What is required of appraisal management companies under the Dodd-Frank Act?

Under the Dodd-Frank Act, appraisal management companies (AMCs) are required to register with the Appraisal Subcommittee (ASC). This requirement is part of a broader effort to enhance the oversight and regulation of appraisal management companies and ensure they operate in compliance with federal standards. By registering with the ASC, AMCs demonstrate accountability and transparency in their operations, which helps to protect consumers and maintain the integrity of the appraisal process.

This requirement not only facilitates the monitoring of AMCs by the appropriate regulatory bodies but also ensures that they adhere to national regulations designed to improve the appraisal industry overall. Registering with the ASC establishes a clear framework for evaluating their practices and ensuring they comply with relevant laws and regulations.

The other options do not align with the specific requirements set forth in the Dodd-Frank Act regarding AMCs, as they focus on different aspects that are not mandated by this legislation.