Ky Broker Didn't Fund Closings
A Kentucky mortgage broker has been banned from doing business in the state over allegedly offering unrealistically low interest rates then closing -- but not funding -- the loans. Other allegations include unlicensed origination activity and illegal fees.

New Credit Rules Impact Advertisers, Lenders
Companies that advertise credit reporting services are subject to new disclosure rules, while another new rule impacts companies that report to credit bureaus. A study from one of the credit repositories revealed a new trend is developing in mortgage payment performance.

FTC Foregoes Millions in Credit Firm Settlements
In two advertising-related lawsuits filed by the Federal Trade Commission against credit restoration firms, the defendants agreed to settlements of more than $2.8 million. But the agency suspended most of the money portion of the settlements because the defendants were broke.

Mortgage Litigation Bulletin
Among issues that mortgage-related firms are grappling with in court are consumer bankruptcy, advertising and employment. An appraiser filed a lawsuit against a mortgage lender and an appraisal management company because she was blacklisted.

Net Branch Update
In addition to the stability afforded by bigger organizations -- net branch recruiters are promoting search engine help, government loan programs and high commission rates for prospective branches. Attendees to a recent net branch conference were highly optimistic about originations because of reduced competition.

Range of Lawsuits Confront Lenders
Issues that mortgage firms are currently confronting in court include the calculation of interest, reverse mortgage advertisements and violation of the Equal Credit Opportunity Act. Mortgage insurance and employment issues are also being litigated.

Ditech to Continue Advertising
Ditech has robust advertising plans despite news that it has stopped advertising. But the online lender has changed its operating model.

Reverse Requirements Revised
Proposed reverse mortgage requirements at financial institutions wouldn't apply to proprietary products. Reverse program updates were announced for Federal Housing Administration loans and for servicers of Federal National Mortgage Association loans, while a trade group hosted an online event about reverse mortgage advertising.

Q3 Mortgage Advertising Lawsuits
Journal of lawsuits during the third-quarter 2009 about mortgage advertising, bait and switch ads, deceptive ads and do-not-call violations.