| Alaska |
S.B. 231
Signed by governor 6/6/08, Chapter 60
Allows the Alaska Housing Finance Corporation to provide financial assistance to prevent homelessness, including prevention of foreclosures and evictions. |
| Colorado |
H.B. 1402
Signed by governor 6/5/08
Creates the Foreclosure Prevention Grant Fund for the sole purpose of providing outreach and notice of foreclosure prevention assistance to persons in danger of foreclosure and to communities with high foreclosure rates. Requires at least 30 days before filing a notice of election and demand and at least 30 days after default, the mortgage holder shall mail a notice addressed to the debtor at the address shown on its records, containing the telephone number of the Colorado Foreclosure hotline and the direct telephone number of the holder's loss mitigation representative or department. |
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H.R. 1009
Adopted 4/16/08
Concerns the promotion of foreclosure counseling for homeowners in Colorado. |
| Connecticut |
H.B. 5578
Signed by governor 5/12/08, Public Act 58
Extends the law on mortgage payoff statements to reinstatement payment statements. It defines a "reinstatement payment statement" as one that provides the total amount owed that a borrower can pay to cause the loan to be reinstated, provided any other contractual conditions for reinstatement are satisfied. Specifically, the bill requires a lender to, upon written request, provide a reinstatement payment statement in writing to the borrower or borrower's authorized agent by the date noted in the request as long as that date is at least seven business days after the request is received. The bill also shortens the deadline for payoff statements from 10 business days to seven. The borrower's attorney can make the request to the lender if it relates to a default, as long as the request represents that the person is an attorney authorized to do so by the lender. |
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H.B. 5623
Signed by governor 4/29/08, Public Act 22
Allows recipients of Temporary Family Assistance (TFA) or State Supplemental benefits who are foreclosure defendants to be eligible for Department of Social Service (DSS) emergency housing benefits when a foreclosure judgment is entered, rather than when the property owner's right to redeem has expired. |
| District of Columbia |
B17-0101
Signed by mayor, eligible for congressional review 11/27/07, Act A17-0205
Prohibits equity stripping through unscrupulous real property transactions and protects financially distressed homeowners. |
| Florida |
H.B. 643
Signed by governor 5/28/08, Chapter 79
S.B. 992
Laid on table 4/30/08
Provides legislative findings and intent relating to need to protect homeowners who enter into agreements designed to save homes from foreclosure; prohibits foreclosure consultants from engaging in specified acts or failing to perform contracted services; requires all agreements for foreclosure-related services and foreclosure-rescue services to be in writing; specifies required information in written agreements. |
| Georgia |
S.B. 531
Signed by governor 5/13/08, Act 576
Relates to foreclosure on mortgages, conveyances to secure debt, and liens, so as to require a foreclosure to be conducted by the current owner or holder of the mortgage, as reflected by public records; provides for the identity of the secured creditor to be included in the advertisement and in court records; changes the requirement for mailing or delivery of notice to debtor for sales made under the power of sale in a mortgage, security deed, or other lien contract; provides for the content of such notice. |
| Hawaii |
H.B. 2326
Signed by governor 6/3/08, Act 137
Requires mortgage foreclosure rescuers to provide specific information and disclosures to distressed property owners and imposes specific prohibitions on mortgage foreclosure rescuers. |
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S.B. 2454
Signed by governor 6/3/08, Act 138
Amends the mortgage foreclosures law to ensure that consumers and others receive important information regarding a foreclosure in a timely manner. |
| Idaho |
S.B. 1431
Signed by governor 3/18/08, Chapter 192
Provides that all contracts entered into while a residential home is in the foreclosure process must be in writing and that consumers have a five day right of rescission. In addition, a warning for consumers about foreclosure rescue scams is included in foreclosure notification papers and in any written contract. |
| Indiana |
S.B. 62
Signed by governor 3/21/08, Public Law 100
Eliminates the requirement that a sheriff post notice of a foreclosure sale in at least three public places in each township where the real estate is located. |
| Iowa |
H.F. 2653
Signed by governor 4/25/08
H.S.B. 747
Became H.F. 2653 3/13/08
Provides for the regulation of mortgage foreclosure consultant contracts and mortgage foreclosure reconveyance transactions. |
| Kentucky |
H.B. 552
Signed by governor 4/24/08, Chapter 175
