Part 1: Technicalities: Fines and Laws
This webinar will
teach you the laws and penalties that Banks, AMCs, and
appraisers are subject to under the new regulations.
Learn about the new laws that enable
fines of $10,000 per day, per person. We will also provide a list of
agencies that require “appraiser independence” and applicable
text from their guidelines. Why should appraisers care? If
appraisers know the laws, they can use them for their own protection when
dealing with out of control AMCs or lenders. There's nothing like a
violation of the appraiser's independence, backed up by the reality of a
massive fine, to get a bad AMC off your back.
Part 2: Independence and Customary and Reasonable Fees
State and Federal law requires that appraisers and the
appraisal process must be independent from influence, coercion, and pressure.
Many of the common requests from AMCs are actually illegal
attempts at coercion, influence or, pressure. Once appraisers understand
what is illegal or a prohibited practice, then they can fight back and turn
law breakers in to the government for prosecution
Also, part of “appraiser independence” is the requirement
that the appraiser must be paid a “customary and reasonable” fee for their
services. The second half of the class will explain the requirement, how
easy it is to comply with the law, and how an institution can check for
compliance. HUD’s policy statements along with excerpts from Title XIV are
included in this section.
Part 3: Reporting and How to Fight Back
Anyone who becomes aware of a USPAP violation must turn the offender into the government or face fines of $10,000 per day. Banks
can also be charged a $1 million dollar fine for violating
Appraiser Independence. In this module, you
will learn what violations must be turned in, where they must be reported,
and the form and format used for reporting.
You will hear real world examples of appraisal violations that
will be reported going forward. As a result of this new requirement, we expect that the number of appraisers will decline and that
institutional resources will be heavily burdened by reviewing appraisals. During the last quarter of the year, more than
2,000 appraisers were turned in to the FBI and state agencies.. Learn how to
protect yourself, and stand up and fight back against AMCs and