Anti-predatory bills and regulations similar to the federal bills are also being introduced in more than 20 states and about half a dozen cities. This would be critically important to allowing neighborhood warning systems to identify high cost lenders. The proposed change to Regulation Z would add the cost of credit insurance to the points and fees trigger for defining a high cost loan. Although NCRC believes single premium credit insurance must be banned, this interim proposal would extend federal consumer protections to more high cost loans. Community advocates have achieved tremendous victories in the fight against predatory lending, including voluntary efforts by industry to curb the most egregious abuses.
Considerable work remains to be done.