NAFCU's Carrie Hunt notes
ongoing concern over CFPB's
proposed QM exemption, seeks
inclusion of all insured CUs.
March 5, 2013 – The Coalition for Sensible Housing Policy, which includes 49 groups, including NAFCU, is asking regulators to synchronize the definition for “qualified residential mortgages” with the CFPB’s qualified mortgage definition.
In a March 4 letter to six regulators, the Coalition said that aligning the QRM definition with the CFPB definition “would ensure that strong incentives for safe and sound lending are in place, while not impairing the return of private capital to all segments of the mortgage finance market.”
The Coalition also noted that it “strongly opposes the addition of stringent down payment and other restrictive requirements to the QRM definition that will ultimately limit the ability of private capital to reach lower income households and first-time buyers.”
QMs, as defined by the joint final rule, will be exempt from the risk retention requirement under the QRM rule. The coalition says aligning the definitions of QM in the joint agency rule with the CFPB’s will require the removal of the proposed down payment requirement.
NAFCU General Counsel and Vice President of Regulatory Affairs Carrie Hunt said that the association is “continuing its dialogue with the CFPB to encourage expansion of the bureau’s proposed small-issuer QM exemption to all insured credit unions.”