The title insurance industry has won a huge victory with the issuance of a cease-and-desist order against Radian Guaranty Inc. by California Insurance Commissioner Harry W. Low. The Philadelphia-based mortgage insurer must immediately stop selling its Radian Lien Protection product in the state or face a fine of up to $5,000 per day. The commissioner ruled that the product is in fact title insurance, and Radian is not licensed to underwrite title insurance. Radian said it intends to appeal the order. Roy J. Kasmar, Radian's president and chief operating officer, said the company hopes "to demonstrate once and for all that Radian Lien Protection is not title insurance, but rather a mortgage insurance policy, substantially identical to those that Radian and its competitors have been issuing for almost two decades.” Meanwhile, the American Land Title Association pointed out that the California order joins others issued by regulators in Texas, Florida, New Mexico, Connecticut, and North Carolina. “This is a victory not only for title companies, but for lenders and consumers as well," ALTA executive vice president James Maher declared. "The benefits of the Radian product do not measure up to true title insurance. Its product does not involve a title search, and therefore would expose lenders and consumers to increased risk.”
-
The government conservatorship of Fannie Mae and Freddie Mac wasn't meant to last forever, but releasing the companies is complicated and should involve a diffident Congress, housing policy experts said during a Federal Reserve Bank of Atlanta housing panel.
March 28 -
While artificial intelligence can quickly analyze and compare products for consumers, social media and other online tools still serve to educate them.
March 28 -
The federal district court order in Mississippi allows allegations of servicer responsibility for insurance shortcomings and excessive costs to proceed.
March 28 -
A federal judge granted a preliminary injunction that preserves the Consumer Financial Protection Bureau's existence, reinstates fired employees and contracts, requires data be preserved and mandates that employees go back to work.
March 28 -
The Federal Reserve governor said it is healthy to examine the regulatory architecture, but stressed the importance of the central bank having insight into the banking system.
March 28 -
The new state law can't ban the calls outright, but requires solicitors to disclose to mortgage consumers their identity and how they purchased the lead.
March 28