The Financial Industry Regulatory Authority fined Citigroup Global Markets [stock C][/stock] $3.5 million for issuing inaccurate mortgage quality data on subprime residential mortgage-backed securitization deals.Finra claimed in...
Long-time HW readers may recall an earlier brouhaha over failed Orange County, Calif.-based brokerage Brookstreet Securities Corp., and regulators' subsequent investigation into collateralized mortgage obligations, or CMOs; at the time, the Financial Industry Regulatory Authority said it was probing individual brokerages over suitability concerns tied to CMOs.
There aren't many areas of the mortgage origination business that are booming, but one area -- reverse mortgages -- has seen high growth despite the industry downturn. And it's now an area that financial experts are growing increasingly concerned about.
Both the Wall Street Journal and Bloomberg reported Friday morning that the Financial Industry Regulatory Authority -- FINRA for short -- is investigating securities brokerage firms' marketing and sale of collateralized mortgage obligations.
HW readers may recall coverage of Orange County, Calif.-based Brookstreet Securities Corp., which went belly-up in June over bad CMO bets.
"If you look at what we do, fundamentally, MERS is the mortgagee on behalf of the investor and its assigns, it’s not a whole lot more complicated than that. And that role as an agent is well rooted in the laws of this country. So when you get down to it, and when we get challenged, we typically prevail. We simply take away all the clutter and present what we do, and what the laws actually say, and we get there," MERS CEO Beckmann said in an exclusive profile only in HousingWire magazine..
The CFPB is currently paying close attention to the individuals/small players, as well as the larger institutional mortgage companies. With respect to the small players, the CFPB is looking at the loan officer, real estate agent and developer. A common violation that these smaller firms or individuals commit, in addition to possible violations resulting from social media posts, stems from agreements among themselves. Read More
Ladies and gentlemen, it’s been some time since the mortgage bond world felt shaken to the core. But shaken, right now, it feels, according to several recent conversations I’ve had on the subject. Read More