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Federal Reserve Adopts Rules Meant to Protect Home Buyers By Banning “Yield Spread Premiums”

So long “Yield Spread Premiums” as a device to pad the bottom line of mortgage brokers and banks:

“The Federal Reserve on Monday moved to end a controversial lending practice that had helped propel the housing boom to unsustainable heights and then accelerated its collapse.

The Fed announced that it was [...]