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Federal Reserve Bank of Dallas
2200 N. PEARL ST.
DALLAS, TX 75201-2272

April 8, 2004

Notice 04-17
TO: The Chief Executive Officer of each
financial institution and others concerned
in the Eleventh Federal Reserve District
SUBJECT
Request for Comment on Revised Formats
for Public Disclosure of Lending Data
DETAILS
The Board of Governors has requested public comment on revised formats for public
disclosure of mortgage lending data reported pursuant to the Home Mortgage Disclosure Act and
Regulation C, in light of revisions to Regulation C requiring lending institutions to report new
loan pricing and other loan data. The first year for which the new data will be reported is 2004.
Data from institutions are due no later than March 1, 2005, and the data will be reflected in the
public disclosures scheduled to be released in summer 2005.
The Board must receive comments by May 10, 2004. Please address comments to
Jennifer J. Johnson, Secretary, Board of Governors of the Federal Reserve System, 20th Street
and Constitution Avenue, N.W., Washington, DC 20551. Also, you may mail comments electronically to regs.comments@federalreserve.gov. All comments should refer to Docket No.
R-1186.
The public can also view and submit comments on proposals by the Board and other
federal agencies from the www.regulations.gov web site.
ATTACHMENT
A copy of the Board’s notice as it appears on pages 15470–75, Vol. 69, No. 58 of the
Federal Register dated March 25, 2004, is attached. Please note that we are only including the

For additional copies, bankers and others are encouraged to use one of the following toll-free numbers in contacting the Federal
Reserve Bank of Dallas: Dallas Office (800) 333-4460; El Paso Branch Intrastate (800) 592-1631, Interstate (800) 351-1012;
Houston Branch Intrastate (800) 392-4162, Interstate (800) 221-0363; San Antonio Branch Intrastate (800) 292-5810.

-2text of the Board’s notice. The remainder of the document consists of tables. For a copy of the
complete document, which is 91 pages (6.7MB), please access our web site at
www.dallasfed.org/banking/notices/2004/not0417hmda.pdf.
MORE INFORMATION
For more information, please contact Eugene Coy, Banking Supervision Department,
(214) 922-6201. For additional copies of this Bank’s notice, contact the Public Affairs Department at (214) 922-5254 or access District Notices on our web site at www.dallasfed.org/banking/
notices/index.html.

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Federal Register / Vol. 69, No. 58 / Thursday, March 25, 2004 / Proposed Rules
Deaf (TDD) only, contact (202) 263–
4869.

FEDERAL RESERVE SYSTEM
12 CFR Part 203

SUPPLEMENTARY INFORMATION:

[Regulation C; Docket No. R–1186]

I. Background

Home Mortgage Disclosure
AGENCY: Board of Governors of the
Federal Reserve System.
ACTION: Proposed rule; request for
comment on revised formats for public
disclosure of lending data.
SUMMARY: The Board is soliciting
comment on revised formats for public
disclosure of mortgage lending data
reported pursuant to the Home Mortgage
Disclosure Act and Regulation C, in
light of revisions to Regulation C
requiring lending institutions to report
new loan pricing and other loan data.
The first year for which the new data
will be reported is 2004; data from
institutions are due no later than March
1, 2005, and the data will be reflected
in the public disclosures scheduled to
be released in summer 2005.
DATES: Comments must be received by
May 10, 2004.
ADDRESSES: Comments should refer to
Docket No. R–1186 and may be mailed
to Jennifer J. Johnson, Secretary, Board
of Governors of the Federal Reserve
System, 20th Street and Constitution
Avenue, NW., Washington, DC 20551.
Please consider submitting your
comments through the Board’s Web site
at www.federalreserve.gov/generalinfo/
foia/ProposedRegs.cfm, by e-mail to
regs.comments@federalreserve.gov, or
by fax to the Office of the Secretary at
202/452–3819 or 202/452–3102. Rules
proposed by the Board and other federal
agencies may also be viewed and
commented on at www.regulations.gov.
All public comments are available
from the Board’s Web site at
www.federalreserve.gov/generalinfo/
foia/ProposedRegs.cfm as submitted,
except as necessary for technical
reasons. Accordingly, your comments
will not be edited to remove any
identifying or contact information.
Public comments may also be viewed
electronically or in paper in Room MP–
500 of the Board’s Martin Building 20th
and C Streets, NW.) between 9 a.m. and
5 p.m. on weekdays.
FOR FURTHER INFORMATION CONTACT:
Glenn Canner, Senior Adviser, Division
of Research and Statistics, at (202) 452–
2910; or John C. Wood or Kathleen C.
Ryan, Counsel, Division of Consumer
and Community Affairs, Board of
Governors of the Federal Reserve
System, Washington, DC 20551, at (202)
452–3667 or (202) 452–2412. For users
of Telecommunications Device for the

