May 22, 2014

CUs would get relief under committee-passed bills

May 23, 2014 – Having reported out the NAFCU-supported "Mortgage Choice Act," H.R. 3211, by voice vote earlier this month, the House Financial Services Committee on Thursday passed 11 other bills, several of which advance NAFCU's goal of regulatory relief for credit unions.

H.R. 3211, introduced by Rep. Bill Huizenga, R-Mich., would adjust the Truth in Lending Act mortgage rules by exempting from the qualified mortgage cap on points and fees any affiliated title charges and escrow charges for taxes and insurance.

Other measures passed by the committee include:

  • H.R. 2673, the "Portfolio Lending and Mortgage Access Act," introduced by Rep. Andy Barr, R-Ky., to automatically qualify residential mortgage loans held in portfolio by originators for the qualified mortgage safe harbor.
  • H.R.4521, the "Community Institution Mortgage Relief Act," from Rep. Blaine Luetkemeyer, R-Mo., to exempt credit unions under $10 billion in assets from a Dodd-Frank Act requirement that mortgage lenders hold escrow accounts for five years for higher priced, first-lien mortgages. It would also ease rules for servicers that annually service 20,000 or fewer mortgages.
  • H.R. 4466, the "Financial Regulatory Clarity Act," introduced by Financial Institutions and Consumer Credit Subcommittee Chairman Shelley Moore Capito, R-W.Va., and Ranking Member Gregory Meeks, D-N.Y., to require regulators to review whether new proposals are duplicative or inconsistent with existing rules.

NAFCU Vice President of Legislative Affairs Thaler wrote committee Chairman Jeb Hensarling, R-Texas, and Ranking Member Maxine Waters, D-Calif., ahead of the original mark-up session, saying it was "a positive step forward" toward achieving the kind of relief sought in NAFCU's five-point plan for credit union regulatory relief.