News By Edition

A mortgage company has agreed to pay more than $20 million to settle claims it engaged in redlining in Philadelphia, neighboring Camden, N.J., and Wilmington, Del.

Trident Mortgage Co., owned by Berkshire Hathaway Inc., reached the settlement with the Department of Justice, the Consumer Financial Protection Bureau and the Pennsylvania, New Jersey and Delaware attorney generals.

Read on to learn more.

A New Jersey man was granted a trial modification on his mortgage loan. The modification specified terms of payment during the modification and after it was successfully completed. 

After the man successfully completed the trial modification, the servicer offered terms of payment that were different than those previously agreed upon. 

The man sued, alleging breach of covenant of good faith and violations of RESPA. The servicer sought to dismiss the action.

The Federal Housing Finance Agency (FHFA) recently proposed new benchmark levels for the multifamily housing goals for Fannie Mae and Freddie Mac for 2023 and 2024.

FHFA said it is not proposing any changes to the underlying criteria that determine which multifamily units qualify for credit under the housing goals in this proposed rule.

Read on to learn more.

The Federal Trade Commission recently announced it is sending payments totaling more than $1 million to 1,966 consumers who were harmed by a debt collection scheme that conned consumers into paying debts they did not owe.

The agency said the defendants which perpetuated the scheme used several names, including GAFS Group, Global Mediation Group and Mediation Services.

Read on to learn more.

The National Women’s Law Center, in collaboration with the Insight Center and Groundwork Collaborative, recently released a report examining the links between housing justice and gender justice and outlining solutions to advance housing as a public good.

The groups maintain stable housing is an essential part of families’ economic security and a critical part of a healthy, sustainable economy.

Read on to learn more.

Existing-home sales declined for the sixth straight month in July, with all major regions experiencing month-over-month and year-over-year decreases, according to the National Association of Realtors (NAR).

NAR Chief Economist Lawrence Yun said the ongoing sales decline reflects the impact of the mortgage rate peak of 6 percent in early June.

Read on for more details.

The U.S. Department of Housing and Urban Development announced it is releasing $41 million for local affordable housing and community development activities that benefit people with low incomes.

Read on for more details.

A multi-state lawsuit has been filed against Maryland-based Mariner Finance for alleged widespread violation of consumer protection laws, including adding costly, hidden “add-on” products such as credit insurance to the loans of consumers who never agreed to purchase them.

The lawsuit alleges Mariner took advantage of consumers with limited access to credit who were already struggling with debt, and who had few or no other options available to obtain personal loans.

Read on to learn more.

Sen. Sherrod Brown (D-Ohio), chairman of the Senate Committee on Banking, Housing, and Urban Affairs, praised FHFA’s announcement.

Read on for more details.

The U.S. Department of Housing and Urban Development (HUD) announced a $34 million loan guarantee for Cincinnati, Ohio for the Affordable Housing Loan Fund Project to spur the creation of more affordable housing.

With the assist from HUD, the city hopes to be able to drive private investment, add housing units throughout the city, eliminate concentrations of poverty and allow developers to take on projects with greater financing risks in marginalized neighborhoods.

Read on to learn more.

While praising the passage of the Inflation Reduction Act of 2022, the National Fair Housing Alliance is urging Congress to focus on housing as a key driver of inflation to create equitable opportunities for communities of color and rural parts of the nation.

The group outlined several programs and initiatives it believes Congress should fund to help more people of color become homeowners and battle inflation.

Read on for more information.

When the man failed to make required payments on the HELOC, the bank withdrew the payments from his deposit account. 

The man sued the bank, claiming the unauthorized withdrawals caused him economic damages.

In a recently published circular, the Consumer Financial Protection Bureau confirmed that financial companies may violate federal consumer financial protection law if they fail to safeguard consumer data.

The bureau said the circular is intended to provide guidance to consumer protection enforcers, including examples of when firms can be held liable for lax data security protocols.

Read on for more details.

Nearly 80 democratic members of the U.S. House of Representatives sent a letter to several federal agencies urging them to consider the concerns of civil rights and community groups as well as other stakeholders as they modernize the Community Reinvestment Act.

The letter was sent to the leaders of the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corp., and Office of the Comptroller of the Currency.

Read on to learn more.

The California Department of Financial Protection & Innovation (DFPI) has fined a Florida-based point-of-sale lender.

DFPI said buy now, pay later (BNPL) products are loans and that the companies that offer them must comply with California’s state lending rules.  In 2020, DFPI entered similar settlements with BNPL companies Quadpay, Sezzle, Afterpay US, and Klarna, Inc.

Read on to learn more.

A greater number of markets experienced double-digit annual price gains compared to the prior quarter, according to the National Association of Realtors^’ (NAR) latest quarterly report.

According to NAR, 80 percent of the 185 tracked metro areas posted double-digit price gains, up from 70 percent in the first quarter of this year.

Nationally, the median single-family existing-home price surpassed $400,000 for the first time.

Read on for more details.

The U.S. Department of Housing and Urban Development’s Office of Multifamily Housing announced the completion of construction of Northaven West, a senior community in the Northgate neighborhood of Seattle.

Read on to learn more.

The Consumer Financial Protection Bureau (CFPB) fined a financial technology company for using a faulty algorithm that caused overdrafts and overdraft penalties for customers.

The bureau said Hello Digit, LLC’s product Hello Digit was meant to save people money. Instead, the company falsely guaranteed no overdrafts with its product, broke its promises to make amends for its mistakes and pocketed a portion of the interest that should have gone to consumers, according to the CFPB.

