WASHINGTON (5/15/13)--How Consumer Financial Protection Bureau mortgage regulations could impact consumer credit access and the housing market will be one of many key items discussed in House Financial Services Committee hearings planned for next week.
The CFPB hearing, which will focus on the CFPB's Ability to Repay/Qualified Mortgage rule, will be held before the financial institutions and consumer credit subcommittee on Tuesday, May 21.
New standards to define a "qualified mortgage" under the agency's "ability to repay" regulations were issued by the CFPB in January. The rule amended Regulation Z, which implements the Truth in Lending Act, to require creditors to make a reasonable, good faith determination of a consumer's ability to repay any consumer credit transaction secured by a dwelling (excluding an open-end credit plan, timeshare plan, reverse mortgage, or temporary loan). The regulations also establish certain protections from liability under this requirement for "qualified mortgages."
Other hearings scheduled for next week include:
A May 21 monetary policy and trade subcommittee hearing on the unintended consequences of the conflict minerals provision of the Dodd-Frank Act. That provision requires the Securities and Exchange Commission to promulgate rules for public companies to disclose their use of minerals that originated in the Democratic Republic of Congo;
A May 22 full Financial Services Committee hearing that will feature testimony from U.S. Treasury Secretary Jacob Lew. Lew will present the annual Financial Stability Oversight Council report during that hearing;
A May 22 oversight and investigations subcommittee hearing on how the U.S. Department of Justice determines whether a financial institution is "Too Big to Jail"; and
A May 23 capital markets and government-sponsored enterprises subcommittee hearing on the Burdensome Data Collection Relief Act (H.R. 1135), the Small Business Capital Access and Jobs Preservation Act (H.R. 1105), the Audit Integrity and Job Protection Act (H.R. 1564) and a proposal to amend portions of the Dodd-Frank Act that address the fiduciary duties of broker-dealers.
The committee stressed that this is a tentative schedule, and said witnesses will be announced later.
For the full schedule, use the resource link.