Which of the following is a primary goal of the Dodd-Frank Act?

The primary goal of the Dodd-Frank Act is to increase accountability among mortgage lenders. This piece of legislation was introduced in response to the financial crisis of 2007-2008, aiming to ensure greater transparency and accountability within the financial sector, particularly in the mortgage lending process. By enforcing stricter regulations on lenders and requiring them to adhere to more responsible lending practices, the Dodd-Frank Act helps to prevent the kind of predatory lending that contributed to the financial meltdown. This is reflected in provisions that establish standards for mortgage lending and protect consumers from unfair practices, ultimately leading to a more stable financial system.

The other options, while they may relate to aspects of housing and mortgages, do not encapsulate the central focus of the Dodd-Frank Act. The promotion of homeownership or reducing the need for mortgage insurance does not capture the essence of regulatory reform aimed at protecting consumers and holding lenders accountable. Additionally, lowering interest rates on loans is influenced by broader economic factors and monetary policy, which are not directly addressed by the Dodd-Frank legislation. Therefore, the focus on accountability directly correlates with the act’s overarching objectives.