Breaking News – Government Affairs Update

via GA Update – The Qualified Mortgage is Here!.

  • The CFPB released over 1,300 pages of documents today including the 804 page Qualified Mortgage Rule, also known as the Ability to Repay. Read the CFPB rule here.
  • In short, the QM will abolish loans with “risky features” such as no doc loans and pay-option ARMs as will as implement a max 43% back end ratio for non-GSE, non-FHA, non-VA, non-USDA loans at this time.
  • The QM also includes a cap on “points and fees” of 3% which will include LO compensation and affiliated fees.
  • The Rule is effective January 10, 2014.
  • The CFPB is seeking comment on how exactly the LO compensation piece will work. NAMB looks forward to working with the CFPB to work on the details.
  • NAMB officially is requesting the CFPB to convene a SBREFA Panel to specifically discuss the impact the rule will have on not only small business mortgage professionals, but the consumers they serve. Read the NAMB Press Release.
  • Copy of NAMB’s testimony to the House Financial Services Committee from July which spells out the concerns with the 3% cap on points and fees can be found here.
  • Bottom Line: Don’t Panic!…yet. Your Government Affairs team at NAMB is already hard at work. We represented mortgage professionals at the CFPB hearing in Balimore today and are already working with other trade associations to determine the best course of action with the new rules. Stay tuned and support those thaty support you!


  • 2013 NAMB Legislative and Regulatory Conference will be March 10, 11, 12 in Washington, D.C.. This is a “must attend” event. Last year, 10,000 Realtors attended NAR’s Lobby Day. We would love to see if we can get 1,000 mortgage professionals there to help us lobby on Capital Hill. Join us as we rally to fight for consumers, small business and mortgage professionals everywhere. Stay tuned for more details!!!

NAMB Government Affairs Committee meeting this week. If you would like to volunteer and participate with your GA Team, please let me know at

Now, give us your feedback, ask us your questions, and share your commentary. Please email us at



We need your participation and support…get involved today. NAMB is a non-profit trade association made up of volunteers that are passionate about the preservation and promotion of consumer choice, small business, and the well-being of ALL mortgage industry professionals. We have been fighting for the mortgage industry since 1973….Join us in our efforts. Support YOUR Industry, Fight Back, Join NAMB Here 




  SUPPORT NAMBPAC – As we vigorously fight for you in Washington, we do need help supporting those legislators that support us – please visit NAMBPAC to learn more! 





Please pass this message along to your referral sources and let them know how they can help. Protect Our Industry – Forward This Message

John H. P. Hudson

2012 NAMB Government Affairs Chair


Premier Nationwide Lending 

1202 W. Bitters Rd., Bldg 1, Ste. 1205

San Antonio, TX 78216




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