« Senate Approves Two Mortgage Bills | Main | Banks to Refinance Home Loans »
December 21, 2007
Fed to Unveil Home Mortgage Plan
The Federal Reserve is expected on Dec. 19 to propose new subprime mortgage lending rules that could prevent lenders from penalizing borrowers who pay their loans off early and force lenders to make sure borrowers have enough money to pay for taxes and insurance. Fed policymakers also want to restrict loans that do not require proof of a borrower's income and establish new standards for determining an applicant's ability to repay a home loan. The new protections for subprime borrowers could be finalized in 2008 and, if adopted, would allow Chairman Ben Bernanke to place more of an imprint on the central bank's regulatory powers.
Posted by S. Germain at December 21, 2007 08:05 AM