January 08, 2014

NAFCU will monitor mortgage rule implementation

Jan. 9, 2014 – NAFCU President and CEO Dan Berger yesterday asked CFPB Director Richard Cordray to ensure the bureau pays attention to the information NAFCU plans to collect on the implementation of new mortgage rules, their impact on credit availability and the extent to which they will increase credit unions' regulatory burden.

"NAFCU is committed to closely monitoring the effect of the rules on credit unions, their members, and the overall mortgage market, as we remain concerned that the rules may negatively impact credit availability as well as increase compliance and legal risk and costs," Berger wrote. "We will share appropriate information and findings with the CFPB and hope that the agency will take into account our market-based analyses, anecdotal accounts and other information we share in its review of the rules and make changes where necessary or appropriate."

Berger also noted the association's continuing efforts to help its members understand and comply with the new rules. It is doing so through webcasts, educational sessions and online resources, he noted.

The new rules go into effect tomorrow. On Monday, after urging from NAFCU, NCUA announced it would take into account a credit union's good faith effort to comply with the new qualified mortgage/ability-to-repay rules.