WASHINGTON (6/18/13)--Credit Union National Association witness Jerry Reed will detail credit union concerns with the Consumer Financial Protection Bureau's qualified mortgage regulations when he testifies before the House Financial Services financial institutions and consumer credit subcommittee hearing today entitled "Examining How the Dodd-Frank Act Hampers Home Ownership," scheduled to start at 10 a.m. (ET). Reed is chief lending officer at Alaska USA FCU.
While America's credit unions appreciate the improvements that the CFPB has made to the QM rule, credit unions "continue to have significant concerns with respect to how other regulators will use the bureau's regulation to impact credit union mortgage lending, and we question whether the rule should apply to credit unions in the first place," Reed wrote in prepared testimony.
Reed also said the CFPB "has not done enough to address credit unions' concerns that being subjected to the rule will actually reduce credit availability."
The prepared testimony also includes comments on language in the QM rule that addresses:
Points and fees limitations; and
The CFPB's ongoing examination of rural and underserved area definitions.
Representatives from the Conference of Bank Supervisors, the American Bankers Association, the Mortgage Bankers Association, the Center for Responsible Lending and the National Association of Realtors are also scheduled to testify today.
For more on the hearing, use the resource link.