Home Mortgage Disclosure Act

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Home Mortgage Disclosure Act

Legislation in the United States, passed in 1975, that requires financial institutions to keep records on mortgages, refinancing loans and other loans made on single and multi-family homes. The Act is designed to help HUD police banks make sure they do not discriminate against geographic regions or other protected criteria in making loans.
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Home Mortgage Disclosure Act

A federal law requiring lenders with federally related loans to report the number of mortgage loan applications and the number of actual mortgage loans in different parts of their service areas.The Act is designed to shed light on discriminatory practices and thereby eliminate them. Reports are available on the Web site of the Federal Financial Institutions Examination Council,www.ffiec.gov/hmda.

The Complete Real Estate Encyclopedia by Denise L. Evans, JD & O. William Evans, JD. Copyright © 2007 by The McGraw-Hill Companies, Inc.
References in periodicals archive ?
The revisions added 13 additional fields to the HMDA Loan Application Register (LAR), including points and fees; the difference between the loan annual percentage rate (APR) and benchmark rate for all loans; prepayment penalty terms; value of any collateral; loan term in months; the applicant's age and credit score; the originator's identification number; and the application channel.
The 2002 and 2003 HMDA data reported by Bank of the West indicate that the bank's denial disparity ratios.
This means HMDA Wiz can grow with them as they expand their lending footprints into new states and regions, with no additional costs.
The Board has also considered the HMDA data in light of the performance of PNC Financial's subsidiary banks under the CRA and the programs described above.
The HMDA data for 2006, like those from earlier years, indicated that lenders approved most of the applications they received, although the proportion approved or denied varies by loan purpose, type of loan and property, and lien status, said the Fed.
The Board has reviewed data reported by JPMCB, CMMC, and Chase USA for all HMDA loans for the two-year period beginning January 1, 2001.
To detect discrimination, federal agencies use HMDA data and Interagency Fair Lending Examination Procedures, a March 1994 overview of federal fair lending laws and regulations adapted from the Interagency Policy Statement on Fair Lending issued by the Office of the Comptroller of the Currency (OCC), the Federal Deposit Insurance Corporation (FDIC), the Federal Reserve Board, the Office of Thrift Supervision (OTS) and the National Credit Union Administration.
HMDA data for 2001 indicate that CMC originated almost 90 percent of the conventional home purchase mortgages attributed to the Citizens Banks by examiners in their CRA evaluation of these banks.
"The initial enforcement effort, as a result of this HMDA data, is not going to be based on disparate impact--it's going to be based on disparate treatment," explained Hancock.
According to the companies, the integration and breadth of this functionality greatly simplify the HMDA compliance process for Ellie Mae customers by making loan data instantly available.
The HMDA data generally indicate disparities in the rate SouthTrust denies applications by African Americans compared with those by nonminority applicants in many of the markets reviewed.