Tag: CFPB

Consumer watchdog considers banning US title insurance

G. Turner
Title Insurance -Ban in question

The Consumer Financial Protection Bureau is thinking about stopping this mortgage lender practice A leading consumer watchdog in the United States is thinking about whether mortgage lenders should be banned from charging borrowers for title insurance. The coverage is meant to add a layer of protection for lenders Charging homebuyers for title insurance has long been a practice among mortgage lenders, who use it to provide themselves with additional protection.  According to people familiar with the Consumer Financial Protection Bureau consumer watchdog matter, as cited in a recent Bloomberg report,…

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CFPB considers new rules for fair force placed insurance

Forced placed insurance gets the squeeze. The Consumer Financial Protection Bureau (CFPB), the country’s consumer watchdog agency, has put forward newly proposed rules for mortgage servicers which would require them to provide borrowers with better disclosure of fees, force placed insurance, and interest rates. According to the director of this newly formed organization, Richard Cordray, “The mortgage servicing rules we are considering reflect two basic, common-sense principles – no surprises and no runarounds.” The CFPB provided the proposal details, in a statement which included information about a measure that would…

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