in News > Mortgage Servicing
print the content item
Total consumer debt fell about $60 billion to $11.66 trillion in the third quarter, according to the Federal Reserve Bank of New York's quarterly report on household debt and credit. The third-quarter data represents approximately a 0.6% decline from revised second-quarter findings of $11.72 trillion.

Mortgage balances on consumer credit reports dropped roughly $114 billion, or 1.3%, during the third quarter, while balances for home equity lines of credit increased by $14 billion, or 2.3%. Compared to their peak levels, mortgage and HELOC indebtedness have fallen 9.6% and 10.5%, respectively.

"The decline in outstanding consumer debt reveals that households continue to try and deleverage in the wake of a challenging economic environment and large declines in home values," says Andrew Haughwout, vice president in the research and statistics group at the New York Fed. "However, our findings also provide evidence that consumer credit demand continues to increase - a positive sign for consumer sentiment."

On the distressed-loan front, the New York Fed reports that about 2.5% of current mortgage balances rolled into delinquency in the third quarter, reversing a recent trend of reductions in this measure. New foreclosures, meanwhile, decreased 7% quarter over quarter, and bankruptcies declined 18.8% year over year.




Latest Top Stories

CFPB Selects Vendors And Lenders For Its Mortgage E-Closing Pilot

Five technology firms and seven lenders will participate in the CFPB's e-closing pilot, which will explore the viability of developing a standard process for closing mortgages using technology.


BofA To Pay Nearly $17 Billion To Resolve Mortgage Bond Probe

The agreement with the U.S. Department of Justice eclipses the $13 billion settlement JPMorgan Chase reached with federal and state authorities over similar allegations last November.


FHFA Seeks Feedback On Proposed Single Security For GSEs

The agency is requesting feedback from mortgage industry professionals on all aspects of the proposed single security structure and in particular, issues regarding the transition from the current system to a single security.


Ellie Mae To Buy AllRegs For $30 Million

"With the acquisition of AllRegs, Ellie Mae will expand its customer base and add a broad array of content and services that complement our portfolio of product offerings," says Sig Anderman, CEO of Ellie Mae.


Survey Shows ATR/QM Rules Are Negatively Affecting Approvals

In a survey of loan officers commissioned by the Federal Reserve Board, more than half said the CFPB's ability-to-repay/qualified mortgage rule has reduced approval rates for certain types of mortgages.

LenderLive_id1241
Hse SandyHook
Industry Resource
Play for Pink
FedHomeLoan_id1341
NAMFS_id1321
Safeguard_id1322
SWBC_id1313