Our Consumer Advisory Council, which includes consumer advocates and industry representatives, provided us with valuable information about nontraditional mortgage products during development of the interagency guidance. In addition, the Federal Reserve held a series of four public hearings on home-equity lending during the summer of 2006.
One of the principal purposes of the hearings was to gather information to inform the Federal Reserve’s review of its Truth in Lending rules. A significant portion of the hearings was devoted to discussing nontraditional mortgage products, and in particular, whether consumers receive adequate information about these products.