IV. Most condition regulations and you can federal statutes addressing predatory credit
III. Trendsetting predatory lending laws
HOEPA is a landended TILA to include particular borrowers having defenses against financing that have excessive rates of interest otherwise charge. HOEPA’s intent was to include the current security off residents out-of predatory refinancing techniques, therefore its defenses was indeed restricted to refinance mortgages. Instead of banning high-costs funds, HOEPA founded interest rate and you can commission thresholds you to caused then disclosure criteria and you can prohibitions with the certain mortgage terms and conditions, and additionally prepayment penalties getting money. HOEPA including needed lenders to confirm your borrower can pay off the borrowed funds. Read More