Amendment Could Force GSE Pricing Data Submission

Fannie Mae and Freddie Mac would have to submit loan pricing data to their new regulator under a manager's amendment Rep. Barney Frank, D-Mass., intends to offer during a House Financial Services Committee markup of a GSE reform.The 21-page manager's amendment drafted by committee Chairman Frank contains mostly technical changes to the bill (H.R. 1427), which is designed to strengthen regulation of the housing government-sponsored enterprises. However, one section allows the regulator to review Fannie and Freddie loan data to see if minorities are being charged higher interest rates than whites. If a pattern or practice of discrimination is discovered, the regulator can refer the lender to the appropriate enforcement agency. The regulator also can order the GSE to take remedial actions. Separately, America's Community Bankers said it opposes any amendment to weaken the GSE reform bill. "We urge passage of H.R. 1427 as introduced, and with the manager's amendment," ACB executive vice president Robert Davis said.

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Law and regulation
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