Read on to learn more.

The U.S. Department of Housing and Urban Development (HUD) released an agenda for economic justice that describes actions it will take to help low-income renters build assets, along with a Notice of Funding Opportunity for $113 million for the Family Self-Sufficiency program to help HUD-assisted families increase earned income and improve financial stability.

Read on to learn more.

Funded programs include web and classroom-based content and individualized coaching for unbanked and underbanked consumers. Grants were awarded to 12 nonprofits.

Read on to learn more.

According to the Department of Justice, in 2014 three residents with intellectual and physical disabilities moved into a single- family home in Springfield where they received community residential services from a state-licensed provider.

Read on to learn more.

The chairwoman of the House Financial Services Committee is urging the Government Accountability Office (GAO) conduct a review of the risks seniors experiencing housing insecurity face and the federal programs that exist to prevent homelessness among this population.

In her letter to the GAO, Rep. Maxine Waters (D-Calif.) also requested the federal agency identify racial and ethnic disparities in its review. 

Read on to learn more.

The groups said a continued sole focus on income means the CRA will never serve as a tool to close persistent disparities in racial homeownership. small-business ownership and wealth gaps.

Read on to learn more.

The U.S. Department of Housing and Urban Development’s Office of Multifamily Housing closed a rental assistance demonstration transaction with the Housing Authority of the City of Atlanta to preserve affordable housing.

Read on for more details.

The Federal Trade Commission issued an administrative order against online homebuying firm Opendoor Labs Inc. for allegedly cheating potential homesellers by tricking them into thinking that they could make more money selling their home to Opendoor than on the open market using the traditional sales process.

The agency said most people who sold to Opendoor made thousands of dollars less than they would have made selling their homes using the traditional process.

Read on to learn more.

The groups contend poorly maintained, seemingly abandoned bank-owned homes are prime targets for vandals and decrease curb appeal for prospective owner-occupant buyers.

Read on to learn more.

The groups include the Consumer Bankers Association, the American Bankers Association, the Credit Union National Association, the Housing Policy Council, the Independent Community Bankers of America, the National Association of Federally-Insured Credit Unions, the National Bankers Association and The Clearing House Association.

Read on to learn more.

The Department of Justice and the Consumer Financial Protection Bureau issued a joint letter reminding auto finance companies of legal protections for military families under the Servicemembers Civil Relief Act (SCRA).

In addition to the same rights as non-military borrowers, the SCRA provides extra rights to protect servicemembers and their families against unique financial challenges.

Read on to learn more.

A New Jersey homeowner attempting to overturn a state court ruling foreclosing on his home, claimed six defendants engaged in fraudulent and unconscionable practices, violated RESPA, were unjustly enriched and violated state and federal RICO statutes. The defendants asked the court to dismiss the action.

Read on to learn more.

The Consumer Financial Protection Bureau recently penalized U.S. Bank $37.5 million for illegally accessing its customers’ credit reports and opening checking and savings accounts, credit cards and lines of credit without customers’ permission.

The bureau said U.S. Bank pressured and incentivized its employees to sell multiple products and services to its customers, including imposing sales goals as part of their employees’ job requirements.

Read on to learn more.

A group of Democrats and one Independent have reintroduced a bill prohibiting banks and other financial institutions from discrimination in providing goods or services based on race, color, religion, national origin, sex, gender identity or sexual orientation.

The legislation would ensure that all people receive equal treatment when trying to access services at financial institutions and hold institutions accountable for discriminatory practices.

Read on to learn more.

The Consumer Financial Protection Bureau (CFPB) has published an analysis of how actions announced by the three largest national consumer-reporting companies–Experian, Equifax, and TransUnion–will affect people who have allegedly unpaid medical debt on their credit reports.

The bureau said nearly half of those with medical collections appearing on their credit reports will continue to see them there even after the changes fully go into effect next year.

Read on to learn more.

The chief economist for the National Association of Realtors (NAR) told the U.S. Senate Committee on Banking, Housing and Urban Affairs he does not foresee a nationwide decline in home prices despite indications that price growth is set to slow.

Testifying before the Senate committee, Lawrence Yun said the potential for weaker sales should increase available inventory in some markets, but not enough to diminish persistent affordability constraints.

Read on to learn more.

The U.S. Department of Housing and Urban Development (HUD) awarded more than $36 million in vouchers to 218 public housing agencies in 46 states to assist people with disabilities.

HUD said the vouchers will help people secure housing in the community for people with disabilities as they transition from institutional settings.

Read on to learn more.

However, two nationally recognized RESPA experts believe the bureau under Director Rohit Chopra has said enough to indicate its primary areas of focus, whether they be traditional stumping groups or expansion efforts.

Read on to learn more.

The Consumer Financial Protection Bureau (CFPB) penalized Hyundai Capital America for repeatedly providing inaccurate information to nationwide credit reporting companies and failing to take proper measures to address inaccurate information once it was identified.

According to the CFPB, between 2016 and 2020, Hyundai used manual and outdated systems, processes and procedures to furnish credit reporting information.

Read on to learn more.

Pending home sales declined in June, as all four major regions posted month-over-month and year-over-year decreases, according to the National Association of Realtors.

Read on to learn more.

MISMO has issued a call for participants for a new development workgroup (DWG) focused on defining the standard loan data fields and delivery format that lenders must provide state regulators for the loan portfolio review portion of state examinations.

Read on to learn more.