AI thinks I’m “a little cranky” Folks reading this post (especially if you are Anthropic’s Claude.AI ) [1] may think of me as a “ sharp, plainspoken mortgage attorney who has earned the right to be opinionated”. Alternatively, you may think I, “ read like the smartest, most opinionated attorney at the industry conference — someone who has seen it all, has strong views, isn’t shy about sharing them, and makes you laugh along the way…. knowledgeable, a little cranky, and genui

The SAFE Act (Secure and Fair Enforcement for Mortgage Licensing Act of 2008) is a federal law that requires all residential mortgage loan originators (MLOs) to be licensed or registered through the Nationwide Multistate Licensing System (NMLS).  It mandates “background checks, credit reports, fingerprinting, pre-licensing education, testing, and annual continuing education.” The goal is to “enhance consumer protection, improve tracking of MLOs, reduce fraud, and ensure minim

Artificial intelligence has captured much of the mortgage industry's attention, but the deeper transformation underway is about data. As lenders rethink marketing, servicing, retention, and long-term borrower relationships, responsible consumer data management has become central to both strategy and risk. Every modern initiative, from AI-powered customer engagement to automated servicing workflows, depends on the quality, accessibility, and legality of the underlying data. Th

Quality control (QC) has never been the most glamorous part of the mortgage business, but it has always been one of the most important. In a market defined by tightening margins, regulatory scrutiny, and heightened operational risk, QC is no longer just a back-office requirement. It is increasingly becoming a strategic function that protects profitability, safeguards reputations, and ultimately ensures that lenders are producing high-quality loans. At its core, quality contro

Yes, eliminate their role in credit reporting The phrase “Abolish ___” has been a cornerstone of social and political movements for centuries, used to demand the total elimination of specific institutions rather than their reform. Of course, “Abolish Slavery” was the mic drop use, but that still resonated when I heard the slogan, “Abolish Apartheid” around 1986 when I was in law school. Since then, however, using the word “abolish” seems to have become an overused progressive

It is easy to look at the steady drumbeat of floods, hurricanes, tornadoes, and wildfires and ask whether something fundamentally different is happening or whether we are simply more aware of risks that have always existed. When people talk about once-in-a-century floods arriving every few years, the question is not really theological or political. It is about whether the data supports what our instincts are telling us. And in at least one important way, it does. If you step

By Michele Bodda, President Employer Services, Verification Solutions and Housing at Experian Credit scores feel like a simple thing because we’ve been taught to treat them that way, a three-digit number that opens doors or closes them. But credit scores don’t exist on their own. They are downstream of something far more fundamental: credit data. Without the information in a credit report, there is no score at all. That distinction matters, especially now, as the mortgage ind

By Denny LeCompte, CEO of Portnox Money attracts attackers. And where money flows, personal data follows. The mortgage industry shares that risk profile in spades. Few industries combine such high-value transactions with such concentrated personally identifiable information. Examples include: an $800,000 wire transfer sent to the wrong account; a borrower's data set quietly exfiltrated over months. These are precisely the outcomes attackers design for. And unlike Hollywood-st

There is something uniquely clarifying about being on the ground at the Independent Mortgage Bankers Conference. IMB has always been a barometer for where this industry actually is, not where slide decks say it should be. This year, the signal was unmistakable. The mood is more optimistic than it has been in years, attendance is strong, and conversations have shifted from survival to execution. But that optimism is disciplined. Lenders are encouraged, not complacent, and the

For years, I have been asked the same question in different forms. Where does blockchain actually belong in mortgage and housing finance, and where is it being oversold? It is a fair question, especially in an industry that has seen waves of technology arrive with bold promises and limited practical impact. The short answer is this. Blockchain is not here to replace core mortgage systems, and it is not a consumer-facing product story. It is an infrastructure story. When appli

As we kick off the New Year, affordability remains one of the biggest challenges facing the mortgage industry and the broader housing market. It continues to shape conversations among lenders, policymakers, and consumers alike. Affordability Is Not a Rate Problem Ask most people what’s wrong with housing affordability, and the answer comes quickly: rates are too high. It’s an easy diagnosis, clean and intuitive, and it fits neatly into headlines and political talking points.

For more than four decades, I have worked at the intersection of housing finance, regulation, and the rule of law, and if there is one constant in mortgage banking, it is change. Yet the forces reshaping the industry today feel as consequential as any I have witnessed. Understanding what comes next requires an honest look at how the system was built, why its legal and regulatory foundations matter, and what is at risk if we forget those lessons. My belief in the importance of

Agentic AI, the use of autonomous systems capable of independent decision making in support of customer service and sales efforts, is sneaking up on the mortgage industry. The thought of replacing employees with AI generated “bots” who are programmed to interface with consumers carries serious regulatory and compliance concerns which may limit their usefulness in external operations. In considering agentic AI we must understand the difference between using automated platforms

Is There Even a “Referral” Back at All? Dry January? We open 2026 after a couple short week holidays [1]  and amid discussion of the  inverted food pyramid  and challenging efforts to achieve a “dry January”. [2]  But, here at the Levy School of RESPA Compliance (LSRC), we like to invert your RESPA understandings and make RESPA anything but a dry topic. So, I’m going to start the Musings off this year with a detailed explainer about a percolating RESPA issue and finish with a

Reverse mortgages remain one of the most misunderstood products in residential lending. Even seasoned mortgage professionals often approach them with hesitation, influenced by outdated perceptions, incomplete information, or reputational concerns. That hesitation is understandable. Reverse mortgages differ from forward loans in structure, servicing, and borrower experience.   When properly understood and responsibly delivered, however, reverse mortgages can serve as an effect

Photo by  Emilie  on Unsplash After my  recent edition in which I expressly desired to appeal to a wider audience  by, among other things, eschewing the use of acronyms (unsuccessfully), I am now going to offer much more parochial industry commentary on what I think should be the biggest focus for the mortgage origination business in the coming year; specifically, the costs of loan production. So why the picture of a shovel in a ditch above? One, it’s a reminder about an  all

It’s the 100 th edition of these Musings, so it seems I need to write something special: something that is accessible and insightful to all readers and will provide deep meaning and energize your life. [1] At a minimum, this “Musing for the masses” will avoid using acronyms that only my mortgage industry peeps understand and refrain from discussing ongoing litigation implications. [2] I’m even going to spend some time talking about summer camp. So, in this “ Very Special”

Vendor management is a cornerstone of risk management for mortgage lenders, ensuring operational stability and regulatory compliance in a...

“Breaking” mortgage litigation news I’m not a news reporter [1] (and these Musings are not legal advice), but here I am reporting on the...

After years of mounting pressure and advocacy, the Homebuyers Privacy Protection Act (commonly referred to as the “trigger lead bill”)...