In a letter to the Federal Housing Finance Agency yesterday, the American Bankers Association commended the agency for swiftly replacing its Monthly Interest Rate Survey with an alternative index, the PMMS+ index. The MIRS index—which had been used by many lenders to benchmark interest rates on various mortgage products—was discontinued in May.
In the letter, ABA noted that in establishing the PMMS+ index, “FHFA’s analysis and recommendations to be well-founded, workable and a relief to affected lending institutions and their customers.” The association added that FHFA’s “assertive actions have limited commercial economic risks and the possibility of disruptive litigation, and have well-served the interests both of consumers and the lenders who supply their credit needs.
