“Of particular concern is that even if the CFPB rescinds its LO Comp rule, the underlying statutory provisions from the Dodd-Frank Act would remain in effect,” she said. “This could potentially subject the industry to broadly stated statutory prohibitions without the regulatory guidance and safe harbors currently provided by the CFPB’s rule.”
Staying informed
She said NAMB would continue to engage with the CFPB and others involved in any potential change to make sure they are aware of industry concerns.
“As this regulatory process unfolds, NAMB will monitor all developments related to the potential rescission of the LO Comp rule,” Saunders said. “We will advocate for the interests of mortgage brokers and loan originators, engage with the CFPB, OMB, and other stakeholders to ensure industry perspectives are heard, and communicate updates to our membership as new information becomes available.”
As the process continues with little in the way of public details, Saunders said it is important for brokers to keep up to date with the latest news.
Mortgage attorney Marty Green of Polunsky Beitel Green highlights the extensive regulatory and administrative hurdles—including SEC filings, market coordination, and structural decisions—that make a year-end launch ambitious at best.https://t.co/xo4iAztwxy
— Mortgage Professional America Magazine (@MPAMagazineUS) August 21, 2025
“The regulatory review process through OMB has been extended to over two months, but NAMB will remain vigilant throughout this period,” she said. “We understand the significant implications that any changes to the LO Comp framework could have on our members and the broader mortgage industry.
