mortgage loan lenders
Freddie Mac and Fannie Mae reported that they will charge mortgage loan lenders with increased risk fees. Actually, the mortgage insurance houses charge lenders more for buying the loans and selling them to investors. Besides, these increased charging for getting loans can be transfered to the borrowers.
On Friday, the government reported about the plan that is aimed to result in the potential wind-down of the government-backed mortgage companies. Officials are concerned about this as they suppose that the process will last for years and Tim Geithner, the Treasure Secretary stated that administration will stay behind Fannie and Freddie's obligations in the meantime.
US regulators were accused by the lawmakers who went too far on lending rule. They overstepped their authority and ignored the intents of the Congress.