Tripped Up by TRID?
If you are still scrambling to get your systems updated and your members are experiencing delays in closing on their mortgage loans since the new TRID rules took effect on October 3, you are not alone. This is clear from the results of a survey released by the American Bankers Association yesterday, which surveyed banks ranging in size from under $50 million to over $20 billion in assets.
Among the most surprising findings: the surveyed banks are still scrambling to make changes to their loan operating systems months after the regulations took effect. According to the American Banker, this reflects the fact that vendors are still trying to figure out what is required of lenders under these new regulations. According to the survey, 72% of respondents are still waiting because of vendor software problem defects.
The CFPB would argue that these little bumps in the road are worth it to end up with a better consumer process. As of right now, the benefit to consumers is mixed at best. For example, 77% of the respondents reported delays in loan closings because of TRID, ranging anywhere from 1 to 20 days, with an approximate average of 8 days. In addition, 40% of respondents reported that the cost of obtaining a mortgage alone has increased.
Perhaps it is time for the CFPB to wake up and smell the coffee.
Republican Party Gets Trumped
I wasn’t going to say anything about Donald Trump’s primary victories last night, all but assuring that he will be the GOP candidate for President in November, but I can’t help myself. Here are some quotes from the op-ed section of the Wall Street Journal, which summarized my feelings nicely this morning.
Conservative columnist William A. Galston wrote: “suppose we give Mr. Trump more credit than he deserves and take him at his word. It is abundantly clear that no Mexican leader or government would ever agree to pay for his border wall. What then? He would lack the legal authority to impose tariffs on countries such as China and Mexico that run persistent trade surpluses with the U.S. What then? He has proposed a massive tax cut and other programs that, according to the Committee for a Responsible Federal Budget, would add between $11.7 trillion and $15.1 trillion to the national debt over the next decade. This plan, which would be ruinous if enacted, would not be adopted, and candidate Trump has no other economic agenda. What then?”
This next quote summarizes how I feel about my fellow Americans who decided that voting for Mr. Trump was a good idea. Holman W. Jenkins, Jr. wrote: “To be honest and impolitic, the Trump voter smacks of a child who unleashes recriminations against mommy and daddy because the world is imperfect. The blaming of elites has gone too far. The American voter has a big hand in his own disappointment.”