GLOSSARY
Home Ownership and Equity Protection Act (HOEPA)
The Home Ownership and Equity Protection Act, often referred to by the initials HOEPA, is a federal law enacted by congress in 1994 and made a part of the Truth in Lending Act as 15 USC 1639 et seq. The law specifically regulates loans against a consumer's home at high rates of interest or that contain high costs and fees. A HOEPA loan is subject to specific disclosure requirements and certain types of terms are prohibited under specified circumstances.
As with other parts of the Truth In Lending Act, the specific details of the law are contained in Regulation Z. In December 2001, the Federal Reserve Board amended the HOEPA regulations to include more types of loans under its disclosure requirements and reorganized Regulation Z to include a section listing certain prohibited acts or practices in covered consumer home loans.
