CFA, NCLC and Prosperity Now Strongly Oppose Proposed CFPB Rule on Qualified Mortgages

CFA joins other groups urging the Consumer Financial Protection Bureau (CFPB) to rethink its pricing proposal for Qualified Mortgages (QM).  The letter strongly opposed the Bureau’s proposed use of a pricing test to define when a mortgage meets the QM test, arguing that this approach ignores congressional intent in the Dodd-Frank Act to require creditors to use apply an ability to repay test for mortgage loans that takes into account an individual borrower’s facts and circumstances.