ENCOURAGING CREDITWORTHINESS.

SEC. 1229. ENCOURAGING CREDITWORTHINESS.(a) Sense of the Congress.—It is the sense of the Congress that—(1) certain lenders may sometimes offer credit to consumers indiscriminately, without taking steps to ensure that consumers are capable of repaying the resulting debt, and in a manner which may encourage certain consumers to accumulate additional debt; and(2) resulting consumer debt may increasingly be a major contributing factor to consumer insolvency.(b) Study Required.—The Board of Governors of the Federal Reserve System (hereafter in this section referred to as the “Board”) shall conduct a study of—(1) consumer credit industry practices of soliciting and extending credit—(A) indiscriminately;119 STAT. 201(B) without taking steps to ensure that consumers are capable of repaying the resulting debt; and(C) in a manner that encourages consumers to accumulate additional debt; and(2) the effects of such practices on consumer debt and insolvency.(c) Report and Regulations.—Not later than 12 months after the date of enactment of this Act, the Board—(1) shall make public a report on its findings with respect to the indiscriminate solicitation and extension of credit by the credit industry;(2) may issue regulations that would require additional disclosures to consumers; and(3) may take any other actions, consistent with its existing statutory authority, that the Board finds necessary to ensure responsible industrywide practices and to prevent resulting consumer debt and insolvency.