There are plenty of companies out there, banks and non-banks, trying to raise money. Since lots of folks like lists, let’s start Tuesday with the top 10 things that investors don't want to hear during your sales pitch.

My cat Myrtle has been strangely silent about her thoughts on if Director Cordray will leave voluntarily, to run for governor of Ohio, or leave involuntarily. Regardless, the CFPB is moving ahead with its directives. For example, vendor management is risk management. For example, the CFPB has always had the authority to examine the service providers that support the top financial institutions and has begun actively supervising these service providers. In theory, the vulnerability of the nation's top financial institutions is, in part, related to critical vendors.

And the Home Mortgage Disclosure Act? The increased amount of data which the CFPB has required lenders to report in 2018 has led increased complications. Several lenders and trade groups have asked for clarification on the definition and reporting requirements for new HMDA reporting categories, such as "loan purpose" the unique identifier for the originator of the loan. In a 150-page statement, the CFPB let firms know that they can avoid reporting on those topics if they do not have the information due to loans which were purchased from a third party.

We all have 30 days to comment. The CFPB proposed to "clarify" what sort of information lenders must collect from borrowers as well as from people who apply for a home loan but are rejected. The information could help the CFPB determine lending patterns in different neighborhoods. "The public and regulators can use the information to monitor whether financial institutions are serving the housing needs of their communities, to assist in distributing public-sector investment to attract private investment to areas where it is needed, and to identify possible discriminatory lending patterns," the CFPB said.

Put another way, on April 13, the CFPB announced the release of its proposal to amend Regulation C (12 CFR Part 1003), the regulation that implemented the Home Mortgage Disclosure Act (HMDA) and requires lenders to collect, report and disclose data on home loan applications, originations, and purchases of mortgage loans. Law firm Buckley Sandler helps us recall that in October 2015 the Bureau updated the HMDA reporting requirements to expand the data collection scope, while simultaneously streamlining certain existing requirements. We've all had plenty of lead time. "Specifically, the regulation, as amended, will establish 'transition rules' for both 'loan purpose' and the 'unique identifier' for the loan originator. The transition rules will also allow financial institutions to report 'not applicable' for these two data points. Furthermore, the proposal will make additional amendments to clarify certain key terms, such as 'temporary financing' and 'automated underwriting system,' and create a new reporting exception for certain transactions associated with New York State agreements."

Last week Director Richard Cordray delivered prepared remarks at the Operation HOPE Global Forums Annual Meeting in Atlanta addressing, among other things, financial challenges facing the "economically vulnerable"-most notably with respect to credit reporting and the handling of consumer disputes. Credit reporting was one of the top three consumer complaint categories for 2016, and Cordray cited a FTC study that found that "millions of people had an error on at least one of their credit reports that was serious enough to materially affect their credit score" and outlined the Bureau's position for addressing these concerns.

The CFPB's Office of Minority and Women Inclusion (OMWI) has issued its annual report to Congress covering the OMWI's activities in FY 2016.  The Dodd-Frank Act required the CFPB and various other federal agencies, including the Fed, OCC, FDIC, NCUA, and SEC, to establish an OMWI.

And enforcement actions? Ballard Spahr reports that in New Orleans, during the ABA Business Law Section Consumer Financial Services Committee program about CFPB enforcement at the Section's 2017 Spring Meeting, the audience spoke up. The program was entitled: "Too Much or Too Little? Is the CFPB Exercising its Enforcement Power with Appropriate Restraint?"

The CFPB is in a pickle when it comes to arbitration. If the agency pushes its controversial proposed rule banning forced arbitration agreements in consumer contracts, it risks doing irreversible damage to its ability to block such agreements going forward. That's because if the rule is voided by the Congressional Review Act, the CFPB would be prevented from enacting a "substantially similar" regulation unless it is supported by a new statute. Such a setback would indefinitely handcuff the agency, stymieing its ability to limit forced-arbitration agreements-often found in the fine print of consumer contracts-that the bureau has described as "contract gotchas." "That's the rock and the hard place that they're stuck between," said Buckley Sandler counsel Kathleen Ryan, a former deputy assistant director in the CFPB's office of regulations.

Training & Webinars

The MBA is putting on a webinar today at 2PM ET on, "Bank-Owned Mortgage Divisions: What Bankers Need to Know." The webinar is for bankers who are thinking about getting out of mortgage banking, thinking of getting into mortgage banking, or just wanting to learn how to run their mortgage divisions more profitably. The speakers are Mike McAuley and Joe Garrett of Garrett, McAuley & Co.

Also today at 2PM ET, 11AM PT, Ellie Mae is offering 60 minutes on, "Join HMDA compliance and CFPB experts in a discussion about the updated HMDA regulation, and get what you need to be prepared. Speakers include Tom Kearney Partner, Akerman LLP (Formerly HMDA team lead, CFPB), Josh Weinberg, EVP Compliance, First Choice Loan Services Inc., and John Haring, Director, Compliance Enablement, Ellie Mae. Register here for this free event.

"Join us for the upcoming complimentary National Mortgage Professional Magazine webinar this Thursday, April 20 at 2PM ET/11AM PT titled "Discover How One Mortgage Professional Closed Just Under 100 Loans from Google in 2016 Without Pay per Click!" In 60 minutes, legendary online marketer Chris Johnstone, CEO of Connection Inc., will share what it takes to access Google's Artificial Intelligence to identify ready to close borrowers. Learn why over 50% of your leads should be coming from Mobile and how to convert them. Discover how to rank on the front page and stay there long term and more. Please click here to register."