Creates a new section of KRS Chapter 198A to permit the Kentucky Homeownership Protection Center to be established by or through the Kentucky Housing Corporation; declares the purpose of the center to be providing a centralized location for information on public services to assist a homeowner who is in default or in danger of default on a home loan; creates a new section of Subtitle 2 of KRS Chapter 286 to require the mortgagee to provide to the homeowner at the time of closing any brochure, pamphlet, or brief document prepared or approved by the Kentucky Housing Corporation that describes services provided by the center; creates a new section of Subtitle 2 of KRS Chapter 286 to declare it is unlawful for a person in the course of a mortgage transaction to improperly influence the development, report, result, or review of a real estate appraisal in connection with a mortgage loan; amends KRS 286.8-010 to define terms; amends KRS 286.8-020 to clarify who is subject to the subtitle; establishes procedure for any mortgage loan company, loan broker, or branch to apply for an exemption; amends KRS 286.8-030 to specify when it is unlawful to make a mortgage loan; amends KRS 286.8-032 to permit the executive director to require electronic filing of applications and fees; exempts a broker from the educational training course required of applicants if the broker has held a license for at least one year and has held a license within a five year period prior to filing the application; requires a broker-applicant to establish that the district, state, or territory from which the applicant applies, resides, or performs the primary portion of his business has rules, regulations, or other provisions which by reciprocity or comity are at least equal to the ones in this section; requires a mortgage loan company or broker to give at least 10 days' notice to the executive director of a change in location or business name or addition of a branch; require every mortgage loan company to maintain an agent for service of process in Kentucky; amends KRS 286.8-034 to increase license fees for each principal office and branch office; amends KRS 286.8-090 to create new actions for which the executive director may suspend or revoke a license or take other action against an applicant, licensee, person, or registrant; declares that surrender or expiration of a license, registration, or exemption shall not affect the licensee's civil or criminal liability for acts committed prior to the surrender or expiration; amends KRS 286.8-100 to allow the executive director to deem an application abandoned when it is received incomplete and the applicant fails to provide required information and fees or fails to respond to a request for information; amends KRS 286.8-110 to prohibit prepayment penalties after the third anniversary of the mortgage or after 60 days prior to the date of the first interest rate reset, whichever is less; restricts prepayment penalties to not more than three percent of the outstanding balance the first year, two percent the second year, and one percent the third year; amends KRS 286.8-140 to permit the executive director to require electronic filing of certain filings and fees; amends KRS 286.8-160 to require mortgage loan companies and brokers to keep records for a period determined by regulation by the executive director but no more than five years after a mortgage loan application is completed; permits preservation of records in an electronic retrievable format; requires a mortgage loan company or broker that will cease operations to notify the executive director prior to discontinuance of the mortgage lending business as to the physical location where records are preserved and requires the designation of a custodian of records; amends KRS 286.8-190 to make technical changes; amends KRS 286.8-220 to prohibit the use of prescreened trigger lead information derived from a consumer report to solicit a consumer who has applied for a mortgage loan with another mortgage loan company or broker under certain conditions; amends KRS 286.8-250 delete the definition of "physical location"; amends KRS 286.8-255 to require registration of mortgage loan originators and mortgage loan processors; permits the executive director to require submission of federal and state criminal background records as part of an application; designates when a certificate of registration expires; requires mortgage loan originators and mortgage loan processors to notify the executive director in writing of a change of employment within 30 days of the change; amends KRS 286.8-260 to require the executive director to approve professional education courses and education providers to meet the continuing professional education requirements; amends KRS 286.8-270 to require the mortgage loan broker to act in good faith towards the borrower and comply with certain duties; amends KRS 286.8-990 to create the Kentucky Residential Mortgage Fraud Act; increase fines that may be imposed by courts for violations of this subtitle; amends KRS 286.8-060 to require surety bonds to be payable to the executive director and provide that bonds shall be available for recovery of expenses, fines, and fees levied by the executive director and for losses and damages; creates new sections of Subtitle 8 of KRS Chapter 286 to create the mortgage lending fraud prosecution account; allows expenditures from the fund for criminal prosecution of fraudulent activities within the residential mortgage lending process; authorizes the executive director to file administrative complaints for potential or actual violations of this subtitle; permits the executive director to levy a civil penalty of $1,000 to $25,000 for violation of any provision of this subtitle or any administrative regulation promulgated thereunder; declares it unlawful for a licensee or entity holding a claim of exemption to broker or fund a mortgage loan if the total net income generated on the loan exceeds $2,000 or four percent of the total loan amount, whichever is greater; authorizes the executive director to establish standards and requirements by administrative regulation for license testing, prelicensure education and continuing education requirements for mortgage professionals subject to testing and education requirements under this subtitle; requires any person applying for a license, registration, or claim of exemption to pass a written examination prior to issuance of a license, registration, or claim of exemption; requires an examination to be held at least weekly in Frankfort and permit an examination to be held on a monthly basis at a location in Kentucky designated by the executive director which is reasonably accessible to all applicants; requires the executive