Reps to CFPB: Higher HMDA exemption level, less ‘adverse impact’

Nineteen members of the U.S. Congress–all members of the House Financial Services Committee–wrote to Consumer Financial Protection Bureau (CFPB) Director Richard Cordray this week expressing numerous concerns about the impact on consumers of recently finalized requirements under the Home Mortgage Disclosure Act (HMDA).

The CFPB finalized new reporting requirements in October, which CUNA believes will add to the already heavy reporting burden faced by credit unions.

“In light of the potential of the new rule to reduce consumer access to mortgage credit, we write to request that the CFPB provide analysis on the effects of applying higher exemption thresholds based on an institution’s annual mortgage origination volume,” the letter reads. “Higher thresholds would help alleviate the potential adverse impact of the final rule.”

The CFPB’s rule exempts institutions originating less than 25 closed-end mortgages and fewer than 100 open-end lines of credit in each of the two preceding years, which covers roughly 1,400 estimates, according to the CFPB.

 

continue reading »