Wells Fargo restores diversity guidelines after ‘fake interview’ fallout

Wells Fargo is reinstating the diverse hiring guidelines that it paused after accusations that some managers conducted “fake interviews” with nonwhite and female job applicants. The San Francisco bank will continue to expect at least half of the candidates interviewed for some positions to be diverse, according to an announcement Monday. But Wells is also making some tweaks to its hiring guidance, which reportedly helped lead to interviews of “diverse” candidates for jobs that had already been reserved for someone else. For example, the bank is changing the guidelines to specify the types of jobs that fall under its standards, defining those jobs by the level of a position rather than by whether a job pays at least $100,000.

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What a recent rescission case win means for other servicers

The U.S. Court of Appeals for the Fourth Circuit overturned a West Virginia’s judge decision against Reverse Mortgage Solutions in a Truth in Lending Act rescission case declaring that the borrower involved in the case has to return approximately $60,000. Joseph Lynyak, a partner in the law firm Dorsey & Whitney, said that the decision changes the bargaining position of the borrower and lender. In light of the new decision, the lender can maintain its lien and can foreclose on the residence unless and until the loan proceeds are repaid.?

Republican lawmakers accuse CFPB of 'collusion' with state AGs

The allegations were sent in a letter on July 28 in response to an interpretative rule that the Consumer Financial Protection Bureau issued in May. In the ruling, CFBP affirmed that states could enforce the Consumer Financial Protection Act to pursue actions against various entities. The republican lawmakers appear to be acting on behalf of MoneyGram International, which was sued by CFPB and New York Attorney General Letitia James in April for allegedly violating rules around remittance transfers.?

Rocket is the latest to launch a new home-equity product

Rocket customers can now apply for a fixed-rate loan between $45,000 to $350,000 while maintaining at least 10% of their home’s equity. It is the fourth nonbank to introduce either a home equity loan or a line of credit in 2022 — others include Guaranteed Rate and loanDepot — as higher mortgage rates discourage refinancing. Homeowners have almost $28 trillion in tappable equity today, which mortgage companies hope clients will utilize to reduce other high-interest-rate loans.?

Fannie Mae sells $663M in reperforming loans to Chase

The portfolio consists of 5,450 loans with an average size of $121,476, a weighted average note rate of 4.49% and a weight loan-to-value ratio of 48%. On July 15, two pools from this transaction were awarded. The first pool went to PIMCO, made up of 1,981 loans, while Pool 3 went to Kah Capital with 2,411 loans. At the time, Fannie Mae did not award Pool 2, until this week when it chose Chase as the winner of the $663.3 million pool.?

White women cut spending the most as Fed hikes rates, study shows

The Federal Reserve Bank of San Fransisco said that the households that have a mortgage and are headed by white women are the only group that considerably cut back on durable spending. “Black households reduced their spending on everyday goods and services more than white households, but not their spending on durable goods,” according to a report. The Fed is taking a closer look at how its policy impacts Americans, especially along racial and gender lines.?

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