Lenders Will Be Limited on Fees Charged, Fed Says

The Federal Reserve will make it harder for lenders to charge fees for early repayment of subprime mortgages, according to consumer advocates and a regulator. The change will probably be one of several recommendations from the Fed's Board of Governors when it gathers in Washington tomorrow to respond to the collapse in the market for subprime home loans. The chairman of the Fed, Ben Bernanke, is under fire from lawmakers who say the Fed didn't do enough to enforce lending rules and was too slow to write new regulations as subprime borrowing.