Sen. Gary Peters, D-Mich., introduced the bipartisan Housing Financial Literacy Act Thursday, to coincide with National Homeownership Month.
The bill would provide first-time home buyers who complete a Department of Housing and Urban Development (HUD)-certified housing counseling course the opportunity to claim a .25% deduction on their Federal Housing Administration (FHA) mortgage insurance premium.
“Improving financial education and providing communities with the resources to invest is a hallmark of the credit union industry. Sen. Peters’ legislation would incentivize first-time homebuyers to participate in financial literacy programs by offering a discount on FHA mortgage-insurance premium payments – a welcomed contribution as mortgage interest rates remain high and closing costs are on the rise,” said America’s Credit Unions President/CEO Jim Nussle. “Research has shown that financial literacy programs drastically lower late payment and default rates. Credit unions across the country are committed to ensuring their members have access to the best products and services so the American dream of homeownership is more attainable and affordable.”
“The Michigan Credit Union League (MCUL) strongly supports this bill, which offers a .25% deduction on FHA mortgage insurance premiums for first-time home buyers who complete a HUD-certified housing counseling course,” said Patty Corkery, president/CEO of the MCUL. “We believe that financial education empowers consumers to make informed decisions, and there’s no bigger financial decision a buyer can make than home ownership. We are proud to back initiatives like this that promote financial wellbeing and support Michigan families in achieving their home ownership dreams.”
America’s Credit Unions’ legacy organizations supported the bill from Peters in the previous Congress.
