HR 3915 Basics
I110TH CONGRESS1ST SESSION H. R. 3915To amend the Truth in Lending Act to reform consumer mortgage practicesand provide accountability for such practices, to establish licensing andregistration requirements for residential mortgage originators, to providecertain minimum standards for consumer mortgage loans, and for otherpurposes.IN THE HOUSE OF REPRESENTATIVESOCTOBER 22, 2007Mr. MILLER of North Carolina (for himself, Mr. WATT, Mr. FRANK of Massachusetts,Ms. WATERS, Mrs. MALONEY of New York, Mr. GUTIERREZ,Ms. CARSON, Mr. MEEKS of New York, Mr. CAPUANO, Mr. CLAY, Mr.AL GREEN of Texas, Mr. CLEAVER, Ms. BEAN, Ms. MOORE of Wisconsin,Mr. HODES, Mr. ELLISON, and Mr. MURPHY of Connecticut) introducedthe following bill; which was referred to the Committee on Financial ServicesA BILLTo amend the Truth in Lending Act to reform consumermortgage practices and provide accountability for suchpractices, to establish licensing and registration requirementsfor residential mortgage originators, to providecertain minimum standards for consumer mortgageloans, and for other purposes.1 Be it enacted by the Senate and House of Representa2tives of the United States of America in Congress assembled,VerDate Aug 31 2005 02:18 Oct 23, 2007 Jkt 069200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H3915.IH H3915 bajohnson on PROD1PC69 with BILLS2HR 3915 IH1 SECTION 1. SHORT TITLE; TABLE OF CONTENTS.2 (a) SHORT TITLE.—This Act may be cited as the3 ‘‘Mortgage Reform and Anti-Predatory Lending Act of4 2007’’.5 (b) TABLE OF CONTENTS.—The table of contents for6 this Act is as follows:Sec. 1. Short title; table of contents.TITLE I—MORTGAGE ORIGINATIONSec. 101. Definitions.Sec. 102. Residential mortgage loan origination.Sec. 103. Anti-steering.Sec. 104. Licensing and registration of mortgage originators.Sec. 105. Enforcement.Sec. 106. Regulations.TITLE II—MINIMUM STANDARDS FOR MORTGAGESSec. 201. Ability to repay.Sec. 202. Net tangible benefit for refinancing of residential mortgage loans.Sec. 203. Safe harbor and rebuttable presumption.Sec. 204. Securitizer liability.Sec. 205. Defense to foreclosure.Sec. 206. Additional standards and requirements.Sec. 207. Amendment to provision governing correction of errors.Sec. 208. Amendment relating to right of rescission.Sec. 209. Amendments to civil liability provisions.Sec. 210. Rule of construction.Sec. 211. Regulations.TITLE III—HIGH-COST MORTGAGESSec. 301. Definitions relating to high-cost mortgages.Sec. 302. Amendments to existing requirements for certain mortgages.Sec. 303. Additional requirements for certain mortgages.Sec. 304. Regulations.7 TITLE I—MORTGAGE8 ORIGINATION9 SEC. 101. DEFINITIONS.10 Section 103 of the Truth in Lending Act (15 U.S.C.11 1602) is amended by adding at the end the following new12 subsection:VerDate Aug 31 2005 02:18 Oct 23, 2007 Jkt 069200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H3915.IH H3915 bajohnson on PROD1PC69 with BILLS3HR 3915 IH1 ‘‘(cc) DEFINITIONS RELATING TO MORTGAGE ORIGI2NATION.—3 ‘‘(1) COMMISSION.—The term ‘Commission’4 means the Federal Trade Commission.5 ‘‘(2) MORTGAGE ORIGINATOR.—The term6 ‘mortgage originator’—7 ‘‘(A) means any person who, for direct or8 indirect compensation or gain, or in the expec9tation of direct or indirect compensation or10 gain—11 ‘‘(i) takes a residential mortgage loan12 application;13 ‘‘(ii) assists a consumer in obtaining14 or applying to obtain a residential mort15gage loan; or16 ‘‘(iii) offers or negotiates terms of a17 residential mortgage loan;18 ‘‘(B) includes any person who represents19 to the public, through advertising or other20 means of communicating or providing informa21tion (including the use of business cards, sta22tionery, brochures, signs, rate lists, or other23 promotional items), that such person can or will