July 2018 DBO Annual Reports: on CRMLA Mortgages; Payday Loans
DBO REPORTS SHARP DECLINE IN RESIDENTIAL MORTGAGES
The DBO Monthly Bulletin for July, 2018 reports on the DBA Annual Reports for Payday Lenders and for California Residential Mortgage Lending Act (CRMLA). The DBO summary of both annual reports and links to the full reports are below.
2017 Annual Reports for DBO Lending Programs Published
Annual reports for two major lending programs regulated by the DBO have been completed and posted to the department’s website.
The 2017 Consolidated Annual Report and Industry Survey for Payday Lenders (California Deferred Deposit Transaction Law) showed that payday lending continued a multi-year period of contraction while maintaining its heavy reliance on repeat customers.
The average number of transactions per customer in 2017 decreased slightly from 2016, to 6.36 from 6.4. However, as in prior years, the number of customers who obtained 10 or more payday loans in 2017 exceeded the number who took out just one – 428,838 compared to 380,465.
The 2017 Annual Report for the California Residential Mortgage Lending Act (CRMLA) showed that non-bank mortgage lenders in California reported significantly less activity in 2017, with both the number of loans and combined principal amount declining by nearly 30 percent from 2016. These lenders reported originating 431,052 loans in 2017, down 28.4 percent from 602,430 in 2016. The combined principal amount of 2017 loans totaled $150.7 billion, a 27.3 percent decrease from $207.4 billion in 2016.
The report, based on unaudited data provided by licensed lenders and servicers, also found: