As Congress considers mortgage market reforms, ABA testified that equal access, equal pricing, multiple channels and reasonable capital requirements are necessary to ensure community banks have access to a federally guaranteed secondary market.
ABA Chairman Jeff Plagge, president and CEO of Northwest Financial Corp., testified before the Senate Banking, Housing and Urban Affairs Committee. In his testimony, Plagge commended the Committee for its focus on mortgage lending issues, particularly the leadership of Senators Corker and Warner and the cosponsors of S. 1217, which would address the government’s role in the mortgage market and establishes a framework upon which to build.
While federal government support is essential, Plagge testified that it should be within a mortgage market predominately filled by the private sector.
Plagge concluded his testimony by urging a deliberate and orderly approach to mortgage market reforms.
Read Plagge’s full testimony.