CFPB Crackdown: Unfair Practices Hurting Consumers

[Zoe]

No, we do not all know that since C & R is a unicorn fairy tale. No one can define it, no one can say this fee or that is C & R, etc. As long as appraisers are out there taking $295 fees before paying 'technology fees', then what is C & R? $295 looks like to me. No C & R is a joke and a cruel lie to get appraisers to support TILA and other fish-slapping legislation that does nothing.

It wasn't before the last rule got changed at the last minute.

It was also speculated that GSEs were going to pay appraisers for proprietary data, somewhat how copyrights and intellectual data gets paid for.

 

[Zoe]

The desired outcome from the OP is that AMCs charge less for their services and pay the appraiser more. CFPB: Mr AMC you charge too much and pay the appraiser too little. You need to charge less but pay the appraiser more. AMC: Ok we will cut our fee by $100 and pay the appraiser $100 more. Consumer: Wait...............What?

That's not it. You keep missing the point. If fees were separated on Truth in lending disclosures, it would almost force the lender to pay the AMC directly.

2nd benefit, is it would force intense competition between AMCs.

AMC number 1.......I will charge you $10

AMC number 2.......I will charge you $700.

Plus it would be more transparent to the borrower. Public trust.

It is the market structure that is messed up. Remember AT&T when they had a monoply on the land line telephones and they got broke up?

It was market structure at the heart of it. They have been fined for many things over the years from the government. Hidden fees, etc.etc.

 

[Zoe]

It was actually Ma Bell that got broke up. But it was antitrust legislation that broke Ma Bell up. ATT&T was forced to separate name from Ma Bell.

Ma bell had to change their name completely from Bell telephone land lines where I live. They went to Att&t.

See? Market structure is the problem and non disclosure (commingled) fees on Til disclosures.

Fastest and cheapest is sure in favor of public trust.

 

[George Hatch]

The hook for your appeal is consumer protection. What's in the best interests for the consumers. If you want to complain about your fee then the tie-in would be how you think the low cost appraisals are hurting the consumers by resulting in unreasonable value conclusions that either prevent the sale by coming in below the contract price or which do rubber stamp the unreasonable value that results in them being overencumbered. It might be better to pick one or the other than to allege both at the same time.

 

[Dublin ohio]

Evidence for that claim?

Evidence that I am wrong. Or am I supposed to assume that your intentions are strictly altruistic

 

[Dublin ohio]

both - IMO-it would cause one to question the Fee's....and why

Why would the consumer all of a sudden become an advocate for higher appraiser fees. When all they are really concerned about is the bottom line.

 

[Dublin ohio]

That's not it. You keep missing the point. If fees were separated on Truth in lending disclosures, it would almost force the lender to pay the AMC directly.

Why?

 

[Dublin ohio]

It was actually Ma Bell that got broke up. But it was antitrust legislation that broke Ma Bell up. ATT&T was forced to separate name from Ma Bell.

Ma bell had to change their name completely from Bell telephone land lines where I live. They went to Att&t.

See? Market structure is the problem and non disclosure (commingled) fees on Til disclosures.

Fastest and cheapest is sure in favor of public trust.

AT & T was started as a subsidiary of Bell in 1885. It became the parent company in 1899

 

[Mejappz]

Evidence that I am wrong. Or am I supposed to assume that your intentions are strictly altruistic

I shared a link to the Consumer Financial Protection Bureau (CFPB), which is seeking evidence regarding the surge in residential closing costs. If you have evidence to share with them feel free. If not that's fine as well.

 

[Zoe]

The hook for your appeal is consumer protection. What's in the best interests for the consumers. If you want to complain about your fee then the tie-in would be how you think the low cost appraisals are hurting the consumers by resulting in unreasonable value conclusions that either prevent the sale by coming in below the contract price or which do rubber stamp the unreasonable value that results in them being overencumbered. It might be better to pick one or the other than to allege both at the same time.

I don't think that is it George. I think it lender maybe charging $1,500 to consumer for the appraisal and AMC getting $1,500 and appraiser getting $200 for fastest and cheapest.