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Nonprime Lending Trade Group Merges with MBA.(Mortgage Bankers Association )(National Home Equity Mortgage Association )(Brief article)

Mortgage Servicing News

| October 01, 2006 | Sichelman, Lew | COPYRIGHT 2006 SourceMedia, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

WASHINGTON -- Citing the blurred distinction between prime and subprime lending as well as the large overlap in their memberships, the boards of the Mortgage Bankers Association and the National Home Equity Mortgage Association have agreed to merge.

Under the pact, the MBA will form a new Nonprime Council, the leadership of which will be made up initially of current NHEMA officers and members of its executive committee.

NHEMA's full membership must still vote on the merger, but chairman Richard Kile "emphatically" recommended approval at a special meeting to be held in Washington Sept. 15.

The MBA board's unanimous vote constitutes that group's final stamp of approval. MBA chairwoman Regina Lowrie called the merger "a natural progression that will help strengthen the mortgage industry as a ...

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