The Mortgage Bankers Association (MBA), in a new comment letter, strongly urged the government not to change the current GSE servicing compensation model, shooting down a Federal Housing Finance Agency (FHFA) proposal that would pay loan processors $10 per month for performing loans.

In a 42-page letter (including exhibits) dated Dec. 8 the trade group complains that FHFA's proposal would be a step of moving “toward more government involvement” in housing finance at a time when the White House is trying to wean mortgage banking off of government support.

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