CFPB Issues Bulletin Outlining "Expectations" for Mortgage Servicers That Transfer Loans

08/19/2014
Article

On August 19th, the CFPB released a bulletin outlining expectations for mortgage servicers that transfer loans. According the Bureau, servicers engaged in significant servicing transfers should expect that examiners will require them to prepare and submit informational plans describing how they will be managing the related risks to consumers.

In January 2014, the Bureau’s mortgage servicing rules took effect. Among other things, the rules require mortgage servicers to maintain policies and procedures to facilitate the handover of information when a servicer transfers a loan to a new company. The August 19th bulletin gives examples of some things CFPB examiners will look for when loans are transferred. In particular, the bulletin notes that CFPB examiners will scrutinize transfers of loans with pending loss mitigation applications or approved trial and permanent modification plans.

Read more here.

Read the bulletin here.

Email Disclaimer

Unsolicited e-mails and information sent to Morrison & Foerster will not be considered confidential, may be disclosed to others pursuant to our Privacy Policy, may not receive a response, and do not create an attorney-client relationship with Morrison & Foerster. If you are not already a client of Morrison & Foerster, do not include any confidential information in this message. Also, please note that our attorneys do not seek to practice law in any jurisdiction in which they are not properly authorized to do so.

©1996-2017 Morrison & Foerster LLP. All rights reserved.