What is covered under HMDA LAR?

HMDA requires lenders to report the ethnicity, race, gender, and gross income of mortgage applicants and borrowers. Lenders must also report information regarding the pricing of the loan and whether the loan is subject to the Home Ownership and Equity Protection Act, 15 U.S.C.

What is the purpose of the Home Mortgage Disclosure Act HMDA?

The Home Mortgage Disclosure Act (HMDA) is a law passed in 1975 that mandates mortgage lenders maintain certain records. The goal is to create greater transparency and to protect borrowers in the residential mortgage market.

How do I submit to HMDA LAR?

1. Download a free copy of the FFIEC HMDA Data Entry Software.
2. Select ‘Add’ Transmittal, and then ‘Add’ Loan Application Register (LAR) records to create a new submission.
3. Prepare your HMDA data submission for the calendar year.
4. Return to the Front Page and perform a ‘Batch Edit’ on the HMDA data.

What is purpose of HMDA?

Enacted in 1975, the purpose of HMDA is to provide the public with loan data that can be used to assess how financial institutions are serving the housing needs of their communities. Not something on commercial lenders’ radar—until now.

What is HMDA reportable?

Several types of loans are HMDA-reportable. HMDA requires that any loan secured by real estate made for the purpose of purchasing a home is reportable on an annual basis to the Federal Financial Institutions Examination Council (FFIEC), which is the federal reporting agency of the Federal Reserve Board.

What are the uses of HMDA data?

HMDA data are used by examiners, community groups and consumer advocates to identify potential fair lending risks. Sometimes, HMDA data are cited in the press as evidence of discrimination when, for example, very high interest rates are more common on mortgages to persons of color than those on mortgages to others.

What is HMDA reporting?

HMDA reporting allows regulators to analyze information on mortgage loans and mortgage lending trends from a variety of angles. Information from HMDA reporting includes a wide variety of statistics such as the number of pre-approvals made, the number of mortgages granted, loan amounts, and statistics on the purposes…