Beginning in early 2014, residential mortgage originators must comply with a new set of rules under the Truth in Lending Act (TILA) that implement sections of the Dodd-Frank Act. Experts are debating these rules’ potential impact on loan originations and the creation of residential mortgage-backed securities (RMBS). Standard & Poor’s Ratings Services recently held a private roundtable with several market participants. The discussion offered the attendees an opportunity to share their views and interpretations of these rules, offer opinions on how to operate efficiently within the scope of the rules, and highlight perceived conflicts the rules still present.
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