The OCC
Photographer: Andrew Harrer/Bloomberg
A US BANKING REGULATOR’S MOVE to block state laws forcing national banks to pay interest on mortgage escrow accounts is an end run around post-financial crisis limits on federal preemption powers, state regulators and consumer advocates said.
- The Office of the Comptroller of the Currency in December issued a pair of proposals that aimed to stop states from enforcing mortgage escrow account requirements.
- One proposal would grant federally chartered banks the flexibility to design mortgage escrow accounts as they see fit, including determining whether or not they will pay interest. The second would effectively preempt laws in around a dozen ...