[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1210 Referred in Senate (RFS)]
<DOC>
114th CONGRESS
1st Session
H. R. 1210
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
November 19, 2015
Received; read twice and referred to the Committee on Banking, Housing,
and Urban Affairs
_______________________________________________________________________
AN ACT
To amend the Truth in Lending Act to provide a safe harbor from certain
requirements related to qualified mortgages for residential mortgage
loans held on an originating depository institution's portfolio, and
for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Portfolio Lending and Mortgage
Access Act''.
SEC. 2. SAFE HARBOR FOR CERTAIN LOANS HELD ON PORTFOLIO.
(a) In General.--Section 129C of the Truth in Lending Act (15
U.S.C. 1639c) is amended by adding at the end the following:
``(j) Safe Harbor for Certain Loans Held on Portfolio.--
``(1) Safe harbor for creditors that are depository
institutions.--
``(A) In general.--A creditor that is a depository
institution shall not be subject to suit for failure to
comply with subsection (a), (c)(1), or (f)(2) of this
section or section 129H with respect to a residential
mortgage loan, and the banking regulators shall treat
such loan as a qualified mortgage, if--
``(i) the creditor has, since the
origination of the loan, held the loan on the
balance sheet of the creditor; and
``(ii) all prepayment penalties with
respect to the loan comply with the limitations
described under subsection (c)(3).
``(B) Exception for certain transfers.--In the case
of a depository institution that transfers a loan
originated by that institution to another depository
institution by reason of the bankruptcy or failure of
the originating depository institution or the purchase
of the originating depository institution, the
depository institution transferring such loan shall be
deemed to have complied with the requirement under
subparagraph (A)(i).
``(2) Safe harbor for mortgage originators.--A mortgage
originator shall not be subject to suit for a violation of
section 129B(c)(3)(B) for steering a consumer to a residential
mortgage loan if--
``(A) the creditor of such loan is a depository
institution and has informed the mortgage originator
that the creditor intends to hold the loan on the
balance sheet of the creditor for the life of the loan;
and
``(B) the mortgage originator informs the consumer
that the creditor intends to hold the loan on the
balance sheet of the creditor for the life of the loan.
``(3) Definitions.--For purposes of this subsection:
``(A) Banking regulators.--The term `banking
regulators' means the Federal banking agencies, the
Bureau, and the National Credit Union Administration.
``(B) Depository institution.--The term `depository
institution' has the meaning given that term under
section 19(b)(1) of the Federal Reserve Act (12 U.S.C.
505(b)(1)).
``(C) Federal banking agencies.--The term `Federal
banking agencies' has the meaning given that term under
section 3 of the Federal Deposit Insurance Act.''.
(b) Rule of Construction.--Nothing in the amendment made by this
Act may be construed as preventing a balloon loan from qualifying for
the safe harbor provided under section 129C(j) of the Truth in Lending
Act if the balloon loan otherwise meets all of the requirements under
such subsection (j), regardless of whether the balloon loan meets the
requirements described under clauses (i) through (iv) of section
129C(b)(2)(E) of such Act.
Passed the House of Representatives November 18, 2015.
Attest:
KAREN L. HAAS,
Clerk.