It needs a parallel move, as well. Sadly, both are pipe dreams in the current government.
Recall that President Joe Biden (D) has pushed, through the Federal Housing Finance Agency, his Loan-Level Price Adjustment rule which penalizes Americans with good credit scores by requiring mortgage lenders to charge them higher interest rates in order to lower the rates charged those mortgage borrowers who have poor credit scores.
Senator Roger Marshall (R, KS) and Senator Mike Braun (R, IN) have introduced the Middle Class Borrower Protection Act that would block Biden’s move.
This is a good initial move, but it wants a separate, parallel move: reduce the funding of the FHFA by the aggregated dollar amount of the loan rate increase that Americans with good credit scores would be forced to pay were the Biden Rule left intact. Leave that reduction in place, and freeze the FHFA’s remaining budget at its current level for a minimum of five years (to remove it from election cycles), with automatic extensions of the freeze until Congress is satisfied that no one in the agency is working on ways to get around the MCBPA’s bar.
Sadly, both are pipe dreams at present: there are too many Progressive-Democrats in the Senate for either legislation to pass.