St Casimirs Mortgage Minute

Small Banks Adjust to CFPB's New Mortgage Rules

The Consumer Financial Protection Bureau (CFPB) on Aug. 15 issued revised examination procedures for mortgages, including rules that govern ability-to-repay standards and qualified mortgages. Small banks, including the $2.1 billion-asset Federal Bank of Tennessee, say the rules are keeping them busy. The CFPB's mortgage rules are complicated and likely will require smaller lenders to make big changes, says an executive with the American Bankers Association.

From "Small Banks Adjust to CFPB's New Mortgage Rules"
American Banker (08/20/13) Peters, Andy



Maryland Goes After Payday Lenders' Banks to Stop Illegal Loans

Maryland's financial regulator is trying to stop illegal online payday loans by going after the banks that help make the loans possible. "Without the payday lender's bank, the payday lender can't operate in my state," said Mark Kaufman, commissioner with the state's division of financial regulation. The institutions are all outside Maryland and the reach of the state regulator, but Kaufman said his office has turned over the names of eight banks to federal regulators in recent months.

From "Maryland Goes After Payday Lenders' Banks to Stop Illegal Loans"
Baltimore Sun (08/19/13) Ambrose, Eileen