Level Playing Field?

hmmm, its hard to think of a level playing field in any industry and truth be told it almost never occurs. Regardless of that however the CFPB is taking steps to make loan originators, regardless of the entity they work under, now all comply to the same standards!

What does this mean, you may be asking?

Simple it makes consumers a little safer actually.

Currently under the laws today any NON federal agency gets a blanket to wrap all their origination's/originators under. By working for a federally insured bank the thought was the consumer was protected. It didn't take long to figure out that anyone who could not pass a background check, credit check, bonding ability and the national and state test or did the mandatory CE requirements to start and then yearly, simply went to work for a federally chartered bank and they basically got a hall pass?

So anyone a bank was willing to hire that couldn't meet the following or even worse could be the person taking your personal and sensitive information on your loan application!!!

Well not for much longer. The CFPB has announced they will be making ALL originators pass the same testing and background requirements all of us NON bank people already do.

So again... what does this part mean?

Its likely many banks will lose a good number of originators due to having to now pass all the items the NON federal entities currently do. They will not be able to hide their inadequacies under the federal charter umbrella and they either will be able to pass all the tests, background checks, CE requirements and bonding requirements everyone else does or they will be exiting the industry. In addition its likely the testing centers are going to see a big boost in number of requests as well.

We have a long way to go to really get to a "level playing field" but this is a much needed step in the right direction!

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Colorado 1st Time buyers, if you are ready to stop renting, get the many benefits from home ownership, or maybe your a current homeowner looking to move up or maybe looking into what it takes to become an investor in this incredible market, that WILL create millionaires, and you are looking for a strategy, answers and direction, please feel free to call or email me. My 18yrs in mortgage lending and 27 years in finance gives me an in depth knowledge, critical to helping others and making their dreams go from dream to reality!

David Shamansky
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5 Comments on Level Playing Field?

JUL
24
368,014 Points 14 Featured Posts Outside Blog Attended Rain Camp Called Shot Master

Hey David,

I know of a few loan officers that took refuge under that blanket.  Sounds let they are about to get wet again unless they can pass the requirements you had to pass.  Best of success to you this year!
12:11pm • #1
873,128 Points 47 Featured Posts Localism Sponsor Attended Rain Camp Called Shot Master
David, that is good news for consumers. I have a contract with a large bank Pre-approval where the person was not actually qualified due to a bankruptcy. Hopefully this will also help eliminate incompetent originators like this one. Sharon
12:47pm • #2
375,353 Points 10 Featured Posts Outside Blog Hit Router Called Shot Master

Jordon - Yes they did. Droves of them who couldnt cut it fled to banks and I believe they are the worse for that poor decision to hire. Now the rubber meets the road and expect to see a lot of empty chairs in the near future.

Frank and Sharon - They infiltrate all parts of our industry as bad and inexperienced Realtors do on your side unfortunately. however I feel these steps will help mitigate this and make it better for everyoen on both sides as well as the consumer!!
8:49pm • #3
587,113 Points 46 Featured Posts Outside Blog Called Shot Master

David,  It's really good to know the playing field is indeed being leveled for all those in the industry.  Time to cut out the riff raff and get everyone following the same rules and requirements.
9:23pm • #4
JUL
25
2 Featured Posts Outside Blog

David,

This is well overdue.  Some of those that put is into this financial conundrum, left the broker world, and hid under the blanket of the Big banks.  Thanks for making me smile!  I hope you are well
6:23am • #5

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David Shamansky - Creative, Aggresive & 580 FICO - OK, Colorado Mortgage Lender

Centennial, CO

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US Mortgages - David Shamansky

Address: 6855 S Havana St Ste 520, Centennial, CO, 80112

Office Phone: (720) 524-8020

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Life, Lessons, Encouragment and a little market insight to boot, is a blog written by David Shamansky. I write this as a daily informational and encouragement resource to others in the real estate and mortgage community.


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