National Monitoring Information needs Under the HMDA as well as the ECOA

By Aaron Thompson, Senior Examiner, Federal Reserve Bank of Richmond

Introduction

National monitoring information (GMI) is the loan applicant data that are demographic must gather under Regulation B, which implements the Equal Credit chance Act (ECOA), and Regulation C, which implements the house Mortgage Disclosure Act (HMDA), whenever customers make an application for particular home loans. The requirement that is regulatory loan providers to get such information goes back to 1977 as soon as the Federal Reserve Board (Board) amended Regulation B to need creditors to gather monitoring information about age, intercourse, marital status, and competition or nationwide beginning on home-purchase loans and refinancing deals. 1 The Board explained that these details would assist federal regulators detect home loan lending discrimination. Customer groups also thought that this information could be valuable in detecting home loan lending discrimination. 2

Likewise, in 1989, the banking institutions Reform, healing and Enforcement Act amended the HMDA to need creditors to gather competition, intercourse, and earnings information from candidates for mortgage loans to greatly help 3 In 2002, the Board amended Regulation C to conform the assortment of battle and ethnicity information to modifications used by the working office of Management and Budget. 4 Overall, the range associated with HMDA information collection needs is wider as compared to ECOA’s requirement considering that the HMDA relates to all home mortgages, including home-improvement loans. Continuer la lecture de National Monitoring Information needs Under the HMDA as well as the ECOA