the same products. Drawing more lenders to the market would create more competition and lower financing charges, he said. He also urged Congress to avoid any regulation that would be a barricade to lenders’ ability to make manufactured housing loans. His role at Clayton, the largest producer of manufactured homes in the country,  includes implementation of Dodd-Frank and other regulations. For the full transcript of his testimony, please click here.

(Photo credit: Pine Grove Mfg. Homes)

MH Loan Performance Shines

June 1st, 2012 Comments off

The Wisconsin Housing Alliance tells data gathered by the American Banker’s Association’s (ABA) Consumer Credit Delinquency Bulletin loan delinquencies for manufactured housing dropped to 3.76% from 4.08% during Q4 2011. While the ABA says a delinquency is 30 or more days past due, TransUnion, the third largest credit bureau in the nation, defines delinquency as being 60 days or more past due, and says at the end of Q4 2011 the national mortgage delinquency rate rose to 6.01%. This represents an increase from 5.88% for the third quarter 2011. Meanwhile, FHA reported its serious delinquency rate at the end of Feb. 2012 was 9.7%. Fannie Mae says 3.90% of its single-family mortgages were seriously delinquent at the end of Jan. 2012, and Freddie Mac reports for the same date 3.59% of its mortgages were seriously delinquent.

(Image credit: MoneyControl)