Representatives from HUD and Ginnie Mae convened at the second annual Ginnie Mae Summit Monday to discuss initiatives and programs designed to create a healthy housing market. The company's plans indicate it is changing its policies and procedures as part of an ongoing effort to adapt to changes in the housing industry, preserve the integrity of its mortgage-backed securities (MBS) program, reduce risk, and better manage resources.

A recurring theme during many of the six labs at the Five Star Conference last week was compliance and how it has changed the mortgage industry in the last few years. Laurie Maggiano, program manager for servicing and secondary markets at the Consumer Financial Protection Bureau (CFPB), was on hand to discuss the world of mortgage servicing statutes for the "CFPB's National Servicing Standards—Update Session" section of the conference's Compliance Lab.

Experts gathered in Dallas earlier this week at the annual Five Star Conference and Expo to discuss the most pressing issues facing servicers—and "compliance" was the word of the day.

The House Judiciary Committee approved bipartisan legislation aimed at speeding up the bankruptcy process and preventing taxpayers from taking the hit in the event of the failure of large financial institutions. The backers of the Financial Institution Bankruptcy Act say it will expedite the bankruptcy process with a speedy judicial review and quicker transfer of assets from the bank to a bridge company.

Testifying before the Senate Banking Committee earlier in the week, Comptroller of the Currency Thomas Curry said the financial condition of banks has improved since the financial crash—but he believes that supervisors need to "remain vigilant."

Morgan Stanley has agreed to pay $95 million to settle a lawsuit alleging it misled investors in securities purchases prior to the financial crisis. The plaintiffs alleged in the suit had alleged that Morgan Stanley violated U.S. securities law in a total of 29 mortgage-backed securities it packaged and sold in 2006 and 2007.

Congresswoman Maxine Waters announced Wednesday a new proposal aimed at reforming consumer reporting and credit scoring practices. Waters drafted her proposal, which is entitled "Fair Credit Reporting Improvement Act of 2014," in response to many recent cases and studies which have exposed flaws in the country's current consumer reporting system.

Federal regulators announced last week they have finalized a rule with regards to the "liquidity coverage ratio" (LCR) of large financial institutions. The final rule is nearly identical to the rule that was originally proposed with a few changes based on public comments.

A bill proposed to dissolve the GSEs and replace them with a limited government backstop could cut direct spending by $60 billion over the next 10 years, according to an estimate from the Congressional Budget Office. Under S. 1217, the new system of guaranteeing mortgage-backed securities (MBS) would mean less risk for the government, therefore costing the government less money.

Santa Ana, California-based Carrington Mortgage Services announced last week its intention to expand into the Central Indiana city of Westfield.