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The Home Mortgage Disclosure Act
(HMDA), 12 U.S.C. 2801 et seq., requires
certain depository and for-profit
nondepository institutions to collect,
report, and publicly disclose data about
applications for, and originations and
purchases of, home purchase and
certain other home-secured loans (such
as refinanced home purchase loans) and
home improvement loans (whether
secured or unsecured). The Board’s
Regulation C, 12 CFR Part 203,
implements HMDA. The data reported
include the application date; the type,
purpose, and amount of the loan or
application; the date and type of action
taken on the application; the location of
the property to which the loan relates;
the race, ethnicity, sex, and income of
the applicant or borrower; the type of
purchaser if the loan is sold; and the
reasons for denial if the application is
denied.
Pursuant to section 304(h) of HMDA,
lending institutions subject to the act
report data on the HMDA Loan/
Application Register (HMDA–LAR) in a
loan-by-loan and application-byapplication form. The data are then
submitted to the federal financial
regulatory agencies. Sections 304 and
310 of HMDA direct the Federal
Financial Institutions Examination
Council (FFIEC) to edit and process the
data and to produce public disclosure
statements, which are sent back to the
reporting institutions to be made
available to the public upon request. In
addition, the FFIEC sends the
institutions’ public disclosure
statements to central depositories (such
as public libraries) in each metropolitan
statistical area (MSA), along with
aggregate disclosures covering all
reporting institutions in that MSA.
Under section 304(h) of HMDA, the
Board—in cooperation with the Office
of the Comptroller of the Currency
(OCC), the Office of Thrift Supervision
(OTS), the Federal Deposit Insurance
Corporation (FDIC), the National Credit
Union Administration (NCUA), and the
Department of Housing and Urban
Development (HUD)—is directed to
develop the format for the public
disclosures.
The Board recently completed a
review of Regulation C (see 67 FR 7222,
February 15, 2002, and 67 FR 43217,
June 27, 2002). Amendments to the
regulation adopted as a result of the
review require institutions to report new
items, including a rate spread between

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the annual percentage rate (APR) on the
loan and the yield on Treasury
securities of comparable maturity;
whether the loan is subject to the Home
Ownership and Equity Protection Act
(HOEPA); whether manufactured
housing is involved; the type of lien on
the property (first, subordinate, or
none); and certain information about
requests for preapproval. In addition,
the regulation was amended to conform
to changes in standards for collection of
applicant data on race and ethnicity
adopted by the Office of Management
and Budget (OMB). The first year for
which the new data will be reported is
2004; data from institutions must be
submitted to the appropriate federal
financial regulatory agency no later than
March 1, 2005, and the data will be
reflected in the public disclosures
scheduled to be released in summer
2005.
To facilitate public access to the new
information that will be reported, in
keeping with the purposes of the act, the
formats for the public HMDA disclosure
statements will be revised. The Board
and the other regulatory agencies seek
public comment on the proposed
formats for the revised disclosure
statements. The proposed changes
include revisions to some of the existing
disclosure tables, deletion of one set of
existing tables, and the addition of new
tables.
The proposed revisions to the existing
tables are primarily to reflect the
changes to the race and ethnicity
categories adopted by OMB and the
itemization of data on manufactured
housing. One series of tables (Tables 6–
1 through 6–6) would be deleted
because of their perceived lack of utility
to HMDA data users. The proposed new
tables reflect new data on rate spread,
HOEPA status, lien status, preapproval
requests, and manufactured housing.
Comment is solicited on these proposed
revisions, deletions, and additions.
II. Explanation of Proposed Revised
Disclosure Formats
A. Revisions to Existing Tables and
Series of Tables
The existing tables for each reporting
financial institution are Tables 1, 2, 3,
4–1 through 4–6, 5–1 through 5–6, 6–1
through 6–6, 7–1 through 7–6, and 8–1
through 8–6, and Supplemental Tables
1 and 2. There are also aggregate
versions of Tables 1 through 8–6,
reflecting the aggregated data of all
reporting financial institutions in each
MSA. In addition, there are Aggregate
Tables 9 and 10, but no versions of these
tables for individual financial
institutions. In each case, the same

