CUNA and NAFCU said the CFPB's proposed changes to its mortgage rules would benefit credit unions but some concerns remain.
The CFPB proposed expanding the definition of small creditor, which would increase the loan origination limit from 500 to 2,000. The proposal would also include mortgage affiliates into the calculation of small credit status. The asset threshold of $2 billion, which is adjusted annually, would remain the same.
"Responsible lending by community banks and credit unions did not cause the financial crisis, and our mortgage rules reflect the fact that small institutions play a vital role in many communities," CFPB Director Richard Cordray said Thursday. "Today's proposal will help consumers in rural or underserved areas access the mortgage credit they need, while still maintaining these important new consumer protections."
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