Mortgage Fairness Act of 2015

Bill: 114-hr-3393
Sponsor: full_name: Rep. Posey, Bill [R-FL-8]
Introduced: 2015-07-29
Policy area: Housing and Community Development
Subjects: Consumer credit

Housing finance and home ownership

Interest, dividends, interest rates
Latest action: action_date: 2015-07-29
text: Referred to the House Committee on Financial Services.

Summaries:
action_date: 2015-07-29
action_desc: Introduced in House
text: <p><b>Mortgage Fairness Act of 2015</b> </b></p> <p>This bill amends the Truth in Lending Act to revise points and fees under a high-cost mortgage which currently include all compensation paid directly or indirectly by a consumer or creditor to a mortgage originator from any source, including a mortgage originator that is also the creditor in a table-funded transaction.</p> <p>&quot;Table funding&quot; means a settlement at which a loan is funded by a contemporaneous advance of loan funds and an assignment of the loan to the person advancing the funds. A table-funded transaction is not a transaction in the secondary mortgage.</p> <p>Compensation from any source shall not include any compensation taken into account in settling the mortgage interest rate and for which there is no separate charge to the consumer.</p> <p>Such compensation shall include, however, any other compensation paid directly or indirectly by a consumer or creditor to an individual employed by or contracting with the originator or a mortgage originator.</p>

tv_txt: I 114th CONGRESS 1st Session H. R. 3393 IN THE HOUSE OF REPRESENTATIVES July 29, 2015 Mr. Posey (for himself and Mr. Ross ) introduced the following bill; which was referred to the Committee on Financial Services A BILL To amend the Truth in Lending Act to clarify that the points and fees in connection with a mortgage loan do not include certain compensation amounts already taken into account in setting the interest rate on such loan, and for other purposes.

1. Short title This Act may be cited as the Mortgage Fairness Act of 2015 . 2. Points and fees Section 103 of the Truth in Lending Act ( 15 U.S.C. 1602 ) is amended— (1) by redesignating subsection (aa) (relating to disclosure of the greater amount or percentage) as subsection (bb); (2) by redesignating subsection (bb) (relating to high cost mortgages) as subsection (aa), and moving such subsection to immediately follow subsection (z); and (3) in paragraph (4) of subsection (aa), as so redesignated, by amending subparagraph (B) to read as follows: (B) all compensation from any source (other than compensation taken into account in setting the interest rate and for which there is no separate charge to the consumer) paid directly or indirectly by a consumer or creditor to— (i) a mortgage originator, including a mortgage originator that is also the creditor in a table-funded transaction; or (ii) an individual employed by or contracting with the originator or a mortgage originator; .