CFPB warns 44 institutions of loan reporting violations

Financial regulators sent letters Thursday to 44 mortgage lenders and mortgage brokers warning that they might be in violation of certain loan reporting requirements.

{mosads}Under the Home Mortgage Disclosure Act, the Consumer Financial Protection Bureau (CFPB) said financial institutions are required to collect data about their housing-related lending activity, including home purchase loans, home improvement loans, and re-financings that they originate or purchase, or for which they receive applications.

The data must be made public through the federal agencies on an annual basis.

The CFPB said it has identified 44 companies that might be in violation, but did not name the companies specifically.

“Financial institutions that fail to report mortgage information as required make it harder to identify and address discriminatory lending,” CFPB Director Richard Cordray said in a statement.

“No mortgage lender that is required to report their loan data can avoid this responsibility.”