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Federal Register / Vol. 69, No. 58 / Thursday, March 25, 2004 / Proposed Rules
changes that would be made to the basic
individual institution tables (1 through
8–6) would also be made to the
aggregate and supplemental versions.
For example, Table 1, Aggregate Table 1,
and Supplemental Table 1 would be
revised in the same way.
1. Table 1 and Supplemental Table 1—
Disposition of Loan Applications, by
Location of Property and Type of Loan
Existing Table 1 shows action taken
on loan applications (such as loan
originated, application approved but not
accepted, application denied), detailed
by the census tract in which a property
is located. The table also shows the type
of loan (government-backed 1-to-4
family home purchase loans,
conventional 1-to-4 family home
purchase loans, 1-to-4 family
refinancings, 1-to-4 family home
improvement loans, multifamily loans,
and loans on 1-to-4 family non-owneroccupied property).
Institutions are required to report
property location (generally MSA, state,
county, and census tract) for loans on
property located in MSAs in which they
have home or branch offices. Therefore,
for each reporting institution, Table 1 is
produced for each MSA in which the
institution has offices. In addition, some
institutions are required by the
regulations implementing the
Community Reinvestment Act (12
U.S.C. 2901 et seq.) to report property
location for all loans, no matter where
the property is located, and some
institutions voluntarily choose to do so.
In these cases, Supplemental Table 1 is
produced to reflect the same
information as Table 1 for loans on
property not located in MSAs where the
institution has offices.
The only substantive change to Table
1 (and Aggregate Table 1 and
Supplemental Table 1) is the addition of
a new column G to provide separately
itemized data for loan applications for
manufactured housing. Existing Table 1
shows combined data covering both
manufactured housing loans and 1-to-4
family housing loans. The revised table
would continue to include
manufactured housing loans along with
1-to-4 family loans in columns A, B, C,
and D, and the heading for these
columns would be changed to reflect
this fact.
2. Table 2 and Supplemental Table 2—
Loans Purchased, by Location of
Property and Type of Loan
Existing Table 2 shows loans
purchased by the institution, detailed by
census tract and by type of loan, using
the same loan types as in Table 1. As
with Table 1, Table 2 is produced for

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each MSA in which the institution has
offices. Supplemental Table 2 reflects
the same information as Table 2, for
loans on property not located in MSAs
where the institution has offices.
The only changes to Table 2 (and to
Aggregate Table 2 and Supplemental
Table 2) would be the same as to Table
1: The addition of a column G for
manufactured housing loans and the
change in the heading for columns A, B,
C, and D to reflect the fact that data in
those columns include manufactured
housing loans.
3. Table 3—Loans Sold, by
Characteristics of Borrower and of
Census Tract in Which Property Is
Located and by Type of Purchaser
Existing Table 3 shows loans sold by
the institution, detailed by the race, sex,
and income of the borrower; by the
racial and income characteristics of the
census tract in which the property is
located; and by the type of entity that
purchased the loan (such as Fannie
Mae, commercial bank, or affiliate of the
institution). Table 3 is produced for
each MSA in which the institution has
offices.
The types of purchasers shown in
Table 3 would be conformed to the
revised categories for type of purchaser
used under the amended Regulation C.
The changes included combining the
commercial bank and savings institution
categories; adding credit unions,
mortgage banks, and finance companies
to the life insurance company category;
adding a new category for private
securitization; and nonsubstantive
terminology changes.
Table 3 would also reflect the changes
in borrower characteristics collected
under the Regulation C revisions. The
Regulation C revisions conform to
standards for collection of data on race
and ethnicity adopted by OMB. The
OMB standards allow individuals to
self-identify using more than one racial
category, treat ethnicity and race as
separate items of information, separate
‘‘Asian or Pacific Islander’’ into two
categories (‘‘Asian’’ and ‘‘Native
Hawaiian or Other Pacific Islander,’’)
eliminate the category ‘‘Other,’’ and
make nonsubstantive terminology
changes.
The racial categories in revised Table
3 follow the new categories adopted in
revised Regulation C. To reflect loans
where the applicant has marked more
than one minority race, a new category
entitled ‘‘2 or More Minority Races’’
would be added. Where the applicant
chose white and one minority race
category (for example, Asian) the loan
would be reflected in the data for the
minority race (Asian, in this example).