"Is the Digital Mortgage on your roadmap?  If so, then avoid leaping blindly into an eMortgage process with knowing the facts. Join experts from DocMagic, BeSmartee, and LendingQB for a FREE webinar on April 26 at 10AM PT and learn how to avoid the typical risks, gain a competitive edge, and attract more of your target customers. Click here to register."

From June 7-9, National Settlement Services is holding its Summit in San Antonio, Texas. "Speakers include former FHFA director James Lockhart, MBA chairman-elect David Motley, Mid America Mortgage CEO Jeff Bode, North State Bank President Ken Sykes, executives from Wells Fargo & other mortgage company presidents, and several strong compliance experts. When you need to find the best education and insight from one end of the real estate transaction to the other, you'll get it all at the National Settlement Services Summit (NS3). Register today and join us."

Capital markets

While foreign countries still hold $5.94 trillion in Treasuries or about 43% overall, that is down from the 56% level of 2008. As the world has stabilized following the crisis, investors have slowly reduced their holdings in safe US assets too. The 10-year yield is at the lowest level since mid-November because of international tensions (leading to a flight to quality for U.S. securities), and weak retail & inflation data in the United States. The Fed Funds futures are now factoring a less-than-50% probability of a June rate hike, down from a 2/3 probability only a week ago. 

In terms of actual rates, which are determined by the bond market, it was a mixed bag Monday - Monday - maybe because they were tired of going up from last week. The U.S. economic data recently has been a shade weaker than expected but there is a glimmer of continued optimism at manufacturing firms and homebuilders nationwide. Key market themes include the French presidential election, the first round of which is set for next Sunday, and fiscal policy changes in Washington. The 10-year note closed yielding 2.25%; 5-year Notes and Agency MBS prices were worse a shade.

This morning we've had Bank of America's earnings, March Housing Starts and Building Permits (-6.8% & +3.6%). Coming up are March's Industrial Production and Capacity Utilization at 6:15AM PT. After the initial volley of numbers, we find the rates improved versus last night. The 10-year is yielding 2.22% and agency MBS prices are better by .125.

Jobs and Announcements

Provident Bank, a full-service financial institution headquartered in Riverside County California since 1956, is seeking experienced Mortgage Loan Officers and Mortgage Production teams throughout California for our mortgage lending division, Provident Bank Mortgage. Provident offers decentralized funding with in-branch underwriting, funding and processing, as well as a full menu of Conventional, FHA, VA, Jumbo and Portfolio Products. We offer competitive compensation, excellent benefits and a great work environment. For additional information, please contact Amy Fishel, Recruiter, at (951) 782-6184. Provident Bank is an Affirmative Action and Equal Opportunity Employer. It is the bank's policy to grant equal employment opportunity to all qualified persons without regard to race, sex, religion, age, national origin, physical or mental disability, or veteran's status.

A mid-sized mortgage company in Stamford, CT poised for significant growth is seeking a controller with at least 7 years of experience (public & private). Ideally, the candidate will be a CPA with mortgage experience. We are looking for someone with experience at the controller (or assistant controller level for a larger organization), strong communication skills, a firm grasp of GAAP and a willingness to be a hands-on manager. This role is responsible for financial reporting, budgeting, SOX controls, financial analytics (performance metrics reporting and analysis), cash management, commission calculations and other accounting functions. This position has substantial upside opportunity with extensive visibility to C-Level executives throughout the organization. The culture is an excellent mix of professional focus and family feel; outstanding career track and a great work/life balance. The Company is willing to offer a competitive and creative compensation package. Submit confidential resumes to me.

A quick congrats to Kirk Bockoven who has joined The StoneHill Group, a national provider of quality control, due diligence, and mortgage fulfillment solutions for mortgage lenders, banks and credit unions, as director of outsourcing operations. All underwriting, processing, fulfillment, QC and MERS services staff will report to Bockoven. 

Products

The results are in... After only 5 weeks in the XINNIX IGNITE program, a National Sales Manager is reporting 90 applications from 3 LOs, and they still have 3 more weeks to go! These are real-time results from a team currently enrolled in the program! Ready to turn your LOs into rainmakers with IGNITE? Click here to apply now. Deadline is April 19th at 4PM ET. Learn more about how this program will create an explosive pipeline of business for your team!

For lenders searching for a new investor, LenderLive Correspondent Lending "delivers boutique-level service. We understand that fees and turn-times drive profitability. That's why our admin and underwriting fees are low, and our One Touch Incentive further reduces your admin fee for loans purchased with only a collateral condition. LenderLive is serious about purchasing loans quickly too. Our loan review guarantee states that if we don't complete the initial file review within our targeted time, we'll waive your entire admin fee. Contact National Sales Manager, Bob Kallio to learn more."

The good news about mortgage technology is the increased industry discussion about APIs and interoperability. Maxwell just announced its "Connected Apps" platform. Its API will enable lenders to customize their digital mortgage experience. The platform launched with a partnership with The Work Number that will provide Maxwell customers and their borrowers a seamless verification experience. Maxwell is actively expanding connectivity to more LOS platforms and to home insurers to digitally retrieve declaration pages, and recently launched FileFetch which connects borrowers to over 1,000 institutions to retrieve the actual PDFs of W2s, paystubs, bank statements and tax returns. "Maxwell believes the best technology works together. Our goal is to provide a delightful experience for the lender and the borrower on a platform that integrates with our customers' other technology choices," said John Paasonen, CEO of Maxwell. "It's just one more reason lenders on Maxwell close over 40% faster." You can reach out to the team at Maxwell to see Connected Apps and FileFetch in action." Mention my newsletter to get a free 15-day trial: www.himaxwell.com.