PART V: RECOMMENDATIONS FOR CONGRESS.

1. The Congress should conduct hearings on a broad spectrum of Fair Lending issues.

   The Senate and House Banking Committees should conduct hearings on the failure of the Fair Lending enforcement agencies to ensure that minority communities are not underserved by mortgage lenders.

   The Senate and House Banking Committees should also conduct hearings on practices of mortgage lenders in minority communities.

2. Congress should enact legislation to facilitate creating state-based financial consumers associations.

   In the long run, the only effective antidote to regulatory failure and legislative inaction is provided by creating vigorous watchdog organizations that are democratically controlled and voluntarily funded by citizens. The mission of these financial consumers associations would include:

   1. Representing citizen and local community interests before agencies, legislative bodies, the courts and in negotiations with financial service providers;

   2. Disseminating information and advice to citizens on specific financial services offered in their local markets;

   3. Assisting citizens in the resolution of consumer complaints regarding financial services.

      An independent advocacy and watchdog organization could:

      • Monitor the performance of mortgage lenders in minority communities; and

      • Advocate policies that will ensure reasonable access to credit for underserved populations.