The Congress enacted HOEPA in 1994 in response to concerns about abusive lending in the home equity market, and the Federal Reserve Board was given broad authority to implement its provisions and to adopt regulations that the Board finds to be necessary and proper to effectuate its purposes.
In addition, the Board has the responsibility to prohibit acts or practices it finds unfair or deceptive, or otherwise designed to evade HOEPA. The Board understands its rulemaking responsibility under HOEPA but is not alone in facing the important task of preventing unfair and deceptive practices. Other regulators share in our responsibility to ensure responsible mortgage lending through enforcement powers.