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H.R. 1731

BillFederalHouseIn Committee
Credit Risk Retention Act of 2009
About This Bill
Committee
Latest Action · March 26, 2009
Referred to the House Committee on Financial Services.
Congress
111th (2009–2011)
Introduced
March 26, 2009
Cosponsors (1)
1D 0R
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Summary

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Credit Risk Retention Act of 2009 - Amends the Truth in Lending Act to require the federal banking agencies to prescribe specified regulations jointly to require any creditor that makes a residential mortgage loan that is not a qualified mortgage (as defined by such agencies) to retain an economic interest in a material portion of the credit risk for any such loan that the creditor transfers, sells, or conveys to a third party. Requires the standards governing such regulations to: (1) apply only to residential mortgage loans that are not qualified mortgages; (2) prohibit creditors from directly or indirectly hedging or otherwise transferring the credit risk they are required to retain under the regulations with respect to any residential mortgage loan; and (3) requiring creditors to retain at least 5% percent of the credit risk on any non-qualified mortgage that is transferred, sold, or conveyed.

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