OTS Announces Parity Act Changes:(PDF: 121 KB / 60 pages) The Office of Thrift
Supervision (OTS) removed prepayment penalties and late fees from the
list of OTS regulations that applied to state housing creditors under
the Alternative Mortgage Transactions Parity Act (Parity Act). This
means that state housing creditors, such as mortgage bankers, are subject
to state laws and regulations concerning prepayment penalties and late
fees, rather than OTS rules. Federally-chartered thrifts supervised
by OTS will continue to follow OTS rules. These changes to the Parity
Act became effective on July 1, 2003.