Dear Mortgage Professional,
Please
answer this call to action, your livelihood depends on it.
Take 5 minutes
to make the call or send the letter.
Jody Davis
Legislative
Chair, AzAMP
LEGISLATIVE ALERT
Dear NAMB Member,
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 the letter below to your Senator
immediately.
For
a copy of the bill, click here.
For
your Senator’s contact information, click here.
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
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
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