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Proposal Would Block Federal Preemption of State Foreclosure Rules
By Matt Squire
printTwo U.S. lawmakers proposed a measure that would prohibit federal financial institution regulators from preempting state mortgage foreclosure laws. Representatives Brad Miller, a North Carolina Democrat, and Steve LaTourette, an Ohio Republican, on Wednesday introduced an amendment to a broader housing bill that would extend state foreclosure rules to nationally chartered financial institutions. The broader bill, proposed by Representative Barney Frank, would extend $300 billion in new Federal Housing Administration loan guarantees to borrowers at risk of foreclosure and give state authorities grant $15 billion to purchase foreclosed properties. "There is no reason national bank and federal thrifts should be...
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