Loan Think

In the face of headwinds, mortgage leaders will stay strong by building on past experience, writes the president of Incenter LLC.

Unlike two years ago, when the surge of refinance loans created a vast pool of free financing for the industry to use, today lenders must pay for it by the drink.

Such exchanges are neither easy nor cheap and the key to any effective transfer process is accurate loan file information, writes Paradatec's director of professional services.

If lenders can “divert” consumers’ attention at the right moment on their journey and invest in the appropriate places to ensure ROI — placing themselves front and center as the best choice over a competitor’s — they significantly increase their chances of closing a sale, writes the co-founder of Konnecto.

The system may be good for the banks that own it, but it is not meeting its public mission.

At the Mortgage Bankers Association Secondary Conference this week, issuers noted their concern about rising delinquency levels, accusations of racial bias in lending, and whether regulators in Albany and Washington are preparing a new campaign against “abuses” in mortgage servicing, the chairman of Whalen Global Advisors writes.

The central bank has a long history of diluting the effectiveness of the Community Reinvestment Act.

In order to align financial policy with the interests of consumers, the agency should consider why these services have caught on — and remember to keep a lane open for innovation, writes the CEO of Chamber of Progress.

A shrinking appetite for high interest rate loans and a diminished ability to offer discount rates are aligning with more stringent requirements for lenders to get ATR/QM points and fees calculations correct, write leaders from Lenderworks.

Calls for “reform” in times of high liquidity ignore the scalability of the system, and the need to have it around in times of trouble.