Pinwheel’s Post

If you missed the news last month, CWDL and Firstline Compliance, LLC have formally joined forces to serve the wide range of accounting and compliance needs of today’s mortgage industry. Lenders can now access CWDL’s mortgage-specific audit, accounting, and tax solutions, and Firstline’s operational risk and compliance services, through one seamless partnership with a unified client service philosophy. Whether you’re looking for monthly accounting support, an outsourced compliance management system, annual audit and tax services, state licensing guidance, or more, CWDL and Firstline Compliance will help you manage and improve the financial and operational health of your business. Reach out to Kasey English or Joshua Weinberg to learn more about this partnership and how our guidance can transform your business. https://lnkd.in/gWvS3E_B #mortgagebanking #mortgagebankingcpas #mortgagecompliance

With automated #income verification , lenders obtain timely #income reports to accurately verify consumers' #income in minutes rather than days or weeks

The Safeguards Rule notification requirement is in effect, as of May 13th. See this article from the Federal Trade Commission to learn more. I especially appreciate the way the article answers the question, "Who's covered by the Safeguards Rule?" because there are MANY companies that fall under this Rule and yet seem not to realize it: "The answer is “financial institutions” subject to the FTC’s jurisdiction. But if “financial institution” conjures up images of deposit slips, tellers, and ballpoint pens chained to marble tabletops, think again. The definition is broader than that and covers a wide variety of entities that may have consumers’ confidential financial information. The Rule specifies 13 different kinds of businesses – mortgage lenders, payday lenders, finance companies, mortgage brokers, account servicers, check cashers, wire transferors, collection agencies, credit counselors and other financial advisors, tax preparation firms, non-federally insured credit unions, and investment advisors that aren’t required to register with the SEC – but even that list isn’t exhaustive. FTC Safeguards Rule: What Your Business Needs to Know offers informal staff guidance to help you determine if the Rule applies to you." If you need help understanding the Safeguards Rule or safeguarding your technical environment to comply with the Rule, please reach out. That's what we're here for.

The Consumer Financial Protection Bureau (CFPB) today issued an interpretive rule that confirms that Buy Now, Pay Later lenders are credit card providers. CFPB Takes Action to Ensure Consumers Can Dispute Charges and Obtain Refunds on Buy Now, Pay Later Loans: CFPB Agency’s interpretive rule addresses Buy Now, Pay Later lender obligations to investigate disputes and refund charges WASHINGTON, D.C. – The Consumer Financial Protection Bureau (CFPB) today issued an interpretive rule that confirms that Buy Now, Pay Later lenders are credit card providers. Accordingly, Buy Now, Pay Later lenders must provide consumers some key legal protections and rights that apply to conventional credit cards. These include a right to dispute charges and demand a refund from the lender after returning a product purchased with a Buy Now, Pay Later loan. The CFPB launched its inquiry into the rapidly expanding Buy Now, Pay Later market more than two years ago and continues to see consumer complaints related to refunds and disputed transactions. Today’s action will help bring consistency to this market. “When consumers check out and choose Buy Now, Pay Later, they don’t know if they will get a refund if they return their product or whether the lender will help them if they didn’t get what was promised,” said CFPB Director Rohit Chopra. “Regardless of whether a shopper swipes a credit card or uses Buy Now, Pay Later, they are entitled to important consumer protections under longstanding laws and regulations already on the books.” The Buy Now, Pay Later market has expanded rapidly over the past few years. Lenders advertise buying products over four simple payments. Products are marketed as a way to help consumers pay for expensive products and services over time without having to pay interest. Today, both products, like televisions and gaming systems, and services, like airline tickets and cruises, can be purchased through Buy Now, Pay Later products. Buy Now, Pay Later products are popular across ages, races, and income levels.

Check out this post from our Compliance Manager, JoAnn Gardner, CIPP/US, CIPM. If you need help with the FTC Safeguards rule don't hesitate to reach out to us or her directly! #compliance #safeguards

LMG is the first aggregator to say goodbye to payslips. Equifax has launched Verification Exchange, a cutting-edge digital income verification product that provides lenders with borrowers' income information directly from payroll providers. With detailed payroll information for the past 12 months and up to 3 years of summary information, lenders can make informed decisions quickly. Join the lending revolution with #Equifax #VerificationExchange #digitaldisruption.

𝗗𝗼𝗻’𝘁 𝗽𝘂𝘇𝘇𝗹𝗲 𝗼𝘃𝗲𝗿 𝗰𝗿𝗲𝗱𝗶𝘁 𝗿𝗶𝘀𝗸! Credit reports provide vital insights for lenders & brokers, helping assess applicants' history & reliability. Discover how Equifax scores can boost your decision-making: https://bit.ly/3UfEB8v #CreditRisk #LendingInsights #CreditLifecycle #DataDriven #MortgageBroker #Lender

Navy Federal, the nation's largest credit union, is facing a lawsuit about its allegedly discriminatory mortgage lending practices. This news raises important questions about equal access to credit and fair lending in our financial system. In a time when inclusivity and diversity are critical in our society, it is disheartening to see such allegations made against a prominent financial institution. Predicting the outcome of a lawsuit is often a challenging task, but it is crucial for us to acknowledge the impact this case may have on the credit union and the wider lending industry. If these allegations hold true, it could potentially leave a lasting imprint on Navy Federal's reputation and serve as a wake-up call for the entire financial sector to address any discriminatory practices that may exist. Here are a few general thoughts on the matter: 1. Importance of Transparency: Financial institutions have a moral and social responsibility to ensure transparency and impartiality in their lending practices. Trust is the foundation upon which institutions like Navy Federal are built, and it is imperative that they uphold the highest standards of fairness. 2. Impact on Affected Individuals: Discriminatory lending practices can perpetuate inequality and exacerbate existing social disparities. They can hinder individuals and families from accessing affordable housing and establishing financial stability, creating a vicious cycle of disadvantage. 3. Effects on the Industry: Lawsuits like these can shape the course of an entire industry. If proven guilty, it could lead to stricter regulations, increased scrutiny, and potential litigation against other lenders. Ensuring fair lending practices should be a priority for all financial institutions, not just those facing legal actions. 4. Importance of Diversity and Inclusion: We must recognize that a diverse workforce is essential to creating a fair and equitable financial system. By promoting a diverse and inclusive culture within organizations, we can better understand and serve the needs of all communities. Moving forward, I sincerely hope that this lawsuit against Navy Federal prompts a thorough examination of their lending practices and a commitment to rectifying any discriminatory policies. It should serve as a reminder to all financial institutions to reassess their own practices and work towards inclusive lending that benefits all individuals and communities.

According to Transunion research, only 21% of Gen Z renters have their rent payments reported to the credit bureaus. This is a huge opportunity for any landlord looking to differentiate themselves. Rent reporting is often seen as a win-win because of the benefits it brings to the landlord and resident. For the landlord: - Discourages late payments - Differentiates you from the competition - Converts more and better leads into renters - Improve cash flow through reduced delinquencies - Appeals to credit conscientious residents who care about their financial reputations For the Residents: - Encourages financial responsibility and accountability - Helps move credit invisible individuals to credit available. - Helps them look favorable for future financial obligations - Improves their credit score (assuming on-time payments) - Rewards them with an additional benefit from their (likely) highest monthly spend. Here's the report, no sign-up needed: https://lnkd.in/gpUdypg3 #rentreporting #genz #propertymanagement

Income verification is a critical step in determining a consumer’s ability to pay. See how one lender optimized their income verification process to approve applicants faster: https://bit.ly/3u74XPQ