Good news for failed borrowers who were negatively impacted during the financial crisis — Fannie Maeupdated the policy related to the minimum waiting periods following a preforeclosure sale or deed-in-lieu of foreclosure, making it easier for distressed borrowers to jump back into the market sooner, according to a new fact sheet released by Fannie.
In order to be eligible for a mortgage loan, Fannie requires borrowers to demonstrate that they have reestablished credit following a significant derogatory credit event, such as a foreclosure, bankruptcy, preforeclosure sale or deed-in-lieu.
Previously, the standard wait period was two years with a maximum 80% LTV and four years with a maximum 90% LTV, with standard eligibility after seven years. In extenuating circumstances, borrowers could wait only two years with a maximum 90% LTV.
The biggest U.S. banks must decide whether to voluntarily reduce their size and complexity or face capital charges that are some of the toughest in the world, the Federal Reserve’s top financial-regulation official said today.
Fed Governor Daniel Tarullo outlined the central bank’s plans for capital surcharges surpassing those of international regulators at a Senate hearing on progress in implementing rules to prevent a repeat of the 2008 credit crisis. The Fed’s formula for surcharges will also hit hardest against those that lean most on short-term wholesale funding, he said.
“We’re all trying to come to grips with what we really need in order to provide more assurance that these firms do not threaten the financial system,” Tarullo told the Senate Banking Committee said. Banks will have to weigh a trade-off between complexity and capital demand and may choose to trim the cost by shrinking their “systemic footprint.”
WASHINGTON–Lawmakers from both parties pressed U.S. regulators to continue efforts to shrink or lessen the risk big banks pose to the financial system, signaling support for recent moves to impose new constraints on Wall Street.
The support for a big-bank regulatory crackdown was underscored at a Senate Banking Committee hearing Tuesday as lawmakers drew a distinction between large banks and other financial firms. Several senators pushed regulators to ease burdens on insurance companies and small and midsize banks while backing additional regulatory action to ensure the biggest banks aren’t “too big to fail.”
Unless regulators “are willing to take the steps necessary to make sure that these organizations are not too complex to be resolved through bankruptcy, than all is for naught,” said Sen. Bob Corker (R., Tenn.).
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The Shareholders Foundation, Inc. announces that a lawsuit was filed on behalf of certain purchasers of shares of Ocwen Financial Corp OCN, -2.36% over alleged Violations of Federal Securities Laws by Ocwen Financial.
If you purchased shares of Ocwen Financial Corp (OCN), you have certain options and for certain investors short and strict deadlines are running. Deadline: October 14, 2014. OCN investors should contact the Shareholders Foundation at email@example.com or call +1(858) 779 – 1554.
The plaintiff alleges that Defendants issued allegedly materially false and misleading statements and allegedly omitted material information from the Company’s public disclosures, which allegedly failed to disclose, among other things, that Altisource Portfolio Solutions, S.A. was charging exorbitant fees to Ocwen Financial Corp to enable Defendants to funnel as much as $65 million in questionable fees, that despite public representations to the contrary, Defendant Erbey was personally involved in approving conflicted transactions with Altisource Portfolio Solutions, S.A. and other related entities which he controlled, that the Company failed to comply with applicable laws and regulations, including lending regulations designed to protect homeowners, that the Company’s financial statements between May 2, 2013 and August 11, 2014 were artificially inflated and did not provide a fair presentation of the Company’s finances and operations, that the Company lacked adequate internal and financial controls, and that as a result of the above, the Company’s financial statements were materially false and misleading at all relevant times.
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New York Attorney General Eric T. Schneiderman and others have made a big push in recent months to pass legislation to prevent so-called “zombie foreclosures,” which have become a significant problem in the state.
The Attorney General’s Abandoned Property Neighborhood Relief Act was introduced into the Senate earlier this year by Senate Co-Leader Jeff Klein and in the Assembly by Assembly member Helene Weinstein. Since it was introduced, many other New York lawmakers have joined forces with the AG in an attempt to pass the bill.
The bill would require lenders (usually banks) to maintain and pay for upkeep on foreclosed properties that have been abandoned by their owners, and it would also require lenders to notify homeowners that they do not have to move out until the foreclosure process is complete – which could take months or even years.
A “zombie” property is in the process of foreclosure but has been abandoned by the owner but is not yet owned by the bank because the foreclosure process has not been completed. Homeowners often abandon their homes soon after the foreclosure process begins because they are not aware they don’t have to leave until a judge declares the process to be complete. In many cases, it is never complete, since not every foreclosure filing results in a complete foreclosure.
Wells Fargo Advisors warned it is facing possible Finra action for alleged failures in its anti-money laundering policies, according to a disclosure posted to the firm’s public BrokerCheck profile.
The firm received a Wells Notice from the Financial Industry Regulatory Authority Inc.’s enforcement unit in mid-July that indicated that the regulator planned to recommend disciplinary action, the firm said. Finra alleged that Wells Fargo had failed “to implement policies and procedures reasonably defined to achieve compliance with the Bank Secrecy Act,” and had also allegedly failed to implement regulations to detect and report suspicious activity, according to the disclosure.
Wells Fargo spokeswoman Rachelle Rowe declined to comment as the matter was on-going. Michelle Ong, a Finra spokeswoman, also declined to comment.
Here’s the first part of the journey….look up and see who actually “owns” your loan:
Freddie Mac Loan Lookup
Fannie Mae Loan Lookup
(Reuters) – Trump Entertainment Resorts Inc , which runs two casinos in Atlantic City, filed for bankruptcy protection for a third time, in another blow to the city’s crumbling casino industry.
Atlantic City’s casinos have been losing their glitz and gambling dollars to the more than 40 new rivals that have opened in neighboring states, with gaming revenue nearly halving from its 2006 peak of $5.2 billion.
Three of the 12 casinos in the city have closed this year, with one of the Trump Entertainment properties expected to close next week. About 8,300 jobs have been cut so far.
Trump Entertainment, which Donald Trump founded but no longer controls, operates the Trump Taj Mahal Casino Resort and the Trump Plaza Hotel and Casino in Atlantic City, the second-largest U.S. gambling destination after Las Vegas.