The bill was introduced in the previous Congress and received bipartisan support in passing the House Financial Services Committee. It is a major component of ABA’s Agenda for America’s Hometown Banks, making it easier for banks to make mortgage loans to creditworthy borrowers. ABA President and CEO Frank Keating said:
This proposal is a common sense approach that will help borrowers gain access to some of the lowest-risk mortgage products offered by banks. Banks hold only the safest loans in portfolio. There is no need to impose additional hurdles on banks or borrowers if the loan is held in portfolio.