The US Federal Reserve-sponsored panel overseeing the transition from the London Interbank Offered Rate in the United States has asked for a computerized model to be submitted by June that could include an alternative benchmark for mortgages, a panel member said.
“It’s a really aggressive deadline,” Daniel Coates, a Federal Housing Finance Agency official and member of the Fed-backed Alternative Reference Rates Committee, said at a conference last week*.
Once ARRC receives the recommended adjustable-rate mortgage model from its consumer products working group, he said, the full committee will decide whether to issue it for public comment.
US Libor transition panel sets 'aggressive deadline' for mortgage model with alternative rates
20 March 2019 8:23pm