CDCU Leader Seeks National Curbs OnPredatory Lending

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WASHINGTON - (05/24/05) -- Martin Eakes, a leading of thecommunity development credit union movement, will call on CongressTuesday to pass legislation to establish national barriers topredatory lending. Eakes, the head of Self-Help CU and itsaffiliate the Center for Responsible Lending, will testify duringhearings before a House Financial Services subcommittee on behalfof legislation modeled after a North Carolina law he helped passthat bans 'flipping,' or constant refinancing to generate new fees,and high prepayment penalties. The Financial Services Committee isalso considering a proposal that would preempt the North Carolinalaw and those in several other states in an effort to establishnational standards to fight predatory lending.

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