Message from Fed Chief About Lenders

This article is from REALTOR® Magazine - Online Interactive Edition
Daily Real Estate News for April 11, 2008

Fed Chief's Message: Think About Future

Federal Reserve Chairman Ben Bernanke on Thursday urged policymakers to strengthen oversight of mortgage lenders in order to prevent future financial crises.

"We do not have the luxury of waiting for markets to stabilize before we think about the future," Bernanke said in a speech in Richmond, Va.

Bernanke urged increased transparency, improved risk management and better coordination among regulators.

Better consumer protections and disclosures also would help prevent a repeat of current mortgage and credit problems, Bernanke said.

Many economists believe the Fed will again lower rates when it meets later this month.

Source: The Associated Press, Jeannine Aversa (04/10/08)