HOEPA is an addendum to which law?

The correct answer is that HOEPA is an addendum to TILA, which stands for the Truth in Lending Act. HOEPA, or the Home Ownership and Equity Protection Act, was enacted as an amendment to TILA to address and curb abusive lending practices, specifically in high-cost mortgage transactions. By extending the requirements of TILA, HOEPA requires lenders to provide additional disclosures about the terms and costs of loans that exceed certain thresholds, enabling consumers to make more informed decisions.

TILA's main purpose is to promote the informed use of consumer credit by requiring disclosures about its terms and costs. Since HOEPA is specifically related to protecting consumers in the context of high-cost loans, it serves as a critical layer of consumer protection under the broader framework of TILA. This relationship emphasizes the importance of transparent lending practices and ensures that borrowers are fully aware of the implications of their mortgage terms.

The other options, while significant in their own rights, do not relate directly to HOEPA. ECOA, or the Equal Credit Opportunity Act, focuses on preventing discrimination in credit lending; FCRA, or the Fair Credit Reporting Act, regulates the collection and use of consumer credit information; and RESPA, or the Real Estate Settlement Procedures Act, governs the disclosure of settlement