A long-awaited Third Circuit decision held that securitization trusts holding student loans are “covered persons” subject to the CFPB’s enforcement and investigative powers because they “engage” in offering or providing...more
5/7/2024
/ Appeals ,
Civil Monetary Penalty ,
Consumer Financial Products ,
Consumer Financial Protection Act (CFPA) ,
Consumer Financial Protection Bureau (CFPB) ,
Covered Person ,
Due Diligence ,
Petition for Writ of Certiorari ,
SCOTUS ,
Securitization ,
Unfair or Deceptive Trade Practices
Just over a year has passed since the enactment of the New York Foreclosure Abuse Prevention Act (“FAPA”). FAPA was enacted as a response to the New York Court of Appeals’ 2021 holding in Freedom Mortg. Corp. v. Engel, 37...more
The proposed rule, if adopted, would apply to mortgage originators and issuers of mortgage-backed securitizations that rely on automated valuation models (“AVMs”) to determine the value of real estate collateral.
The...more
11/9/2023
/ American Bankers Association ,
Conflicts of Interest ,
Consumer Financial Protection Bureau (CFPB) ,
Credit Unions ,
Fannie Mae ,
FDIC ,
Federal Reserve ,
FHFA ,
Financial Institutions ,
Freddie Mac ,
Mortgage Loan Originators ,
Mortgage-Backed Securities ,
NCUA ,
Non-Discrimination Rules ,
OCC ,
Proposed Rules ,
Quality Control Plan ,
Risk Management ,
Tax Assessment ,
Transparency ,
Valuation ,
Zillow
ABS issuers have been exempted from the U.S. Securities and Exchange Commission's (“SEC”) final rule requiring certain cybersecurity risk and incident disclosure (the “Final Rule”).
The SEC left open the possibility of...more
8/17/2023
/ Cyber Attacks ,
Cyber Incident Reporting ,
Cybersecurity ,
Disclosure Requirements ,
Final Rules ,
Form 10-K ,
Form 8-K ,
Publicly-Traded Companies ,
Reporting Requirements ,
Risk Management ,
Securities and Exchange Commission (SEC)
A mortgage loan repurchase facility (more casually referred to as a “repo”) is a financing structure commonly utilized to finance mortgage loans. These facilities are utilized by both residential and commercial mortgage loan...more
On December 30, 2022, Governor Hochul signed the New York Foreclosure Abuse Prevention Act (“FAPA”) into law, with immediate effect. FAPA not only applies to mortgage foreclosures sought in 2023 and beyond, it also applies...more
After a decade of regulatory inaction on the matter, the SEC recently re-proposed regulations implementing the Dodd-Frank Act’s prohibition on material conflicts of interest in securitization transactions.
The proposed...more
The Consumer Financial Protection Bureau (“CFPB”) on November 30, 2022, filed an amicus brief in the United States Court of Appeals for the Fourth Circuit, arguing that the United States District Court for the District of...more
The Consumer Financial Protection Bureau (“CFPB”) recently issued two final rules aimed at bolstering the Qualified Mortgage (“QMs”) market. The first final rule amends the general eligibility category of QMs (“General QMs”)...more
1/14/2021
/ Ability-to-Repay ,
Consumer Financial Products ,
Consumer Financial Protection Bureau (CFPB) ,
Fannie Mae ,
Financial Regulatory Reform ,
Financial Services Industry ,
Freddie Mac ,
GSE ,
Mortgage Reform ,
Mortgages ,
Qualified Mortgage Rule ,
Regulation Z
Fintech has been changing the process of buying a residential home for years, but the pandemic has boosted the speed of change into hyperdrive. While some of these innovations may not be required after shutdowns are eased and...more
11/17/2020
/ Consumer Financial Products ,
Consumer Lenders ,
Coronavirus/COVID-19 ,
Financial Services Industry ,
FinTech ,
HELOC ,
Housing Market ,
Infectious Diseases ,
Innovative Technology ,
Mortgages ,
Popular ,
Real Estate Transactions ,
Trulia ,
Zillow
Why is TALF a good opportunity?
