Loan Data Reporting Requirements for Regulation C

D

Regulation C, also known as the Home Mortgage Disclosure Act (HMDA), requires certain financial institutions to collect and report data on mortgage lending activity. The purpose of HMDA is to provide information to regulators, public officials, and the public to help determine whether financial institutions are serving the housing needs of their communities and to identify potential discriminatory lending patterns.

Of the data that must be reported for each application for an originated loan subject to Regulation C, the one that is NOT required to be reported is the interest rate on the loan.

Here's a breakdown of the other types of data that must be reported for each application for an originated loan:

A. Purpose of the loan: The purpose of the loan refers to the reason the borrower is seeking the loan, such as to purchase a home or to refinance an existing mortgage.

B. Race, ethnicity, and sex of the applicant: This data is used to help identify potential discriminatory lending patterns. Collecting this information helps ensure that lenders are not denying credit to borrowers on the basis of their race, ethnicity, or sex.

C. Type of action taken and the date: This refers to the outcome of the loan application, such as whether the loan was approved, denied, withdrawn, or purchased by another institution. The date the action was taken must also be reported.

D. The interest rate on the loan: While lenders are required to collect information on the interest rate of the loan, they are not required to report this information for each application. Instead, lenders must report the annual percentage rate (APR) for each loan, which includes not only the interest rate but also other fees associated with the loan.

In summary, of the types of data required to be reported for each application for an originated loan subject to Regulation C, the one that is NOT required to be reported is the interest rate on the loan.