Legal Issues & 2007 Legislative Forecast Webinar
Thinking about expanding into new states? Confused by the varying requirements? Are you looking for an overview of the legislative landscape and the changes coming in 2007? If so, plan on attending this informative Compliance Webinar hosted by industry expert and Vice President of Compliance at QuestSoft, Stephanie Ochoa.
Find out more and register Posted on: 11/28/2006
City’s lending law goes too far; Ohio law prevails, state’s high court rules in Cleveland case
Ohio's "home rule" doctrine restricts cities from passing more restrictive local rules on matters dealing with issues constitutionally defined for the state level. Examples given in recent artices are environmental and even health issues. The Ohio Supreme Court handed down a 5-2 decision stating that the Cleveland ordinance was too strict, saying Ohioans are "better served by a statewide standard on lending."
Full Story Posted on: 11/22/2006
Illinois HB 4050 - Predatory Lending Database
We are all aware of the challenges that the enactment of HB4050 has presented. Some claim discrimination, others summarize details of the operational challenges that several facets of industry are facing. All in all, although a well-intentioned effort, the legislation and the rules addressing the legislation, now law, continue to bring rise to questions and concerns from industry.
In fact, in the last couple of weeks, there have been two lawsuits filed by two different groups opposing the law. The groups are claiming that there are violations of discrimination to certain groups of borrowers subject to the law as well as violations of the Federal Equal Protection Clause, the federal and state civil rights acts, and the Fair Housing Act, therefore seeking damages and injunctive relief.
A hearing has been scheduled by the Illinois regulator for November 27, 2006, with community leaders, legislators, homeowners and real estate professionals. This meeting will have an agenda that will include a call for sharing of ideas that “improve the pilot program.”
Read Pilot Program Introduction Memo Posted on: 11/26/2006
FFIEC Revises 2006 HMDA Edits
The Federal Reserve has once again made some last minute changes to Validity and Quality Errors. On October 2, the FRB removed two validity errors and added five quality errors in their place. For the most part this is good news since the quality errors replace the validity errors. The FRB also made them retroactive to January 1, 2006.
See FFIEC HMDA Edit guide Posted on: 11/22/2006
OTS Issues Proposal to Revise CRA Regulations
OTS is proposing changes to its Community Reinvestment Act (CRA) regulations in four areas to reestablish uniformity between its regulations and those of the other Federal banking agencies. OTS is proposing revisions to its CRA rule to promote consistency and help facilitate objective evaluations of CRA performance across the banking and thrift industries. Consistent standards could allow the public to make more effective comparisons of bank and thrift CRA performance.
Read Federal Register Proposed Rules Posted on: 11/22/2006
FRB HMDA Referrals
The Federal Deposit Insurance Corp. has finished examining 33 of 47 banks whose Home Mortgage Disclosure Act (HMDA) data revealed significant disparities in loan pricing. The agency has referred two of those institutions to the Department of Justice for discriminatory mortgage practices.
See Sept. FDIC Audit Report Posted on: 11/22/2006