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15471

Ethnicity would be shown separately
from race, using the categories
‘‘Hispanic or Latino,’’ ‘‘Not Hispanic or
Latino,’’ ‘‘Joint (Hispanic or Latino/ Not
Hispanic or Latino),’’ and ‘‘Ethnicity
Not Available’’ (paralleling ‘‘Race Not
Available’’). ‘‘Joint (Hispanic or Latino/
Not Hispanic or Latino)’’ would apply
where one joint applicant is Hispanic or
Latino and the other is not, paralleling
the ‘‘Joint’’ category under race which
applies where one applicant is minority
and the other is white.
In the racial categories in revised
Table 3, white is divided into ‘‘White—
Hispanic or Latino’’ and ‘‘White—Not
Hispanic or Latino,’’ to allow data users
to better focus on data about lending to
minorities more generally, and to
provide some continuity with data
generated under the existing HMDA
disclosures (in that ‘‘White—Not
Hispanic or Latino’’ in the proposed
revised disclosures appears to be
substantially equivalent to ‘‘White’’ in
the existing disclosures). For similar
reasons, revised Table 3 contains a data
line entitled ‘‘Total Minority,’’ which
aggregates loan data from all categories
except ‘‘White—Not Hispanic or Latino’’
and ‘‘Race Not Available.’’
The section of Table 3 detailing loans
sold by sex of the borrower—which
appears not to have great utility for most
data users—would be deleted. The
information can be derived from the
institution’s HMDA–LAR, which is
available to the public directly from the
institution.
The section of Table 3 showing loans
sold by income of the borrower remains
unchanged. The section showing loans
sold by racial/ethnic composition of
census tracts and by income of census
tracts also remains unchanged, except
for a possible change affecting loans on
property in the Commonwealth of
Puerto Rico.
The existing public disclosure tables
for MSAs in Puerto Rico contain no data
in the section on racial/ethnic
composition of census tracts, because in
the decennial censuses up to and
including 1990, this information was
not collected for areas in Puerto Rico. In
the 2000 census, information was
collected on the racial and ethnic
composition of census tracts in Puerto
Rico, and Table 3 for MSAs in Puerto
Rico could be revised to show the data.
The census tract data from all MSAs are
rolled up into national aggregates,
which are not part of the public HMDA
disclosures sent to central depositories,
but are available from the FFIEC.
Inclusion of the Puerto Rico census tract
data now, after excluding them in the
past, could make trend analysis at the
national level more difficult.

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Federal Register / Vol. 69, No. 58 / Thursday, March 25, 2004 / Proposed Rules

The revised format for Table 3
contained in this proposal includes the
census tract data for MSAs in Puerto
Rico. Comment is solicited on whether
the national aggregate tables should
include or exclude the Puerto Rico
census tract data.
4. Table 4 Series—Disposition of
Applications, by Race, Ethnicity,
Gender and Income of Applicant
The existing tables in the Table 4
series show action taken on applications
for various types of loans, detailed by
race/national origin of applicants and
further itemized by sex of applicants,
and detailed by income of applicants.
There is one table for each type of loan,
using the same loan types as in Table 1.
Thus, Table 4–1 shows disposition of
applications for government-insured
and government-guaranteed home
purchase loans on 1-to-4 family
dwellings; Table 4–2 shows disposition
of applications for conventional home
purchase loans on 1-to-4 family
dwellings; Table 4–3 shows disposition
of applications for refinancings on 1-to4 family dwellings; Table 4–4 shows
disposition of applications for home
improvement loans on 1-to-4 family
dwellings; Table 4–5 shows disposition
of applications for loans on multifamily
dwellings; and Table 4–6 shows
disposition of applications for loans on
1-to-4 family non-owner-occupied
property. Each of these tables is
produced for each MSA in which the
institution has offices.
The changes to the tables in the Table
4 series parallel changes to Table 3 with
regard to the race and ethnicity
categories, as described above. Within
each of these categories, itemized data
would also be shown for Male, Female,
and Joint (applying where one joint
applicant is male and the other is
female). A section with data on ‘‘Total
Minority’’ would be calculated the same
way as in Table 3 and would include
detail on Male, Female, and Joint.
As in Table 3, the section in the Table
4 series showing action taken on
applications by income of applicants
remains unchanged. The titles of the
tables also remain unchanged except
that ‘‘1-to-4 Family and Manufactured
Home Dwellings’’ replaces ‘‘1-to-4
Family Homes’’ in Tables 4–1, 4–2, 4–
3, 4–4, and 4–6, which continue to
include manufactured homes along with
1-to-4 family homes. ‘‘Ethnicity’’ is
added to the titles on each of the tables,
since ethnicity is now treated as a
separate item of data from race.
A new Table 4–7 would be added,
titled ‘‘Disposition of Applications for
Home Purchase, Home Improvement, or
Refinancing Loans, Manufactured Home

