mortgage fees: FEDERAL REGULATION TARGET MORTGAGE BROKERAGE & ORIGINATION PRATICE FEES
- 10/14/10 03:30 PM
Yield Spread Premiums Make Endangered Loan-Fee Species List by Broderick Perkins Newly-approved federal regulations target a mortgage brokerage and origination practice that experts say contributed heavily to the mortgage meltdown and ultimately the greatest recession since the Great Depression.
Effective April 1, 2011, the Federal Reserve will prohibit loan originators and mortgage brokers from receiving compensation based on a borrower's interest rate or other loan terms. That will save consumers thousands of dollars on a mortgage. In the past, brokers and originators were compensated, in part, for steering borrowers to more expensive mortgages. The more costly the mortgage, the … (3 comments)
Yield Spread Premiums Make Endangered Loan-Fee Species List by Broderick Perkins 
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