Fed Reserve proposes significant changes to provide more disclosure and protection to borrowers on mortgages

Dennis Norman

Dennis Norman

Late last week the Federal Reserve Board proposed significant changes to Regulation Z (Truth in Lending) intended to improve the disclosures consumers receive in connection with home mortgages and home equity lines of credit.

These changes are just proposed at this point and are being offered for public comment for 120 days at which time the Fed Reserve will review comments and decide whether or not to put the changes into effect.

Ben S. Bernanke, Chairman of the Federal Reserve

Ben S. Bernanke

“Consumers need the proper tools to determine whether a particular mortgage loan is appropriate for their circumstances,” said Federal Reserve Chairman Ben S. Bernanke. “It is often said that a home is a family’s most important asset, and it is the Federal Reserves’ responsibility to see that borrowers receive the information they need to protect that asset.”
The proposed changes include: Continue reading “Fed Reserve proposes significant changes to provide more disclosure and protection to borrowers on mortgages