Govwatch

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 4803 Introduced in Senate (IS)]

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119th CONGRESS
  2d Session
                                S. 4803

 To amend the Truth in Lending Act to include a home equity investment 
loan in the definition of a residential mortgage loan for the purposes 
                  of that Act, and for other purposes.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                             June 17, 2026

  Mr. Merkley introduced the following bill; which was read twice and 
    referred to the Committee on Banking, Housing, and Urban Affairs

_______________________________________________________________________

                                 A BILL

 
 To amend the Truth in Lending Act to include a home equity investment 
loan in the definition of a residential mortgage loan for the purposes 
                  of that Act, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Home Equity Lending Integrity Act''.

SEC. 2. HOME EQUITY INVESTMENT LOANS.

    (a) In General.--Section 103 of the Truth in Lending Act (15 U.S.C. 
1602) is amended--
            (1) in subsection (dd)(5), by inserting ``, including a 
        home equity investment loan,'' after ``means any consumer 
        credit transaction''; and
            (2) by adding at the end the following:
    ``(ff) Home Equity Investment Loan.--The term `home equity 
investment loan' means a transaction that is secured by a mortgage, 
deed of trust, or other equivalent consensual security interest on a 
dwelling or on residential real property, including any option, future, 
or other derivative between a person and a consumer where the consumer 
receives money (or any other item of value) in exchange for--
            ``(1) an interest (or future interest) in a dwelling or 
        residential real property; and
            ``(2) a contingent or certain obligation to pay an amount 
        based, in whole or in part, on the value of the dwelling or 
        residential real property.''.
    (b) Regulations.--The Bureau of Consumer Financial Protection shall 
prescribe regulations that apply section 130 of the Truth in Lending 
Act (15 U.S.C. 1640) with respect to violations under that Act (15 
U.S.C. 1601 et seq.) with respect to home equity investment loans (as 
defined in subsection (ff) of section 103 of that Act (15 U.S.C. 1602), 
as added by subsection (a) of this section).
    (c) Sense of Congress.--It is the sense of Congress that the 
amendment made by subsection (a)(1) reflects the state of the Truth in 
Lending Act (15 U.S.C. 1601 et seq.), as in effect on the day before 
the date of enactment of this Act, and does not make any substantive 
change to how that Act is administered.
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Home Equity Lending Integrity Act

Full Text
