Consumer Financial Protection Bureau

November 24, 2014

The Consumer Financial Protection Bureau “CFPB” is proposing changes to the mortgage servicing rules.  These additional measures to ensure that homeowners are treated fairly by mortgage servicers. These rules provide important protections for consumers with mortgages, including:

  • Requiring mortgage servicers (people who manage your mortgage loan account) to provide you with periodic mortgage statements or coupon books that give you important information about your mortgage.
  • Requiring servicers to respond quickly to written inquiries seeking information or requesting that they resolve potential errors about your mortgage.
  • Requiring servicers to reach out to you and send written information describing how to avoid foreclosure if you fall behind on your mortgage payments.
  • Requiring servicers to respond quickly to help you complete your application for loss mitigation options to avoid foreclosure. (Here’s more information about loss mitigation options.)
  • Expanded Protections for Surviving Family Members and Other Homeowners

  • Expanded Protections for Surviving Family Member and Other Homeowners.
  • Loss Mitigation Applications

As of 2016 the CFPB is one of the only government organizations that produces tangible results for consumers.

By 2016 they have successfully taken on the mortgage industry, student loans, title loans, pay day loans, mortgage loan scams, to name a few.

Other resources:

Fannie Mae announces new servicing updates effective April 1, 2015.   Fannie Mae is removing the requirement that a mortgage loan must be no more than 720 days delinquent to be eligible for a Streamlined Modification.

Freddie Mac announces new servicing updates effective April 1, 2015

Note from Diane: Banks and lending institutions are in the business to make money.  It is your responsibility to investigate companies and people you deal with.  If someone or something is going to make money as a result of your choices, then make sure you check them out.  Look at their on-line reviews (don’t assume they are all legitimate).  Compare prices and services.  Never buy on a whim – unless it is a cookie.  Please use your common sense when borrowing money with the “hope” that you can repay it in the future. This is gambling with your future and the financial stability of your family.