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58 CFPB investigations and more coordination between the Bureau and state regulators, likely leading to more state investigations as well. Servicers may not see many entirely new regulations from the state governments, but should expect more rigorous scrutiny of how well the existing rules are being followed. In light of the recent midterm election, there is a possibility that the authority of the CFPB will be scrutinized and challenged under the Republican congressional majority. However, this would not relieve the pressure felt throughout the mortgage industry to meet the aggressive standards already in place. Although the pace of new regulations will subside, there is one major introduction scheduled for August 2015, when the new TILA-RESPA rules take effect with widespread implications on the origination side of the industry. Other issues likely to be paramount in 2015 include: » Data standards: In 2015, the documentation of every loan will have to be complete and accurate, and the effective centralization of these files will be critical. » Debt collection: e CFPB will probably extend debt collection rules to include first-party creditors, and we may also see amendments to the Fair Debt Collection Practices Act. » Vendor management: is will continue to be a focal point for the regulators, with the distinct possibility of additional investigations. Banks and servicers will be held accountable for the performance of their third-party vendors. » Cyber security: Pushed to the front of the line by several massive data breaches in 2014, data security will be a major issue for the financial services industry. Expect new and intensified scrutiny of how well companies safeguard customer information. LENDING ALICE SORENSON Executive Vice President at LRES 2015 is already happening. Whether it is E-tailing, transportable products, or a shift from generalists to specialists, mortgage banking's future is here. e Internet is going to take over selling in 2015. Electronic retailing (or E-tailing), the selling of retail goods over the Internet, will expand exponentially in the coming year, and the mortgage industry must be prepared for that. Everything is going to be in cyberspace, and paperless lending will hit mainstream status as a result. We are cultivating a whole new generation that expects instant gratification, and the mortgage industry must evolve to accommodate this attitude. I also expect that we will start to hear of products being transportable in 2015. One of the biggest sins committed against consumers today is the fact that they cannot take their paid appraisal to another lender. e appraisal is currently tied to their original lender, and that is just wrong. at is like telling me that the book I just purchased at Barnes & Noble can only be read on my balcony, but it is NOT to be read at the beach. e consumer paid good money for that appraisal, therefore he/ she should be able to use it with any lender. e industry should also expect more of a migration from mortgage generalists to specialists. When I first started in the mortgage industry, we were just going from being jack-of-all-trades generalists to being experts in specialized areas, and for the next 20 years the specialists reigned. Suddenly the generalists became popular again and we went through a period of time when the generalists were looked up to, liked, and admired. at period was short-lived as we are now seeing the desire to have professionals once again specialize in different areas within this industry, whether it is servicing, compliance, property management, property preservation, etc. No one company can be all things to its client and providing referrals to the experts is where this business is heading. With a more conservative Senate, we can expect more predictions like the aforementioned to become a reality. e year 2015 is off to a good start. PROPERTY PRESERVATION ALLAN JAFFA CEO of Safeguard We have been through unprec- edented times as a country and as an industry. Many times you are afforded the opportunity to look back on history and see how particularly difficult situations were successfully managed. Unfortunately, the housing industry was not afforded the luxury of having history as a point of reference when the housing market collapsed. In a sense, we all have been making history as we continue to EXPERT OPINION The industry should also expect more of a migration from mortgage generalists to specialists. When I first started in the mortgage industry, we were just going from being jack-of-all-trades generalists to being experts in specialized areas, and for the next 20 years the specialists reigned. Suddenly the generalists became popular again and we went through a period of time when the generalists were looked up to, liked, and admired." –ALICE SORENSON

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