Nontraditional residential mortgages You are probably also aware that the U.S. banking agencies recently issued proposed supervisory guidance on nontraditional mortgages, for which the comment period ended March 29. We appreciate the extensive feedback from the industry and others. The agencies are now in the process of reviewing the comment letters and deciding on a way forward.
While the main focus of the proposed guidance is on banks' ability to adequately identify, measure, monitor, and control the risk associated  2  BIS Review 31/2006  with these products, the proposed guidance also addresses consumer protection, which is what I would like to focus on today.