"The 20% down payment is not part of our proposal," said Consumer Financial Protection Bureau Director Richard Cordray, in Senate testimony, about a forthcoming standard.
“The CFPB is currently drafting a plan that would require mortgage lenders to verify a borrower's ability to repay a loan, including creating a set of 'qualified mortgages' that would automatically comply with the rule," explains American Banker’s Kate Berry.
In the same hearing, Sen. Richard Shelby accused the agency of abusing its power to make exemptions to Dodd-Frank.
"I absolutely do not think we can rewrite statutes," said Cordray in response. "I will say, interestingly enough, there are many requests for us to consider our exemption or modification authority ... [but] we do not believe we have the authority to ignore or rewrite the law."
For the full piece see "CFPB Opposes 20% Down Payment, Won't Abuse Powers: Cordray" (may require subscription).