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Dwellings, by Race, Ethnicity, Gender
and Income of Applicant.’’ The data
shown would be the same as in the
other tables in the Table 4 series, as
revised, except that the data would
relate to manufactured home loan
applications. Thus, the data in Table 4–
7 will be a subset of the data in Tables
4–1, 4–2, 4–3, and 4–4. In this respect,
new Table 4–7 parallels the new
columns covering manufactured home
loans and applications in Tables 1 and
2.
5. Table 5 Series—Disposition of
Applications, by Income, Race and
Ethnicity of Applicant
The existing tables in the Table 5
series show action taken on applications
for various types of loans, detailed by
race/national origin of applicants and
further itemized by income of
applicants. There is one table for each
type of loan, using the same loan types
as in the Table 4 series; the two series
of tables differ only in how the data are
itemized.
The changes mirror those made to the
Table 4 series. The race/national origin
categories are changed, and ethnicity
added in a separate section of data; the
table titles are conformed; and a new
Table 5–7 shows data for manufactured
home loan applications.
6. Table 6 Series—Disposition of
Applications, by Income and Gender of
Applicant
The existing tables in the Table 6
series show action taken on applications
for various types of loans, detailed by
income of applicants and further
itemized by sex of applicants. Again,
there is one table for each type of loan.
The Table 6 series parallels the 4 and 5
series; the only difference is in how the
data are itemized.
The agencies propose to eliminate the
Table 6 series as redundant. The
agencies believe that the Table 6 series
is used very infrequently. Information
on lending patterns by income and sex
of loan applicants remains available in
the 4 and 5 series of tables, as well as
through the modified HMDA–LAR data
that are also publicly available.
7. Table 7 Series—Disposition of
Applications, by Characteristics of
Census Tract in Which Property is
Located
The existing tables in the Table 7
series show action taken on
applications, using the same types of
loans as in the 4, 5, and 6 series, but in
this case detailed by the racial/ethnic
composition and median family income
of the census tract in which the property
is located.

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The Table 7 series remains
unchanged, except for the addition of a
Table 7–7 to reflect manufactured home
loan applications, and the inclusion of
data from census tracts in Puerto Rico.
The issues for the Table 7 series with
regard to the Puerto Rico census tract
data are the same as for Table 3; refer
to the discussion of Table 3 above.
8. Table 8 Series—Reasons for Denial of
Applications, by Race, Ethnicity,
Gender, and Income of Applicant
The existing tables in the Table 8
series cover applications that have been
denied, and show the reasons for denial
detailed by the race, sex, and income of
the loan applicant. As in the other
series, there is one table for each type
of loan, using the same loan types.
The changes made to the Table 8
series mirror those in the 4 and 5 series
in regard to the race/ethnicity categories
and inclusion of ethnicity as a separate
item of data. A new Table 8–7 shows
reasons for denial of manufactured
home loan applications.
9. Aggregate Table 9—Disposition of
Loan Applications, by Median Age of
Homes in Census Tract in Which
Property Is Located and Type of Loan
Existing Aggregate Table 9 shows
action taken on loan applications, by
median age of properties within census
tracts where the subject property is
located and by type of loan. The
Aggregate Table 9 for each MSA covers
the aggregated data for all reporting
institutions in that MSA; no Table 9 is
produced for individual financial
institutions.
Proposed changes to Aggregate Table
9 include adding a column to reflect
data on manufactured home loan
applications and updating the ranges of
median ages of homes by ten years. A
section of data covering median ages
from 1990 through March 2000 will be
added at the beginning of the table; the
section covering median ages of 1949 or
earlier, at the end of the existing
Aggregate Table 9, will be deleted; and
the range 1950–1959 in the existing
table will be changed to 1959 or earlier.
The updated ranges will be used
beginning with the disclosures covering
2003 lending data, scheduled to be
published in summer 2004.
10. Aggregate Table 10—Disposition of
Loan Applications, by Principal City
versus Non-Principal City Property
Location and Type of Loan
Existing Aggregate Table 10 shows
action taken on loan applications, by
property location and by type of loan.
The property location itemization
consists of only two categories: Central

