French banks must tighten mortgage standards, central banker warns

PARIS (Reuters) - French banks must tighten mortgage lending standards or they will be told to stump up extra capital for risky loans, the head of the central bank governor said on Tuesday in a blunt warning.As interest rates have fallen to record lows, many French households have binged on cheap credit to buy a home or refinance previous loans, driving up house prices and debt burdens to record levels.At nearly 7% in a year, mortgage lending growth in France has outpaced almost all other euro..