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URGENT CALL TO ACTION - PROTECT LOAN ORIGINATOR COMPENSATION
http://www.kyamp.net ^ | 5/13/10 | National Association of Mortgage Brokers

Posted on 05/13/2010 9:04:55 AM PDT by Howard Morrison

Yesterday, the Senate passed an amendment offered by Senators Merkley (D-OR) and Klobuchar (D-MN) to S. 3217, the "Restoring American Financial Stability Act of 2010," that would prohibit the total amount of direct and indirect compensation paid to mortgage originators from varying based on the terms of a loan, and place a cap on income. The amendment, SA 3962, was issued after business hours on Tuesday night, fully knowing that NAMB would call on grassroots support to contact their Senators to oppose the amendment. Despite the NAMB "Call to Action" issued, the amendment was voted on and passed early Wednesday morning.

NAMB's advocacy team is exploring all options to fight the amendment. NAMB urges its members to still participate in the "Call to Action;" your Senators must hear from their constituents about how this amendment will not only hurt your customers, but hurt small businesses in their state. Send a letter similar to the letter below to your Senator immediately!!!

(Excerpt) Read more at kyamp.net ...


TOPICS: Announcements; Business/Economy; Government; Politics/Elections
KEYWORDS: alteredsource; amendment; badlink; compensation; freemarket; smallbusiness
Dear Senator ______,

I write to you today as a small business mortgage professional, and member of the National Association of Mortgage Brokers (NAMB), regarding an amendment (SA. 3962) introduced by Senators Merkley (D-OR) and Klobuchar (D-MN) to S. 3217, the "Restoring American Financial Stability Act of 2010" which was approved. I have serious concerns with the amendment and fear it will harm small business and consumers nationwide. For the reasons below, I strongly urge you to oppose this, and any other amendment, that would treat origination channels differently, picking winners and losers in the mortgage industry.

I believe the amendment will severely limit a consumer's choice of how best to pay for their home by removing a choice of paying closing costs in the interest rate. It will also restrict me from legitimately and legally compensating my employees. Furthermore, the Federal Reserve Board issued proposed amendments to Regulation Z to prohibit steering late last year which was subject to notice and comments and addresses many of the issues contained in this amendment but in a comprehensive manner. That rule is in the final rulemaking stages. Congress should allow the Federal Reserve Board to continue reviewing comments and developing a final rule that will deter incentivized fees and steering consumers, while preserving mortgage originators' ability to receive compensation without creating an unlevel playing field between competitors.

I have been witness to great hardship as a small business because of the economic decline and its effect on the industry. Small businesses, the cornerstone of American economic prosperity, should not be penalized for helping consumers. The amendment will not only put small business at a disadvantage to larger lenders, but will inevitably force me to close my doors. Less competition in the mortgage industry will drive up costs and remove affordable options for consumers. In particular, low income, minority and rural community borrowers will be hurt the most because this amendment as it will remove competition from the marketplace.

I urge you to to ask that the amendment be removed from the bill or fixed so that consumers will continue to have choices at the closing table and mortgage originator's will continue to serve consumers in their communities. Small business mortgage professionals like me will be forced to close their doors should this amendment be included in the financial regulatory reform bill.

Thank you for your time and consideration on this issue.

Sincerely,

Your Name

1 posted on 05/13/2010 9:04:55 AM PDT by Howard Morrison
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To: Howard Morrison

How much does Klobuchar think the real estate laon processors in her district should earn? How much is “enough”, Amy?

Who appointed you to determine that?

Next private sector occupation you want to decide the wages for? Please, let your constituents know what you think they ought to be making.


2 posted on 05/13/2010 9:08:31 AM PDT by silverleaf
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To: Howard Morrison
Government is screwing up everything. "Healthcare reform" means you lose your private insurance and are compelled to purchase crappy government insurance. Doctors won't work at a loss from government insurance reimbursements, so you have insurance with nobody to provide service. It seems they intend to foist the same stupidity on the mortgage brokers. The closing costs are there to pay for the clerical work necessary to prepare the paperwork. If you don't pay for the service, the service won't be there. Stupidity on parade.
3 posted on 05/13/2010 9:38:27 AM PDT by Myrddin
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To: Howard Morrison

Bankers want to bring this all in house.


