“Have no doubt, this bill will limit credit availability and options for thousands of Americans who want to grab their share of the American dream of homeownership.  It will eliminate tools that millions of Americans have used to become successful long-term homeowners. 

MBA has worked tirelessly with Chairman Frank and other House members to try and address our concerns with the bill and make it a better overall product.  Much has changed to improve the bill, including an amendment that passed today to exempt loans insured by the Federal Housing Administration from the bill.  Unfortunately, many of our key concerns have not been addressed. 

It still allows for the patchwork of state laws that serve to foster confusion for lenders and borrowers alike.  Its rebuttable presumption provisions still expose lenders to unacceptable liability risk.  It creates ambiguity around the legitimate payments between secondary and primary mortgage markets that increase the flow of capital to homeowners.  And the lowered HOEPA triggers will most assuredly eliminate mortgage products that have worked well for many borrowers.

I regret that we cannot support this bill.” 

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The Mortgage Bankers Association (MBA) is the national association representing the real estate finance industry, an industry that employs more than 280,000 people in virtually every community in the country. Headquartered in Washington, D.C., the association works to ensure the continued strength of the nation's residential and commercial real estate markets; to expand homeownership and extend access to affordable housing to all Americans. MBA promotes fair and ethical lending practices and fosters professional excellence among real estate finance employees through a wide range of educational programs and a variety of publications. Its membership of over 2,200 companies includes all elements of real estate finance: mortgage companies, mortgage brokers, commercial banks, thrifts, Wall Street conduits, life insurance companies and others in the mortgage lending field. For additional information, visit MBA's Web site:  www.mortgagebankers.org.