The FAMB Focus

FAMB Government Affairs Update by Tom Morcom, Committee Chair

The Government Accidentally Releases List of Nuclear Sites

The government mistakenly made public a 266-page report, marked "highly confidential," that details hundreds of nuclear sites and programs.

What does this have to do with mortgage Loan Originators?

The Florida Legislature passed a bill giving the Office of Financial Regulation permission to require individual credit reports to be part of mortgage Loan Originator licensing and re-licensing requirements. By doing this, the credit reports automatically become part of the public records available for anyone to see.

There was also a companion bill that would have made the credit reports obtained as part of the mortgage Loan Originator licensing process exempt from public record requirements but it was not passed by the Florida Legislature. This bill said that "Credit reports contain personal, financial, and identifying information. Disclosure of these reports could cause harm to the persons who are the subjects of the credit reports by facilitating identity theft and other crimes."

The Florida Association of Mortgage Brokers believes there is never a proper time to expose credit reports; they should never be exposed to public records or to the public at any time and in any form.

Call to Action

Once more it's time to call and visit your Florida Representative and State Senator and ask them why they feel it appropriate to ever pass a law including credit reports in the licensing process without also passing a law exempting them from public record requirements.

Make your call today and point out your feelings about this horrible omission by the Florida Legislature.

Do you think a government that doesn't keep its own nuclear sites secret will keep mortgage Loan Originators' credit reports private?

Florida Association of Mortgage Brokers has partnered with the National Federation of Mortgage Professionals (NFMP) to expand participation in the Federal Legislative and Regulatory process

FTC Begins Rulemaking to Address Unfair and Deceptive Mortgage Practices

The FTC is seeking comment on their rulemaking, the Mortgage Acts and Practices, which addresses activities that occur throughout the life-cycle of a mortgage loan: advertising and marketing; origination, including underwriting, loan terms, and disclosures; appraisals; and servicing. Public comment will allow the Commission to assess.

In an effort to better protect financially distressed homeowners, the Federal Trade Commission also has initiated a rulemaking proceeding involving foreclosure rescue and loan modification services. The FTC is seeking public comment to determine whether certain practices by companies providing these services are unfair or deceptive and should be reined in by proposed rules that would set standards to protect consumers.

Federal Government Moves to Eliminate Yield Spread Premiums

The Mortgage Reform and Anti-Predatory Lending Act Passes in the U.S. House

The Mortgage Reform and Anti-Predatory Lending Act, (HR 1728) was written to stop mortgage originators steering consumers into higher cost loans for higher originator income. The impact on Mortgage Loan Originators and Consumers will be to:

* Eliminate loan originators receipt of yield spread premium

* Further limit types of mortgage products offered to consumers

Join Florida Association of Mortgage Brokers - If you are not a member of the Florida Association of Mortgage Brokers shouldn't you join and make sure FAMB continues to work for you in Tallahassee and Washington?

Contribute to the Florida Association of Mortgage Brokers PAC - If you are already a member of the Florida Association of Mortgage Brokers shouldn't you contribute to the association's PAC and make sure FAMB continues to work for you in Tallahassee and Washington?