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city in the given MSA, and any other
location in that MSA outside the central
city. No Table 10 is produced for
individual financial institutions.
Changes that would be made to
Aggregate Table 10 include adding a
column for data on manufactured home
loan applications and substituting
‘‘principal city’’ for ‘‘central city,’’ to
reflect terminology adopted by OMB.
B. New Tables and Series of Tables
A number of new tables would be
produced to reflect new data items that
are being collected under revised
Regulation C on loan pricing (the rate
spread), HOEPA status, lien status, and
preapproval requests. The new tables
would also reflect manufactured home
lending in more detail than is given in
the revised existing tables.
1. Table 11 Series—Pricing Information
for Conventional Loans on 1-to-4 Family
Owner-Occupied Dwellings
Under revised Regulation C,
institutions must report the rate spread
between the APR on the loan and the
yield on Treasury securities of
comparable maturity for loans subject to
the Truth in Lending Act (TILA), since
these loans will have an APR for use in
calculating the rate spread. Loans on 1to-4 family owner-occupied homes are
generally subject to TILA, and
accordingly the new Table 11 series
would focus on this category of loans.
(Loans for owner-occupied
manufactured homes are also subject to
TILA, and are covered in Table 12, as
discussed below.) The tables would
focus on conventional loans, because
concern about possible loan pricing
problems has centered on conventional,
rather than government-backed, lending.
Loan pricing data on governmentbacked lending are available to the
public on institutions’ HMDA–LARs.
The Table 11 series comprises Tables
11–1 through 11–6. Table 11–1 covers
conventional first-lien home purchase
loans on 1-to-4 family owner-occupied
dwellings. It would show, for a given
reporting institution in each of the
institution’s MSAs, the number of such
loans for which the institution did not
report rate spread data because the
difference between the APR on the loan
and the yield on the applicable Treasury
security was below the three percentage
point reporting threshold for first-lien
loans. It would also show the number of
such loans for which the institution
reported rate spread data. The table
would then show the number of loans
falling into various ranges of percentage
points above the applicable Treasury
yield, such as 3–3.99, 4–4.99, and so on
up to 8 percentage points or more above

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the Treasury yield. The table would also
show, for loans on which the institution
reported rate spread data, the mean and
median percentage points above the
Treasury yield.
The data in Table 11–1 would be
itemized by the race, ethnicity, income,
and sex of the borrower, and by the
racial/ethnic composition and the
income of the census tract in which the
property is located. The categories used
for the borrower and census tract
characteristics will be identical to those
used in the other tables, as revised.
Table 11–2 will show rate spread data
on the same types of loans as Table 11–
1, secured by subordinate liens. Tables
11–3 and 11–4 are parallel to Tables 11–
1 and 11–2, except that Table 11–3
covers first-lien refinancings and Table
11–4 covers subordinate-lien
refinancings. Tables 11–5 and 11–6,
likewise, reflect data on first-lien home
improvement loans and subordinatelien home improvement loans,
respectively. There is no table showing
rate spread data for unsecured home
improvement loans; under revised
Regulation C, institutions are not
required to report the rate spread for
unsecured home improvement loans.
Tables 11–3 through 11–6 each
include an additional column showing
the number of HOEPA loans made by
the institution in the particular MSA.
(Under TILA, home purchase loans on
1-to-4 family owner-occupied dwellings
are excluded from HOEPA coverage;
thus, there is no comparable HOEPA
column in Tables 11–1 or 11–2.)
The ranges selected in the table
formats for rate spread data are intended
to focus on the most useful data. The
highest range would be 8 percentage
points or more over the comparable
Treasury yield for first-lien loans, and
10 percentage points for subordinatelien loans. It is expected that, for most
lenders, the number of loans falling into
this category would be few or none.
Therefore, ranges beyond 8 or 10
percentage points above the Treasury
yield would appear to have little utility.
In addition, data users will be able to
derive data on ranges at higher rates
from the publicly available HMDA–LAR
data.
One of the triggers for HOEPA
coverage is an APR 8 or more percentage
points over the comparable Treasury
yield for first-lien loans, and 10 or more
percentage points over the comparable
Treasury yield for subordinate-lien
loans. Thus, for the tables with a
column showing the number of HOEPA
loans, there could be some similarity
between the data in that column and the
data in the column showing number of
loans with an APR of 8 or more (or 10

