Getting a mortgage is a confusing process. Lenders prey on the ignorance of ordinary consumers, making much of their profit from their advantage in knowledge.
THE LAT: New federal rules would require banks to provide homeowners with better information about their mortgages to avoid costly surprises, such as sharp interest rate increases, and provide better service to help them avoid foreclosure.
The rules, to be proposed Friday by the Consumer Financial Protection Bureau, are designed to prevent a repeat of the foreclosure crisis. They track an outline released in April by the agency, which was created in 2010 in part to help protect borrowers.
The public will have two months to comment on rules, and the consumer bureau aims to make them final in January.