CFPB Publishes Mortgage Exam Procedures
The Consumer Financial Protection Bureau (CFPB) published its Mortgage Origination Examination Procedures on January 11. These procedures are a field guide for CFPB examiners looking at mortgage originators in both the bank and nonbank sectors of the industry. The agency has announced that these procedures are a key initial step in implementing its Nonbank Supervision program, and the procedures are an extension of the CFPB’s general Supervisory and Examination Manual. The procedures describe the types of information that the agency’s examiners will gather to evaluate mortgage originators’ policies and procedures, assess whether originators are in compliance with applicable laws, and identify risks to consumers throughout the mortgage origination process. The examination manual tracks key mortgage originator activities, from initial advertisements and marketing practices to closing practices. For a link to the CFPB’s press release on these new procedures, click here.