Comments on: H.R. Bill 3915…No More YSP!

By: roxyworld

roxyworld — Fri, 28 Aug 2009 15:07:00 +0000

NO NOT REMOVE YSP!!! PLEASE DO NOT REMOVE YSP!!!!

By: roxyworld

roxyworld — Fri, 28 Aug 2009 15:06:16 +0000

Let's Keep YSP. DO NOT REMOVE!!!!

By: Paul

Paul — Sat, 02 May 2009 07:23:23 +0000

I signed yesterday at #260. The petition is almost up to 15,000 now.

By: Todd Carpenter

Todd Carpenter — Mon, 24 Mar 2008 21:39:22 +0000

I’m happy to post your comment here Johnny. From the details you’ve given us, you obviously didn’t get the best deal you could have. I suggest you shop around next time.

I will disagree with you about YSP’s legality or ethical status. It’s no more wrong for a broker to earn YSP than it is for a grocery store to earn profit on selling milk. How much they collect is the issue. Like I said, it’s your duty to shop around.

The broker you worked with lied to you, but it’s the lie, not the practice of paying YSP that wronged you.

By: Johnny Furlong

Johnny Furlong — Mon, 24 Mar 2008 21:17:07 +0000

I don’t know if you will post this, but let me tell you what SYP has done to me. My Mortgage Broker never told me about it or disclosed it. When asked what it was at closing he said it was nothing but a fee the Mortgage Company pays him and doesn’t effect me. He also said I only approved for the 9.8% ARM but not to worry. In 30 days I could refinance because the house would show on my credit and that if I refinance with the same mortgage company they would waive the huge prepayment penalty.

When my wife and I started looking for a house we had 9 years of really good credit. My wife had a 780 and me a 690-710 FICO.

He lied, he was paid over $2800.00 to get me in that 9.8% ARM with that mortgage company (which means he got me in a rate about 2% higher then what I qualified for).

We are now suing him and the mortgage company because we couldn’t afford the mortgage he put us in…don’t tell SYP keeps anything fair. It is a kickback plain and simple and any mortgage broker who willing does this and not get the absolute best rate for his client is NOT working in their best interest…and that makes it unethical and illegal.

Mortgage Brokers that want to use SYP are scum just like ambulance chasing lawyers!

By: Paul

Paul — Thu, 08 Nov 2007 22:02:34 +0000

The guard replied, “Lady, the Dodgers have their own plane. If they want to blow it up that’s their problem.”

But pulease don’t blow it up over the stadium during a home game, lest we have contagion.

‘Cause the foot bone connected to the leg bone…

By: GinaGardner

GinaGardner — Thu, 08 Nov 2007 18:55:51 +0000

Agree with the fact that bankers at least in Nevada gave had their boots on the necks of brokers for a long time. I worked for an originator that was considered legally a broker despite that fact that we funded 99% of our own loans–we brokered on occasion. We are hamstrung in our efforts to market jointly with Realtors (okay for banks, not for us), required to disclose YSP when banks are not, and restricted in our marketing where banks are not. It increases our relative cost of doing business and helps banks in their attempts to gain a stranglehold on the market.

I think any originator that sells loans, whether brokers or warehouse line originators, or banks that sell to balance their portfolios should all be restricted to the same disclosure (NOT YSPs)and documentation requirements for the protection of investors, not borrowers (borrowers have plenty of protection but we can’t put guns to their heads and make them read it).

As for portfolio lenders? That reminds me of an incident at LAX during a long security line. As the LA Dodgers filed past impatient passengers, one woman burst out, “They shouldn’t get special treatment just because they’re famous!” The guard replied, “Lady, the Dodgers have their own plane. If they want to blow it up that’s their problem.”

By: Paul

Paul — Thu, 08 Nov 2007 17:46:37 +0000

Shhhhhhhh, be vewwwy, vewwwy quiet; I’m hunting morgage bwokers, heheheheheheh

By: ten

ten — Thu, 08 Nov 2007 17:38:52 +0000

a compromise might be elimination of prepay on subprime, ysp cap at 3 with prime and 2 with subprime. But limiting profit in a free market is not the american way. Will uncle frank target used car salespeople next?

By: Paul

Paul — Wed, 07 Nov 2007 22:46:28 +0000

“No provision of this subsection shall be construed as…restricting a consumer’s ability to finance origination fees to the extent that such fees were fully disclosed to the consumer earlier in the application process and do not vary based on the terms of the loan…”

I believe the statement above would prohibit YSP, which IMO is at odds with the following:

“No mortgage originator may receive from any person, and no person may pay to any mortgage originator, directly or indirectly, any incentive compensation (including yield spread premium) that is based on, or varies with, the terms (other than the amount of principal) of any loan that is not a qualified mortgage (as defined in section 129B(c)(3)).”

The intent was to allow YSP for ‘qualified mortgages’ or what would be prime-type mortgages, but this would be overridden by the first citation in the same bill.

Both of the above are in the managers amendment and seem to be fighting with each other.