According to The New York Times, on July 9,2012 the Consumer Financial Protection Bureau issued proposed rules to enforce fairness and clarity in residential lending. This rule will provide homebuyers with a simple set up of expected payments and fees to prevent any costly surprises.
“Within 3 days of applying for a loan, customers would receive a loan estimate that outlined the terms, including how much interest they would pay, how that might shift over the life of the loan and the highest loan amount that consumers could face”.
About 8 million Americans have lost their homes to foreclosure as the article states. Would this create transparency in pricing for homeowners by clearly emphasizing everything from the total cost of the loan to the interest?
Click here for the link to the full article from the New York Times website.
All information was gathered from the article posted on the New York Times website provided above.