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or more, for subordinate-lien loans)
percentage points over the comparable
Treasury yield. However, there are some
differences between the two columns.
First, the Treasury yield for HOEPA
trigger purposes is the yield in the
calendar month before the month in
which the lender receives the loan
application; the Treasury yield for
HMDA rate spread purposes is the yield
in the month before the date on which
the interest rate on the loan is locked.
Therefore, while the two yields may
often be identical, they may not be in
some cases. Second, a loan can be
classified as a HOEPA loan even though
it does not meet the APR trigger, if it
meets the trigger for HOEPA coverage
based on the loan’s points and fees.
2. Table 12—Disposition of
Applications and Pricing Information
for Conventional Manufactured Home
Purchase Loans, First Lien, OwnerOccupied Dwellings, by Borrower or
Census Tract Characteristics
New Table 12 would focus on
manufactured home lending and would
show two types of information:
Information on action taken on
applications, and rate spread
information for originated loans. The
table would be limited to conventional
first-lien home purchase loans on
owner-occupied dwellings for three
reasons. First, it is expected that the
great majority of manufactured home
loan applications fall into this category.
Second, loans on non-owner-occupied
properties are generally not subject to
TILA and thus will not have an APR
available for calculating rate spread.
And third, with regard to the focus on
conventional lending, the concern about
loan pricing has focused on this area
rather than on government-backed
lending, as in the case of loans on 1-to4 family dwellings discussed above.
For both the action taken section and
the rate spread section, Table 12
itemizes the data by the race, ethnicity,
income, and sex of the applicant, and by
the racial/ethnic composition and
income of the census tract where the
property is located. The categories used
for the borrower and the census tract
characteristics are identical to those
used in the revised existing tables and
in the new Table 11 series.
Table 12’s section on action taken
bears some similarity to new Tables 4–
7, 5–7, and 7–7, which also display
action taken data relating to
manufactured home lending, but there
are significant differences. Tables 4–7,
5–7, and 7–7 show activity on all
manufactured home lending (home
purchase, home improvement, and
refinancings; both conventional and

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government-backed; both owneroccupied and non-owner-occupied; and
both first-lien and subordinate-lien),
while Table 12 is limited to
conventional first-lien home purchase
loans on owner-occupied manufactured
homes.
The rate spread section of Table 12 is
similar to the Table 11 series, except
that the columns showing the numbers
of loans with rate spreads falling into
various ranges are omitted. Thus, the
rate spread data in Table 12 include
columns for the number of loans with
no reported pricing data, the number of
loans with such data reported, and the
mean and median percentage points
over the applicable Treasury yield for
those loans with pricing data reported.
The agencies believe that this
information would be sufficient for
analysis, because it appears that on
average rates in manufactured housing
lending may be higher than in other
mortgage lending, such that most loans
would have rate spreads significantly in
excess of the thresholds. Again, as in
other cases, the more detailed
information can be derived from the
publicly available HMDA–LAR data.
Comment is solicited, however, on
whether Table 12 should be modified to
display more detailed rate spread data.
Also, the rate spread section of Table
12 is limited to home purchase loans,
while the Table 11 series also has tables
covering refinancings and home
improvement loans. As noted above,
however, the majority of manufactured
home loan applications may fall within
the home purchase category. In
addition, Summary Table B, discussed
below, provides some information on
rate spreads for refinancings and home
improvement loans on manufactured
housing.
3. Summary Table A Series—
Disposition of Applications and Loan
Sales by Loan Type
The Summary Table A series would
provide an overview of actions taken by
an institution on loan applications with
a detailed itemization by type of loan.
Summary Table A–1 would show action
taken on applications for loans on 1-to4 family dwellings; Summary Table A–
2 would show the same data for
applications on manufactured home
loans; and Summary Table A–3 would
show the same data for applications
relating to multifamily housing, except
that it would not contain data on
preapproval requests; lending on
multifamily housing would likely not
generally involve preapproval requests
as defined in Regulation C.
The tables would itemize lending by
(1) loan purpose (home purchase,

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refinancing, and home improvement);
(2) lien status (first-lien, subordinatelien, and unsecured); (3) loan type
(conventional, FHA (Federal Housing
Administration), VA (Veterans
Administration), and FSA/RHS (Farm
Service Agency or Rural Housing
Service)); and (4) action taken. The
tables would not show itemization by
applicant or census tract characteristics;
tables in the 4, 5, and 7 series serve that
purpose. Rather, these summary tables
would detail at a glance the types of
lending in which an institution is
engaged.
The summary tables would be
produced in two versions for each
reporting institution. One version would
reflect activity for each MSA for which
the institution reports data and the other
would show the institution’s total
activity nationwide. Both versions
would itemize data by type of action
taken (such as loans originated,
applications approved but not accepted,
and applications denied). In addition,
both versions would show the number
of preapproval requests that resulted in
loan originations and the number of
loans sold by the institution.
Only the nationwide version would
show preapproval requests denied and
preapproval requests approved but not
accepted. Data on preapproval requests
denied and preapproval requests
approved but not accepted cannot be
shown in the MSA version, because to
be included in these tables a loan must
have a property location, and property
location is not reported on a
preapproval request unless the request
goes beyond the preapproval stage, for
example, where it results in a loan
origination.
4. Summary Table B—Loan Pricing
Information for Conventional Loans by
Incidence and Level
Summary Table B would show rate
spread and HOEPA status information
for an institution as a whole, itemized
in a manner similar to the Summary
Table A series (by home purchase,
refinancing, and home improvement;
and by first-lien and subordinate-lien
status). Summary Table B would be
limited to conventional loans because
concerns about loan pricing have
focused primarily on this area.
Summary Table B would not contain
data on multifamily housing loans or on
unsecured home improvement loans,
because rate spread and HOEPA status
data are not available for such loans.
Like the A series, Summary Table B
would be produced in two versions for
each reporting institution, one version
reflecting the activity of that institution
for each MSA for which the institution

