Having navigated that tumultuous period and helping build Flagstar into the fifth-largest mortgage bank in the country, as well as one of the few to grow its servicing business in subsequent years, DiNello will bring an expansive knowledge base to the stage as the keynote speaker at the 2018 National Settlement Services Summit (NS3) in Detroit.
“If you look at the national thrift originators that were in the country pre-recession, we’re about the only one left, and we’re certainly the largest left,” DiNello said, noting how the company utilized the Troubled Asset Relief Program (TARP) and private equity investors to pave its road to recovery. Flagstar repaid TARP, and its private investors are “in the black.”
DiNello will speak to the regulatory issues facing both lenders and service providers since the Dodd-Frank Act’s implementation, and how he believes many of the greatest burdens presented by the law can be mitigated without a massive overhaul of its provisions.
“I think we all have to be good stewards of this business and do things the right way,” he said. “And for those who are not going to be good stewards, then the regulators need to be there. They have to be the watchdogs, and they have to take the right actions against the bad actors. I do, however, believe there is a difference between regulatory oversight from a supervision point of view and from an enforcement point of view.”
DiNello will dive into what elements of the regulatory environment he believes can be tweaked to create a marketplace that works optimally for both businesses and consumers, focusing on Dodd-Frank and the TILA-RESPA Integrated Disclosure (TRID) rule. He also will speak to the effectiveness of the regulatory thresholds set for systemically-important financial institutions (SIFIs) and the Dodd-Frank Stress Test (DFAST).
Overall, DiNello believes you can’t have profitability without quality business practices that are based on strong risk management, compliance and audit groups.
When it comes to technology, he said companies have a big decision. “Do they want to be on the leading edge? Do they want to be just good enough? Where do they want to be on that spectrum? You can spend a lot of money on technology and the return on that investment might not be worth it. It’s a really delicate line to walk.”
As a former member of the Michigan Electronic Recording Commission, DiNello has been highly in-tune with developments in title and mortgage technology and supportive of making initiatives such as eRecordings the norm.
For more information on the 2018 NS3, including the agenda and a list of speakers, click here. You can register for NS3 online or click here to get information on how to register via mail, fax or phone.