The Consumer Financial Protection Bureau (CFPB) maintains it doesn’t want to impose burdensome or unnecessary regulations on small banks and credit unions that service home mortgages, but the agency is having a hard time getting its message across.

CFPB director Richard Cordray recently told a congressional panel that small institutions have a close relationship with their customers, saying these community-based firms “are very high touch with their customers and don’t necessarily have to be held to all the same requirements and standards” as larger, megaservicers.

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