Foster Votes for Anti-Predatory Lending Bill

Press Release

Legislation to Prevent Future Abusive and Irresponsible Mortgage Lending Practices

Today, Rep. Bill Foster (IL-14) voted to pass H.R. 1728, the Mortgage Reform and Anti-Predatory Lending Act. The bill passed by a bipartisan vote of 300-114.

"It is widely recognized that the housing crisis led to many of the economic problems we are dealing with today, and we must make reforms to ensure that a crisis of this magnitude never happens again," said Foster. "This bill tackles the abusive lending practices that led to the credit crisis, while simultaneously protecting the consumer."

The bill is designed to prevent a recurrence of abusive and predatory mortgage lending practices of the past several years that have led to the current foreclosure crisis. H.R. 1728 bans the most egregious predatory lending practices, ensures that mortgage lenders make loans that benefit the consumer and prohibit lenders from steering borrowers into higher cost loans and also ensures that all mortgage refinancing provides a net tangible benefit to the consumer.

H.R. 1728 also gives consumers more rights, establishes a minimum standard requiring that borrowers have a reasonable ability to repay a loan and establishes an Office of Housing Counseling at the Department of Housing and Urban Development.

"After voting to pass the Credit Cardholders' Bill of Rights last week, I am proud to again stand up for the consumer protections that are included in this legislation," said Foster. "H.R. 1728 places common sense regulations on the mortgage industry, creating the opportunity for the economic benefits that come with a stable housing market."

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