Despite ongoing news of changing authority and leadership philosophy, the Consumer Financial Protection Bureau (CFPB) continues to implement and enforce federal consumer financial laws impacting banks,
credit unions, and other financial institutions. Since the CFPB's creation in 2012 under the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 (Dodd-Frank Act), the organization has issued
extensive regulation, supervisory guidance, and enforcement actions against industry participants.
The current environment, although shifting, continues to place stress on the financial services industry. Even the most diligent and conservative businesses have a difficult time keeping up with the extent of possible impact. Under pressures of interpretation and timing of deregulation, financial institutions must be prepared to implement, change operational processes, transition, document, and revise complex rules and regulations.
Effective August 31, 2021, the CFPB is amending servicing provisions under Regulation X in an effort to assist borrowers facing financial hardship that has culminated from the COVID-19 pandemic.
Intended to provide relief measures such as foreclosure moratoria and forbearance protections expire, these amendments are designed to stave off unpredictable foreclosure starts and transition distressed
borrowers into viable loss mitigation alternatives.
As of mid-year 2021, over two million homeowners remained in forbearance, and greater than three percent of all borrowers were more than four months delinquent on their mortgage payments. The CFPB's new Mortgage Servicing COVID-19 Rule is designed to ensure servicers have strong efforts in place to help borrowers avoid foreclosure, including:
CLARIFIRE has the features and benefits necessary to navigate nearly every phase of industry complexity. With a proven track record of delivering sophisticated automated workflow that encompasses workout decisioning and loss mitigation eligibility, our focus is to help your organization effectively connect to downstream and upstream existing systems. We instill confidence and provide the capabilities to withstand operational and regulatory disruption, including:
See why Clarifire is a leader in delivering robust workflow automation with proven industry features such as the CLARIFIRE CALCULATOR. A workout underwriting software for customers with fluid, ever-changing, regulatory demands and the need to implement change rapidly, with quality while preserving future capabilities to change and change again as needed. Click here to view additional details specific to: