THE PATH FORWARD. ALTA s Strategic Priorities to Advance the Industry 9/19/2017

Transcription

1 THE PATH FORWARD ALTA s Strategic Priorities to Advance the Industry Daniel D. Mennenoh ITP, NTP President H.B. Wilkinson Title Company, Inc. dmennenoh@hbwtitle.com 1

2 WHAT'S HAPPENING IN WASHINGTON CFPB Reform We need Congress to make the CFPB work better. A consumer regulator should: (1) encourage balance, stability and certainty (2) give clear guidance (3) welcome internal debate and deliberation CFPB should be a bipartisan 5-member commission subject to Congressional appropriations 2

3 A May 2017 survey conducted by ALTA found strong support for the structure of the Bureau be run a bipartisan commission, no matter which political party is in power. Tax Reform Tax reform should promote investment in real estate which accounts for 13.1% of our economy. Like-Kind Exchanges incentivize increased investment in American real estate which stimulates economic growth in urban and rural communities. Interest Deductibility impacts property values. The tax code should promote stability and protect local communities and retiree's savings. 3

4 GSE Reform Congress has yet to enact comprehensive legislation to restructure our nation s housing finance system Fannie Mae and Freddie Mac were put into conservatorship in September 2008 and received a taxpayer bailout of $187 billion. Housing finance reforms should encompass: title insurance requirement preserve the 30-year-fixed-rate pre-payable mortgage allow small businesses to compete in the mortgage market equal access to credit in urban, suburban and rural communities ALTA Advocacy Summit Advocacy Summit is our opportunity to talk about the title industry on Capitol Hill. Our united voices are powerful No one tells the story of the title industry better than those who work in it every day You have an important role to play in educating legislators 2017 highlights: 219 Capitol Hill meetings Topics included: TRID, Tax Reform & Wire Fraud Meeting with Senate Banking Committee Chairman Mike Crapo (R-ID) CFPB consumer alert on wire fraud it started here! Mark your calendars now for 2018! Advocacy Summit is May At the Watergate Hotel in Washington, D.C. 4

5 WHAT S HAPPENING IN OTHER STATES Predictable Recording Fees are a WIN for: 5

6 Predictable Recording Fees Legislation 16 states and the District of Columbia have passed predictable recording fees legislation. Coalitions supporting these bills: County Recorders and Clerks State Bankers Associations State Realtors Association Association of Counties State Bar Associations State Land Title Associations 11 Online Notary State laws in Virginia, Montana, Nevada and Texas now allow for the use of Online Notary in real estate transactions. Successful Legislation Disclosure on face of document Strong Authentication Standards Record retention 12 6

7 ALTA Strategic Priorities TRID (KNOW BEFORE YOU OWE) 7

8 What s New TRID amendments What the CFPB Did - Technical Corrections Clarifications to tolerances, guidance on disclosures to trusts, scoped in loan to co-op units, What the CFPB did not do Fix Title Premium Disclosure Change rules on sharing closing disclosure What to focus on now Timing Lenders can pick and choose which parts to comply with between fall and October 2018 What s next Bill to fix title disclosures and cure disclosure mistakes 8

9 BEST PRACTICES CFPB Responds to ALTA Bureau Promotes Flexibility for Third-party Service Provider Oversight ALTA had met with CFPB many times over the past four years and submitted several letters Bulletin published in Federal Register explain that a lender s riskmanagement program for service providers may be scalable depending upon several factors First time Bureau addressed the issue of scalability in a formal bulletin 9

10 Evolution of ALTA Best Practices What s Changed Pillar 2 Pillar 4 Pillar 3 Pillar 5 Tool Box 10

11 Maturity Model Ad Hoc Planning Defined Managed Optimized Visit the portal at 11

12 Resources Elite Provider Program Help title and settlement companies implement the Best Practices Comprised of service providers committed to offering comprehensive benefits to the title insurance and settlement services industry Elite Providers provide effective solutions for ALTA members critical needs Discounts offered to ALTA members 12

13 The ALTA Registry provides a solution to your mortgage lenders. The ALTA Registry operates like a phone book. 13

14 The ALTA Registry is NOT a verification system. 14

15 COMMUNICATING WITH HOMEBUYERS 15

16 ALTA CONSUMER RESEARCH Homebuyers want more information Early in the process Settlement Agents and Attorneys must take control of the message Owner s title insurance policy helps protect their property rights and their largest investment Internet 86% 86% of home buyers use the internet in the research process Realtors/Agents Family members/friends Open houses Newspapers Flyers/Brochures TV 36% 40% 47% 62% 67% 74% Magazines 32% Radio 24% 16

17 PROTECT YOUR PROPERTY RIGHTS 34 17

18 35 homeclosing101.com Homebuyer Guide Resources More than 60 useful tools! Blogs Marketing One-Pagers PowerPoint Presentations Rack Cards 18

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22 CORE INDUSTRY VALUES 22

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24 VALUES ALLOW US TO PLAY OFFENSE PRINCIPLES, BEST PRACTICES, COMPLIANCE ARE DEFENSE 24

25 WHO AM I? 1. Leadership: The courage to shape a better future 2. Collaboration: Leverage collective genius 3. Integrity: Be real 4. Accountability: If it is to be, it s up to me 5. Passion: Committed in heart and mind 6. Diversity: As inclusive as our brands 7. Quality: What we do, we do well WHO AM I? 1. Leadership: The courage to shape a better future 2. Collaboration: Leverage collective genius 3. Integrity: Be real 4. Accountability: If it is to be, it s up to me 5. Passion: Committed in heart and mind 6. Diversity: As inclusive as our brands 7. Quality: What we do, we do well 25

26 1. Deliver WOW through service 2. Embrace and drive change 3. Create fun and a little weirdness 4. Be adventurous, creative, and open-minded 5. Pursue growth and learning 6. Build open and honest relationships with communication 7. Build a positive team and family spirit 8. Do more with less 9. Be passionate and determined 10.Be humble WHO AM I? Deliver WOW through service 2. Embrace and drive change 3. Create fun and a little weirdness 4. Be adventurous, creative, and open-minded 5. Pursue growth and learning 6. Build open and honest relationships with communication 7. Build a positive team and family spirit 8. Do more with less 9. Be passionate and determined 10.Be humble WHO AM I? 52 26

27 WHO AM I? 1. Safety 2. Courtesy 3. The Show 4. Efficiency WHO AM I? 1. Safety 2. Courtesy 3. The Show 4. Efficiency 27

28 CRITERIA Memorable Universal Enduring Aspirational INFORMATION SECURITY 28

29 How can I protect my business? Accept that a breach/fraud will happen Conduct a risk assessment Take reasonable preventative measures Provide training and tips to all staff on an ongoing basis Develop and practice your response plan Stay abreast of the latest trends SUBMIT ALL PHISHING S AND FRAUD ATTEMPTS TO THE FBI IC3.gov 29

30 Five Tips To Help Prevent Wire Fraud Call, don t Confirm all wiring instructions by phone before transferring funds. Use the phone number from the title company s website or a business card. Be suspicious: It s not common for title companies to change wiring instructions and payment info Confirm it all: Ask your bank to confirm not just the account number but also the name on the account before sending a wire. Verify immediately: You should call the title company or real estate agent to validate that the funds were received. Detecting that you sent the money to the wrong account within 24 hours gives you the best chance of recovering your money. Forward, don t reply: When responding to an , hit forward instead of reply and then start typing in the person s address. Criminals use address that are very similar to the real one for a company. By typing in addresses you will make it easier to discover if a fraudster is after you. 30

31 Procedures Following Discovery of Wire Theft Victim Must Contact Sending Bank and Request RECALL to Receiving Bank Because of Fraud [Title Company May also Contact their Bank Treasury Contacts] Enter Fraud Details in Note BEC (Business Compromise) Copy & Paste Fraudulent Headers into Report (Not Forward) Print Out Report for Records Call FBI Field Office and Provide Info Entered into Call Sending Bank Again to Ensure Recall Happened Hire Attorney in Foreign Country to Recover Funds TALENT FOCUS & BUSINESS BASICS 31

32 Help for the Hiring alta.org Job Descriptions and Advertisement Library Samples for various positions and relevant skills Common Employability Skills normalizes the skills which workers may wish to develop in order to qualify for jobs across many different industries Coming soon Career Fair Guide Interview & Hiring Guides Onboarding/Offboarding Checklists Benefits and Compensation Survey 32

33 Business Basics Importance of Doing it Right Lenders and Regulators will continue to expect accurate work Defend Your Current Business Business disruptors come in where legacy industries are falling short Catching mistakes in the beginning protects your business from disruptors Indiana Land Title Assn. All-Stars Elizabeth J. Wysong Berg ITP Gary Kent John R. Bethell Michael Nichols Jeffrey A. Bosse NTP Daniel M. Rohaley Jill A. Bunch Deb Thompson Andrew Drake Jerry Torr Lisa D. Hoover Danielle L. Kaiser NTP 33

34 meetings.alta.org/bootcamp October Miami, Florida Register Today at MEETINGS.ALTA.ORG 34

35 THANK YOU 1800 M Street, NW, Suite 300S, Washington, D.C P F