|
FOR IMMEDIATE RELEASE
April 20, 2007
CONTACT: Tim Rusch
Email: trusch@demos.org Tel: (212) 389-1407
DEMOS RESPONDS TO SUPREME COURT RULING LIMITING STATES' ABILITY TO REGULATE HOUSING LENDERS:
"TIME FOR US CONGRESS TO ACT ON NATIONAL HOME FINANCING REFORM"
Washington, DC--In response to a ruling this week by the US Supreme Court severely limiting the ability of states to regulate banks engaged in home financing and other lending practices, Cindy Zeldin, Congressional liaison for economic research think-tank Demos, issued the following statement:
"Earlier this week, the Supreme Court ruled that state laws and regulations applying to the operating subsidiaries of national banks are preempted by those of the federal Office of the Comptroller of the Currency. Amid a looming crisis in the housing market, this ruling makes it more difficult for states to enforce important consumer protections against predatory lenders.
"This decision comes at a moment when renewed public and legislative attention is being paid to the practices of the lending industry, including not only mortgage lending, but also credit card issuers and student loan companies. We urge Congress to seize this moment by issuing strong legislation, making clear that state consumer protection laws are not preempted, and setting national standards to rein in abusive industry practices and restore needed consumer protections."
For more information, or to download Demos' reports on debt, home refinancing and other critical household economic challenges, visit www.demos.org.
###
|
