scott talbott of the financial services roundtable says kinks are still being worked out. >> what we'd like to see is having a common set of documents. there's different forms you have to fill out, depending on which program you're going into and there isn't a clear definition of all key relevant terms. >> reporter: one of the most confusing terms is imminent default. what's unclear is just when borrowers are at risk, if they are still current with their payment. keith ernst of the center for responsible lending says borrowers are getting mixed signals. >> there's a lot going on in this program, servicers are largely overwhelmed and it's easy for misinformation to get into the system. borrowers should have a chance to correct that before their home is taken away. >> reporter: a stabilization in home prices may give lenders more leeway to work out a loan for a borrower who could still default down the road. but analyst andy laperriere says many mortgages made during the boom can't be worked out. >> one of the big problems is that a lot of people had loans they could not even come close

host: our discussion of the oversight of financial service industries, and our guest is scott talbott can e-mail us and twitter as well. if not this process by the administration and the creation of the cfpa, how would the round table remedy this? guest: week are not for any regulation. we don't separate the entity from the product. our proposal would be to strengthen the department at the existing regulators of that one regulator has the oversight over both the institution and product. they are inextricably linked. by keeping them together you give one person all the information. rather than to the regulators with only half the intermission. host: give me an example of a product and an institution. guest: credit cards and mortgages. it is unclear how many products would actually be under its jurisdiction. any bank would be subject to the agency's authority. host: tell us more about the financial services round table? guest: we represent the 100 largest firms in the country. most members currently operate in all 50 states or are about to. the concept of uniform regulation is crucial f

scotts talbott talks about his group's opposition to this watchdog group proposal.st: this a proposal of unparalleled expansion of government power. the agency would strip all existing federal regulators of their powers to review consumer products. it would put it into one independent agency with five board of directors appointed by the president, approved by the senate. its sole purpose would be to review rules and enforced violations. the industry is opposed. the sources has highlighted a number of problems with the regulatory structure. we are in favor of reforming and modernizing to close gaps. we are for consumer protection. the question on the table is the most effective way. we believe that this proposal is not. it could actually end up harming consumers. it could reduce innovation and competition. it would increase the price and availability of products and services. host: reaction? guest: i think that is a lot of nonsense. the idea that consumers were adequately protected during the last couple of years is ridiculous. this comes down to what people have sai