Skip navigation
Watchlist Sponsored By :

Current DateTime: 08:38:10 10 Jul 2009
LinksList Documentid: 24355697
  • Highest Grossing Movies

      What are the highest grossing movies of all time, adjusted for inflation? Click ahead to find out!

  • Most Expensive Places To Live

      Each year, Mercer Consulting assembles its ranking of the most expensive places to live. Mercer compiles information from 143 cities worldwide.

  • Recession-Resistant US Cities

      Some cities have been hit much harder than others during the recession. Here are the metro areas faring the best.


Current DateTime: 08:38:11 10 Jul 2009
LinksList Documentid: 24890560
  • Boom, Bust and Blame

      The inside story of the economic crisis that has gripped the entire world.

  • E3: Gaming's Cutting Edge

      North America's premier computer and video game trade show draws tens of thousands of professionals to experience the future of interactive entertainment.

  • The Fall of GM

      A look into the fall of General Motors as the automaker heads toward bankruptcy and an effective nationalization.

Fed May Ban Some Mortgage Lending Practices: Fed's Kroszner
By: Reuters | 13 Jun 2007 | 10:38 AM ET
Text Size

The Federal Reserve Board is weighing whether it should ban some mortgage lending practices that fueled the recent housing market boom, Fed governor Randall Kroszner told a panel of lawmakers Wednesday.

"We will also seriously consider whether there are mortgage lending practices that should be prohibited," Kroszner said in prepared remarks before a U.S. House of Representatives panel discussing consumer protection.

Kroszner said that the Fed was specifically eyeing 'stated-income' loan applications and prepayment penalties, as well as considering whether lenders should require annual fees like taxes to be paid monthly.

On Thursday, Kroszner himself will chair a Fed hearing on its enforcement of the Home Ownership and Equity Protection Act (HOEPA), which gives the central bank broad authority to prohibit unfair lending practices.

Christopher Dodd, the Democratic chairman of the Senate Banking Committee, has chastised the Fed for not doing more to control dangerous loans that were behind a multi-year run up in home prices.

The Fed, Kroszner said, will take care to not hamper safe lending as it crafts its response to failures among subprime loans, which are offered to borrowers with damaged credit.

"We must be careful, however, not to curtail responsible subprime lending or beneficial financing options for consumers," Kroszner said.

He said the Fed will rely on extensive consumer testing as it considers new rules for mortgage and credit card lending.

Copyright 2009 Reuters. Click for restrictions.
Tools:
Print EmailAdd This share icon


Current DateTime: 08:26:52 10 Jul 2009
LinksList Documentid: 29778428

Current DateTime: 01:04:09 10 Jul 2009
LinksList Documentid: 29779196

Current DateTime: 07:29:15 10 Jul 2009
LinksList Documentid: 29779199

Current DateTime: 01:05:34 10 Jul 2009
LinksList Documentid: 29779198
CNBCCNBC
About CNBC  |  Site Map  |  Privacy Policy  |  Terms of Service  |  Video Reprints  |  Advertise  |  Help  |  Contact
Partners: AOL Money  |  BloggingStocks.com
CNBC is a Division of NBC Universal
  Data is a real-time snapshot *Data is delayed at least 15 minutes
Global Business and Financial News, Stock Quotes, and Market Data and Analysis

© 2009 CNBC, Inc.  All Rights Reserved.
Thomson ReutersThomson Reuters