May 04, 2004
Washington, DC – Congresswoman Barbara Lee (D-CA) today fundamentally improved the Bush Administration’s new Zero-Down Payment Initiative, H.R. 3775, by having three amendments accepted by the House Financial Services’ Subcommittee on Housing and Community Opportunity.
Gaining the backing of Subcommittee Chairman Bob Ney (R-OH), Lee had amendments accepted, including requiring the Department of Housing and Urban Development (HUD) to report annually on the success of the zero-down program as it relates to foreclosure and default rates, in comparison to the standard FHA program and the American Dream Down payment program; requiring HUD to draft a generic disclosure of the program’s additional costs and fees for zero-down participants at the application stage; and providing borrowers in danger of foreclosure the option of contacting borrowing counselors instead of being hounded by lenders. The bill passed unanimously.
“The subcommittee worked together to incorporate several of my requests,” said Lee. “These are the sort of actions that we should be taking because to build wealth in a community, policymakers must help people understand their financial situation. I think that these amendments will help make home mortgages more transparent and understandable for borrowers.”
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Congresswoman Barbara Lee Has Three Amendments Accepted in Zero-Down Payment Initiative
Bill Passes House Committee Unanimously
Washington, DC – Congresswoman Barbara Lee (D-CA) today fundamentally improved the Bush Administration’s new Zero-Down Payment Initiative, H.R. 3775, by having three amendments accepted by the House Financial Services’ Subcommittee on Housing and Community Opportunity.
Gaining the backing of Subcommittee Chairman Bob Ney (R-OH), Lee had amendments accepted, including requiring the Department of Housing and Urban Development (HUD) to report annually on the success of the zero-down program as it relates to foreclosure and default rates, in comparison to the standard FHA program and the American Dream Down payment program; requiring HUD to draft a generic disclosure of the program’s additional costs and fees for zero-down participants at the application stage; and providing borrowers in danger of foreclosure the option of contacting borrowing counselors instead of being hounded by lenders. The bill passed unanimously.
“The subcommittee worked together to incorporate several of my requests,” said Lee. “These are the sort of actions that we should be taking because to build wealth in a community, policymakers must help people understand their financial situation. I think that these amendments will help make home mortgages more transparent and understandable for borrowers.”
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