Summary: | The federal financial regulatory agencies have issued the attached Interagency Guidance on Nontraditional Mortgage Product Risks (NTM Guidance) and an Addendum to the Credit Risk Management Guidance for Home Equity Lending (HE Addendum). These documents describe how financial institutions should both address the risks associated with underwriting nontraditional mortgage loan products and provide consumers with clear and balanced information before they make a product or payment choice. |
Highlights:
Distribution: Suggested Routing: Note: |
Additional Related Topics:
- Credit Risk Management Guidance for Home Equity Lending; Risks Associated with Subprime Lending; Unfair and Deceptive Acts and Practices by State-Chartered Banks; and High Loan-to-Value Residential Real Estate Lending
FIL-89-2006