Hundreds Of Lenders Named In Mortgagee Review Board Actions

Posted by Orb Staff on July 27, 2010 No Comments
Categories : Residential Mortgage

ink=http://portal.hud.gov/portal/page/portal/HUD/press/press_releases_media_advisories/2010/HUDNo.10-162]Federal Housing Administration[/link]'s (FHA) Mortgagee Review Board (MRB) has published a notice in the Federal Register to announce dozens of administrative actions against FHA-approved lenders who failed to meet its requirements. This year alone, the MRB took nearly 1,500 administrative sanctions against lenders, including reprimands, probations, suspensions, withdrawals of approval, and civil money penalties. ‘Lenders should know by now that FHA will not tolerate fraudulent or predatory lending practices,’ says FHA Commissioner David Stevens. ‘Any FHA-approved lender that does business with us must follow our standards. If we determine that our partners are not playing by the rules, we will take action – it's that simple.’ The MRB sanctions FHA-approved lenders for violations of the agency's program requirements. For serious violations, the MRB can withdraw a lender's FHA approval so that the lender cannot participate in FHA programs. In less serious cases, the MRB enters into settlement agreements with lenders to bring them into compliance. A full listing of the actions taken by the MRB is available on [link=http://frwebgate1.access.gpo.gov/cgi-bin/PDFgate.cgi?WAISdocID=Rsc0ui/5/2/0&WAISaction=retrieve]HUD's website[/link]. SOURCE: [link=http://portal.hud.gov/portal/page/portal/HUD/press/press_releases_media_advisories/2010/HUDNo.10-162 ]Federal Housing Administration

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