OSFI updated Guideline B-21 on practices and procedures for residential mortgage insurance underwriting. The guideline sets out the expectations of OSFI for prudent residential mortgage insurance underwriting and related activities.
The guideline is applicable to all federally-regulated mortgage insurers (FRMIs) to which the Insurance Companies Act applies and provides mortgage insurance for residential mortgage loans in Canada, and/or reinsurance for such insured loans. The changes in Guideline B-21 are consequential amendments due to the changes issued in Guideline B-20 titled Residential Mortgage Underwriting Practices and Procedures. The resulting updates to Guideline B-21 align its language with that of Guideline B-20 in the areas of income verification, property valuation, and fraud detection and prevention.
Related Link: Letter and Guidelines
Keywords: Americas, Canada, Insurance, Guideline B-21, Guideline B-20, Residential Mortgage, OSFI
Previous ArticleHKMA Finalizes Form and Instructions for Capital Adequacy Ratio
Next ArticleEBA Single Rulebook Q&A: First Update for March 2019
HKMA, together with the Banking Sector Small and Medium-Size Enterprise (SME) Lending Coordination Mechanism, announced a ninety-day repayment deferment for trade facilities under the Pre-approved Principal Payment Holiday Scheme.
The Advisory Scientific Committee of ESRB published a response, in the form of an Insights Paper, to the EBA proposals for reforms to the stress testing framework in EU.
MAS announced several initiatives to support adoption of the Singapore Overnight Rate Average (SORA), which is administered by MAS.
BoE updated the reporting template for Form ER as well as the Form ER definitions, which contain guidance on the methodology to be used in calculating annualized interest rates.
PRA published the policy statement PS19/20 on the final policy for extending coverage under the Financial Services Compensation Scheme (FSCS) for Temporary High Balance.
EBA published the final draft implementing technical standards for disclosures and reporting on the minimum requirements for own funds and eligible liabilities (MREL) and the total loss-absorbing capacity (TLAC) requirements in EU.
EBA published an erratum for the phase 2 of technical package on the reporting framework 2.10.
EC published the Implementing Regulation 2020/1145, which lays down technical information for calculation of technical provisions and basic own funds.
FFIEC, on behalf of its members that include US Agencies such as CFPB, FDIC, FED, NCUA, and OCC, issued a joint statement that sets out prudent risk management and consumer protection principles for financial institutions to consider while working with borrowers.
PRA, via the consultation paper CP12/20, proposed changes to its rules, supervisory statements, and statements of policy to implement certain elements of the Capital Requirements Directive (CRD5).