Home Owners’ Loan Act Law and Legal Definition
The Home Owners’ Loan Act (HOLA) is a U.S. federal legislation that was designed to provide emergency relief with regard to home mortgage indebtedness and to refinance home mortgages. It was one of the principal cornerstones of New Deal banking reform legislation. HOLA created a system for the chartering and regulation of federal savings associations to facilitate consumer savings and home construction and purchases through affordable mortgage lending. HOLA also amended the Federal Home Loan Bank Act.
The HOLA was enacted in 1933. Provisions of the Act are found under 12 USCS §§ 1461 et seq.
The HOLA was substantially amended in 1989 by the Financial Institutions Regulation, Recovery & Reform Act (FIRREA).