WASHINGTON -- The Mortgage Bankers Association of America has formed the consumer protection statutes task force largely m address a recent rash of class actions targeting home lenders.
More than 20 suits related to infractions of the Truth-in-Lending Act have been filed against lenders since July.
The actions are based on a Miami federal court decision in Rodash vs AIB Mortgage, which deemed a minor Truth-inLending violation grounds for rescinding a retinaneed home loan.
The new task force will study ways to revise aspects of the Truth-in-Lending Act. It will meet for the first time later this month.
"I am hopeful we can come up with some concrete action plans," said Robert J. Jacobs, chief legal officer, Chase Home Mortgage Corp., Tampa. Fla., and a task force member.