(Archived Content)
FROM THE OFFICE OF PUBLIC AFFAIRS
LS-540The legislation being introduced today by Representative LaFalce and Senator Sarbanes is an important step in furthering President Clinton's initiative, announced in May 1999, to increase consumer information and combat abusive lending practices. We believe that Congress should consider these issues this year. Legislation in this area must follow three principles:
First, we must empower consumers to make informed choices about borrowing.
Second, we must not let the abusive practices of some lenders undo the enormous progress that families have made thus far. Abusive practices should have no place in the subprime market, or any other market.
Third, we must continue the democratization of access to capital in this country that is helping more Americans own their own homes, start their own businesses, and strengthen their communities. Lenders are increasingly making credit available to low-income borrowers, and to those with limited or impaired credit histories who previously could not get access to credit.
We welcome the efforts being made by Representative LaFalce and Senator Sarbanes today, and we look forward to working with them on legislation this year.