Beatty Bipartisan Financial Literacy Bill Passes Committee
Yesterday, the House Committee on Financial Services overwhelmingly passed U.S. Congresswoman Joyce Beatty’s (OH-03) bill, the Housing Financial Literacy Act of 2019, H.R. 2162. If enacted, the bill would give first-time homebuyers who complete a Department of Housing and Urban Development (HUD)-certified housing counseling course a discount on their Federal Housing Administration (FHA) mortgage insurance premium of 25 basis points (or 0.25 percent).
“Motivating first-time homebuyers to seek vital pre-purchase counseling and equipping them with the much-needed financial skills and tools to make informed financial decisions benefits their families, the surrounding neighborhood, and our entire economy,” Beatty said. “I am pleased to see my bill move one step closer to becoming law, and many thanks to my Democratic and Republican colleagues for their support.”
Studies confirm that homebuyers who receive pre-purchase housing counseling are nearly one-third less likely to fall behind on their mortgage and thereby face a reduced risk of foreclosure. The bill now moves out of Committee to the House Floor for full consideration by the entire U.S. House of Representatives.