4 posted on 05/13/2010 9:50:00 AM PDT by Vendome (Don't take life so seriously... You'll never live through it.)
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To: Howard Morrison

This administration already picked ‘winners & losers’ in car dealerships.

Why would they not try it in other industries?


5 posted on 05/13/2010 9:51:16 AM PDT by ridesthemiles
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To: Vendome

Bankers want to bring this all in house.”

Not so sure about this.

Banks are buried in the paperwork with foreclosures.

they have been very reluctant to deal with people they already have a profile on.


6 posted on 05/13/2010 9:53:23 AM PDT by ridesthemiles
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To: Howard Morrison

NAMB = National Association of Mortgage Brokers

Seems like this “profession” is experiencing

“what goes around comes around”

Could this be payback for preparing fraudulent “liar loan” documents for borrowers?


7 posted on 05/13/2010 9:56:10 AM PDT by truth_seeker
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To: Howard Morrison

Showing yet again that Democrats do not understand business or the impact of their stupid decisions. Perhaps private sector experience really should be mandated for anyone in a legislative role...


8 posted on 05/13/2010 9:59:07 AM PDT by Made In The USA (Home Depot should begin stocking up on pitchforks and torches.)
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To: ridesthemiles

Of course I am no expert but I qualify my statement with what I am hearing from people in the business such as appraisers.

More of that work is being done in house and business is drying up for thw two people I know, who are appraisers

Just a WAG.


9 posted on 05/13/2010 10:03:16 AM PDT by Vendome (Don't take life so seriously... You'll never live through it.)
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To: Howard Morrison
Kentucky Association of Mortgage Professionals
10 posted on 05/13/2010 10:31:28 AM PDT by A.A. Cunningham (Barry Soetoro is a Kenyan communist)
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To: truth_seeker

So there are no frauds or cheats in your trade or profession? Really? Congratulations!!

This is exactly what the Left wants, to pit one segment of society against another, over and over again, so they can be controlled. Thanks for playing their game! Lenin had a term for someone like that...


11 posted on 05/13/2010 11:08:28 AM PDT by 2ndDivisionVet (Don't care if he was born in a manger on July 4th! A "Natural Born" citizen requires two US parents!)
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To: Howard Morrison

Will be happy to help.

I will get right on it.

BTW

Please inform me when the Banksters and those in the Mortgage Industry are being arrested for RICO and Price Fixing Violations related to Mortgage fraud begins.

Let me know when the Blackballing and sharing of Blackballed Apraiser Lists of Appraisers who refused to continue to spin up the value of property is finally broadly exposed to the public.. followed by the prosecution and Imprisonment of thousands of Banksters and Mortgage Loan Organization CEOs/Directors/Board Members.

The wealth of three Generations of Americans has been stolen by a cabal of Banksters, National/International Corporate Thugs, Elected and Apppointed Officials
Republi-Con and Demon-Crat alike whoring for dollars.

Now we know why the steady drum beat of “move along..nothing to see here”, “The Government Forced us to do it” Stupid people who could not pay their Mortgages” Continues.

W


12 posted on 05/13/2010 11:23:39 AM PDT by WLR (Remember 911 Remember 91 Iran delinda est.)
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To: silverleaf

I agree this is a front operation.

Any bets the plan is also supported by the Big Boys in the Industry to keep the focus off their criminal misconduct?

Really pretty slick move... the Big fish supporting an Attack on the Little Fish.

My comment related to RICO and Price Fixing as the 800lb Gorrila in the Corner applies, they are all studiously trying to prevent the people from seeing thru their shell game.

Congress, Justice Department and Executive even at the State Level ignore it because the breadcrumbs lead to the back door of those in Power, Republi-Con and Demon-Crat alike.

They all have been playing a Game of Musical Chairs in two rooms.

The People’s and the “Leaders” rooms...

The record player is in the “Leaders” room and those with real money and power can see the hand of the girl reach over to pick up the needle.

It doesn’t matter much though, they only take chairs from the people’s room and move them to the “Leaders” room.

W


13 posted on 05/14/2010 8:42:07 AM PDT by WLR (Remember 911 Remember 91 Iran delinda est.)
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To: Howard Morrison
"National Association of Mortgage Brokers (NAMB)"

Gee, I hope they don't have a branch in Los Angeles! /sarc>

Cheers!

14 posted on 05/15/2010 6:40:12 AM PDT by grey_whiskers (The opinions are solely those of the author and are subject to change without notice.)
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