Simply put, based on TALF 1.0 (the initial version of the program in effect during 2009–2010), we expect there to be in excess of 100 new TALF funds established as part of TALF 2.0 in 2020,...more
With the Term Asset-Backed Securities Loan Facility program (“TALF 2.0”) officially underway and open to investors, the Federal Reserve Bank of New York (the “FRBNY”) continues to modify the program, most recently granting an...more
Introduction -
As the reinstated Term Asset-Backed Securities Loan Facility program (“TALF 2.0”) opened, the Federal Reserve Bank of New York (the “FRBNY”) continues to revise the TALF 2.0 program details, changing the...more
Introduction -
As market participants prepare for the launch of the latest version of the Term Asset-Backed Securities Loan Facility (“TALF”) program (“TALF 2.0”), two new developments provide greater clarity as to how the...more
6/2/2020
/ Asset-Backed Securities ,
Business Development Companies ,
DBRS ,
Financial Markets ,
FRBNY ,
Investment Funds ,
Investment Management ,
KBRA ,
Loans ,
No-Action Letters ,
NRSRO ,
Securities and Exchange Commission (SEC) ,
SIFMA ,
Term Asset-Backed Securities Loan Facility (TALF)
On May 20, 2020, the Federal Reserve Board of Governors (the “Fed”) and the Federal Reserve Bank of New York (the “FRBNY”) announced the first subscription date of June 17, 2020 for funding under the Term Asset-Backed...more
5/28/2020
/ Asset-Backed Securities ,
Borrowers ,
Capital Distributions ,
Certification Requirements ,
Collateral ,
Coronavirus/COVID-19 ,
Federal Loans ,
Federal Reserve ,
FRBNY ,
Issuer Eligibility Criteria ,
Master Loan and Security Agreement (MLSA) ,
Sponsors ,
Stock Repurchases ,
Term Asset-Backed Securities Loan Facility (TALF) ,
Term Sheets
On May 12, 2020, the Federal Reserve Board of Governors (the “Fed”) and the Federal Reserve Bank of New York (the “FRBNY”) released an updated term sheet (the “New Term Sheet”) and Frequently Asked Questions (the “TALF FAQs”)...more
On May 4, 2020, the Federal Reserve Bank of New York (the “Federal Reserve”) released Frequently Asked Questions (the “FAQs”) regarding the Primary Market Corporate Credit Facility (“PMCCF”) program, providing greater detail...more
5/13/2020
/ Bonds ,
CARES Act ,
Eligibility ,
Federal Reserve ,
NRSRO ,
Primary Market Corporate Credit Facility (PMCCF) ,
Rule 144 ,
Secondary Market Corporate Credit Facility (SMCCF) ,
Securities and Exchange Commission (SEC) ,
Special Purpose Vehicles ,
Term Asset-Backed Securities Loan Facility (TALF)
On April 9, 2020, the Federal Reserve Board of Governors (the “Fed”) released an updated term sheet (the “Updated Term Sheet”) for the Term Asset-Backed Securities Loan Facility (“TALF”) program. While the Updated Term Sheet...more
On April 9, 2020, the Federal Reserve Board of Governors (the “Fed”) released an updated term sheet for the Primary Market Corporate Credit Facility (“PMCCF”) program, providing additional detail and further clarification of...more
4/15/2020
/ Bonds ,
CARES Act ,
Collateralized Loan Obligations ,
Equity Investors ,
Federal Reserve ,
Primary Market Corporate Credit Facility (PMCCF) ,
Relief Measures ,
Secondary Market Corporate Credit Facility (SMCCF) ,
Special Purpose Vehicles ,
Term Asset-Backed Securities Loan Facility (TALF) ,
Term Sheets ,
U.S. Treasury
On March 23, 2020 the Federal Reserve Bank (the “Fed”) announced the establishment of the Term Asset-Backed Securities Loan Facility (the “TALF”) to “support the flow of credit to consumers and business” by facilitating the...more
The courts are now reacting to what some view as regulatory overreach flowing from U.S. laws enacted in the wake of the financial crisis. The most recent example is the October 11, 2016 decision of the U.S. Court of Appeals...more
10/15/2016
/ Anti-Kickback Statute ,
Appeals ,
Constitutional Challenges ,
Consumer Financial Protection Bureau (CFPB) ,
Director Removal ,
Dodd-Frank ,
Due Process ,
Government Agencies ,
Mortgage Lenders ,
PHH Corp. v CFPB ,
Removal At-Will ,
Removal For-Cause ,
RESPA ,
Reversal ,
Separation of Powers ,
Single Director ,
Statutory Interpretation
The U.S. Treasury Department (the “Treasury”) views a healthy private label residential mortgage-backed securities (“PLS”) market as “an important component of a reformed, safe, and sustainable housing finance system that...more
The Consumer Financial Protection Bureau (CFPB) in the U.S. published an outline of proposals on July 28, 2016 to govern consumer debt collection by debt collectors including third-party collection agencies, debt buyers,...more
9/2/2016
/ Burden of Proof ,
Consumer Financial Protection Bureau (CFPB) ,
Debt Buyers ,
Debt Collection ,
Debt Collectors ,
Dispute Resolution ,
Dodd-Frank ,
Evidence ,
FDCPA ,
Loan Servicing ,
Mortgage Loan Servicing Standards ,
Native Language ,
Proposed Rules ,
Statute of Limitations ,
Third-Party Service Provider ,
Time-Barred Debt
It's official. Risk retention became effective for residential mortgage-backed securities (“RMBS”) on December 24, 2015. Since the final rules (the “Rules”) were issued, there has been a lot of talk throughout the broader...more
The Board of Governors of the Federal Reserve System, Federal Deposit Insurance Corporation, Office of the Comptroller of the Currency, Department of Housing and Urban Development, Federal Housing Finance Agency, and...more
10/29/2014
/ Asset-Backed Securities ,
Compliance ,
Dodd-Frank ,
FDIC ,
Federal Reserve ,
FHFA ,
HUD ,
Mortgage-Backed Securities ,
Mortgages ,
OCC ,
Risk Retention ,
RMBS ,
Securities and Exchange Commission (SEC)