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reports data, and another version
showing the institution’s total activity
nationwide.
In some respects, Summary Table B
would display data comparable to that
shown in the Table 11 series and in
Table 12. For example, Table 11–1
shows rate spread data for conventional
first-lien home purchase loans on
owner-occupied 1-to-4 family dwellings;
the first column in Summary Table B
shows the same type of data. Table 11–
2 relates to subordinate-lien loans, as
does the second column in Summary
Table B. There are differences, however.
First, the tables in the Table 11 series do
not show the total number of loans for
the institution, but instead provide
itemizations by borrower and census
tract characteristics. Summary Table B
provides total loan numbers (in various
categories of pricing information, such
as no pricing reported, pricing reported,
and so on), both at the MSA level and
in total activity nationwide. In addition,
the nationwide version of Summary
Table B would include loans for which
no property location was reported (for
example, because the property is located
outside the MSAs in which the
institution has offices), while the Table
11 series does not include such loans.
Thus, a data user could use Summary
Table B to determine at a glance the
overall level of an institution’s loan
pricing, detailed by loan type.
While Summary Table B and Table 12
both focus partly or wholly on
manufactured housing lending data,
there are differences. First, Summary
Table B shows total numbers of loans
for an institution (in various categories
of pricing information) both at the MSA
level and nationwide, but does not
include an itemization by borrower or
census tract characteristics; Table 12
includes the itemization but not the
totals. In addition, Table 12 provides
data only on first-lien home purchase
loans on manufactured housing, while
Summary Table B also provides data on
subordinate-lien home purchase loans,
first- and subordinate-lien refinancings,
and first- and subordinate-lien home
improvement loans. Finally, Summary
Table B shows data on HOEPA status for
first- and subordinate-lien refinancings
and for first- and subordinate-lien home
improvement loans. No data for HOEPA
status are shown for home purchase
loans in either Table 12 or Summary
Table B, because home purchase loans
are excluded from HOEPA coverage
under TILA.
III. Issues on Which Comment Is
Solicited
As discussed above, the Board
proposes to revise the existing public

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Federal Register / Vol. 69, No. 58 / Thursday, March 25, 2004 / Proposed Rules
disclosure tables; to eliminate the Table
6 series; and to add several new tables
and series of tables. The Board solicits
comment on any issues relating to the
proposed revisions, deletions, and
additions. In particular, should any of
the existing tables, in addition to the
Table 6 series, be deleted (and if so,
why)? Should the Table 6 series be
retained? Should any of the proposed
revisions to the existing tables not be
made, or should they be made in a
different manner (for example, to
display more, less, or different detail)?
Should additional revisions to the
existing tables be made? With regard to
the proposed new tables, are any of
them unnecessary, or should any of

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them be adopted in a modified form?
Are any additional new tables needed?
The revised and new tables do not, of
course, display mortgage lending
information derived from the new data
elements being reported in as great a
level of detail as would be possible.
Commenters are requested to bear in
mind, however, that modified HMDA–
LAR application-by-application and
loan-by-loan data for all reporting
institutions are available to the public
upon request, and that data users thus
have the ability to prepare analyses of
mortgage lending patterns, relating both
to actions taken on applications and to
pricing of originated loans, in any way
they choose.

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List of Subjects in 12 CFR Part 203
Banks, Banking, Federal Reserve
System, Mortgages, Reporting and
recordkeeping requirements.
Text of Proposed Revisions
For the reasons set forth in the
preamble, the Board proposes to adopt
revised formats for public disclosure of
mortgage lending data under the Home
Mortgage Disclosure Act, as set forth in
the attachment to this document.
By order of the Board of Governors of the
Federal Reserve System, March 16, 2004.
Jennifer J. Johnson,
Secretary of the Board.
BILLING CODE 6210–01–P

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