Posts Tagged ‘credit risk’

Mortgage Lending Getting Riskier

Posted on October 09, 2017 by Laura Lam

During the second quarter this year, the risk in mortgage lending inched up as the market shifted toward an increased share of investor loans, according to the Q2 2017 Housing Credit Index released by Core Logic.  The index increased to 117 during the second quarter, up a full 20 points from the second quarter last year. However, even after this increase, the credit risk in the second quarter is still within the levels seen from 2001 to 2003, a timeframe that is considered to be a normal baseline for credit risk. The chart shows that while mortgage risk remains at…

Underwriting and Cyber Risk On the Rise

Posted on December 21, 2015 by Saldutti

Credit risk, interest rate risk and cybersecurity concerns pose growing risks, according to a semiannual risk report issued the Office of the Comptroller of the Currency.  It found that institutions are continuing to loosen underwriting standards for a number of loan categories to search for yield in a low interest-rate environment. “In the area of credit risk, the warning lights are flashing yellow. Regulators and bank management need to act now to prevent those risks from becoming reality,” said Comptroller of the Currency Thomas Curry.  “We can’t afford to wait until the warning lights turn red.” The report found that…