The Federal Reserve Board has announced that a public hearing will be held under the Home Ownership and Equity Protection Act (HOEPA) on June 14, 2007 to gather information on how it might use its rulemaking authority to curb abusive lending practices in the home mortgage market, including the subprime sector.
The Board previously held four hearings in the summer of 2006 under HOEPA. Based on testimony and public comment from the 2006 hearings, and in response to increased subprime mortgage foreclosures, the Board plans to hold a fifth hearing that will focus on how it might use its rulemaking authority to address concerns about abusive lending practices in the home mortgage market.
The Board is holding the hearing under HOEPA, which was enacted in 1994 in response to reports of predatory home equity lending practices in underserved markets.
Further information about the hearing will be published in the Federal Register.
See press release for full details.