For the time that is first loan providers building a high-cost loan had to report a borrower’s capacity to repay the mortgage. The Fed additionally banned high-cost loan providers from refinancing mortgages they made within per year.

For the time that is first loan providers building a high-cost loan had to report a borrower’s capacity to repay the mortgage. The Fed additionally banned high-cost loan providers from refinancing mortgages they made within per year.

But Margot Saunders, for the nationwide customer Law Center, stated the 2001 modifications had little impact. Loan providers just undercut the law’s brand new, reduced triggers, she stated, continuing in order to make loans just underneath the thresholds. Advocates said another supply, made to stop loan flipping, also did little, because loan providers could just flip borrowers into a loan that is new the 366th time, or a fresh loan provider could flip the mortgage whenever you want. Continuer la lecture de « For the time that is first loan providers building a high-cost loan had to report a borrower’s capacity to repay the mortgage. The Fed additionally banned high-cost loan providers from refinancing mortgages they made within per year. »