LexisNexis® CLE On-Demand features premium content from partners like American Law Institute Continuing Legal Education and Pozner & Dodd. Choose from a broad listing of topics suited for law firms, corporate legal departments, and government entities. Individual courses and subscriptions available.
By John C. Lynch, David N. Anthon, Jason E. Manning, and Maryia Y. Jones
On February 11, 2013, the Consumer Financial Protection Bureau (CFPB) issued a bulletin (Bulletin) detailing its plans to closely supervise loan servicing transfers and enforce federal and state law compliance in connection with such transfers. The backdrop for this new initiative is the CFPB's concern that transferee servicers frequently fail to honor the terms of trial loan modifications provided by predecessor servicers. This may happen because relevant documents are not transferred to the transferee servicer or the transferee servicer does not take adequate steps to identify mortgages subject to trial loan modifications.
The CFPB's focus areas include:
A copy of the Bulletin is located here. Loan servicing transfers policies and procedures are impacted by the Real Estate Settlement Procedures Act (RESPA), the Fair Credit Reporting Act (FCRA), and the Fair Debt Collection Practices Act (FDCPA), as well as state-specific requirements.
Troutman Sanders' Financial Services Litigation Practice
Troutman Sanders' Financial Services Litigation practice is an accomplished and experienced leader in providing litigation and regulatory advice to a broad spectrum of financial services institutions. The practice is comprised of a dedicated group of trial and regulatory lawyers who focus on resolving the array of issues that confront financial institutions. Its lawyers have years of hands-on successful experience in all areas of the trial process, coupled with in-depth banking industry and regulatory knowledge.
Please do not hesitate to contact David Anthony, John Lynch, Jason Manning, or Maryia Jones if you have questions or would like additional information on the CFPB's Bulletin.
© TROUTMAN SANDERS LLP. ADVERTISING MATERIAL. These materials are to inform you of developments that may affect your business and are not to be considered legal advice, nor do they create a lawyer-client relationship. Information on previous case results does not guarantee a similar future result. Follow Troutman Sanders on Twitter.