Finance

Which law prohibits predatory lending practices such as excessive fees, loan flipping, and packing unnecessary products into loans?

AThe Equal Credit Opportunity Act (ECOA)
BThe Home Ownership and Equity Protection Act (HOEPA)✓ Correct
CThe Truth in Lending Act (TILA)
DThe Real Estate Settlement Procedures Act (RESPA)

Explanation

HOEPA (Home Ownership and Equity Protection Act) specifically targets predatory lending by imposing additional requirements and restrictions on high-cost mortgage loans, including prohibitions on certain abusive practices.

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