WASHINGTON (CN) – Banks and other residential mortgage lenders that have assets of less than $39 million will remain exempt from reporting on their mortgage lending activity.
The Home Mortgage Disclosure Act requires most mortgage lenders in urban areas to collect data, including information about the number of loans extended, by race, geography and income level.
Congress decided in 1996 to relieve small lenders of this burden. A new exemption threshold is set every year based on the annual percentage change in the Consumer Price Index for Urban Wage Earners and Clerical Workers. The Federal Reserve Board determined that the less than 1 percent decrease in the index over the last year did not warrant a reduction in the exemption threshold.