Congress Notices North Carolina’s Progress

To follow up Warick Sabin’s Wednesday post, Rueters reports that a Progressive North Carolina law has influenced federal action regarding the practice of predatory mortgage lending.

The North Carolina law, among other things, set prohibitions on prepayment penalties and financing of upfront, single premium insurance on home loans. It also set restrictions on fees and the terms of high cost home loans.

The Center for Responsible Lending said the North Carolina law is one of the strongest anti-predatory lending laws in the United States. That group estimates that abusive home lending practices cost U.S. consumers $9.1 billion a year.

It’s refreshing to see bipartisan efforts in today’s polarized political climate. That a viable, progressive solution originated in the South is even more encouraging.