director to bar an applicant for two years from taking the examination if the applicant fails to pass three consecutive times; authorizes the executive director to enter an emergency order suspending, limiting, or restricting the license, claim of exemption, or registration of a mortgage loan company, broker, originator, or processor; amends KRS 360.100 to delete the minimum principal amount of a high-cost home loan; establishes an additional threshold of total points and fees that exceed the greater of $2,000 or four percent of the total loan amount; defines terms; prohibits a high-cost home loan lender from imposing prepayment penalties unless the lender offers the borrower a loan without prepayment penalties and the borrower initials the offer to indicate that the borrower rejected the offer; prohibits prepayment penalties of more than three percent the first 12 months, two percent the second 12 months, and one percent the third 12 months; establishes criteria which means a borrower is presumed to be able to make scheduled payments to repay the loan; requires loan documents to specifically authorize late payment fees if such fees are to be imposed; prohibits a lender from charging a fee for the first request in a calendar year for a written payoff calculation and permit a fee not to exceed $20 for each subsequent request in a calendar year; requires a lender to require an escrow account be established for taxes and insurance; prohibits a lender from using proceeds to repay the principal of an existing loan secured by the borrower's principal dwelling that is not a high-cost home loan; prohibits a lender from allowing a borrower to make payments that are applied only to interest and not to the principal; requires the lender to provide a borrower with timely notice of any material change in the terms of the high-cost loan; requires the lender to verify the borrower's income and financial resources and reasonable ability to repay the loan; creates a new section of KRS Chapter 367 to establish duties of a servicer who collects or processes payments on a residential mortgage loan; amends KRS 367.420 pertaining to home solicitation sales in which security is taken in the principal dwelling of the buyer to permit the buyer to rescind or cancel the transaction until midnight of the tenth, rather than the third, business day following the later of the consummation of the loan transaction or the delivery of the material disclosures required by the Truth in Lending Act. |
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S.R. 90
Adopted 4/15/08
Urge Congress to take emergency action to enact a Homeowners and Banks Protection Act. |
| Maine |
L.D. 2189
Signed by governor 4/11/08, Chapter 596
Enacts measures designed to protect homeowners from equity stripping during foreclosures. This bill requires a business that engages in these transactions as a foreclosure purchaser to be licensed as a supervised lender before conducting business in this state and to meet other statutory requirements. Requires that a foreclosure purchaser must ensure that title is transferred back to the homeowner or that the foreclosure purchaser make a payment to the homeowner of at least 82 percent of the fair market value of the property within 150 days of when the homeowner is evicted or voluntarily gives back possession of the home. The bill requires that foreclosure purchasers verify that a foreclosed homeowner has a reasonable ability to make the payments needed to take back title to the home. The bill provides that there is a rebuttable presumption of a reasonable ability to pay if a homeowner's monthly payments for housing expenses and principal and interest payments do not exceed 60 percent of the owner's monthly gross income. The bill requires that the foreclosed homeowner receive counseling on the advisability of the transaction. Requires that the foreclosure purchaser provide a written contract and certain notices and disclosures to the homeowner. The bill gives a homeowner the right to cancel the transaction within five business days. Prohibits a foreclosure purchaser from making false, deceptive or misleading statements to homeowners and from using unfair or commercially unreasonable terms as part of foreclosure purchase transactions. The bill gives administrative enforcement authority to the Bureau of Consumer Credit Protection within the Department of Professional and Financial Regulation and imposes civil and criminal penalties for violations of the bill's provisions. The bill also gives a foreclosed homeowner the right to bring a private cause of action against a foreclosure purchaser for violations. |
| Maryland |
H.B. 361
Signed by governor 4/3/08, Chapter 6
S.B. 218
Signed by governor 4/3/08, Chapter 5
Alters the applicability of specified provisions relating to the protection of homeowners in foreclosure; alters the contents of a foreclosure consulting contract; prohibits a foreclosure consultant from engaging in or arranging a foreclosure rescue transaction or receiving a commission or money under specified circumstances; requires a foreclosure consultant to be licensed as a real estate broker and to provide research on the value of a home to a homeowner. |
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H.B. 365
Signed by governor 4/3/08, Chapter 2
S.B. 216
Signed by governor 4/3/08, Chapter 1
Prohibits an action to foreclose a mortgage or deed of trust on residential property from being filed until 90 days after default and 45 days after a notice of intent to foreclose is sent, except under specified circumstances; requires personal service of an order to docket or a complaint to foreclose a mortgage or deed of trust on residential property; prohibits a foreclosure sale of residential property from occurring until 45 days after service; requiring one publication of notice of a foreclosure sale. |
| Michigan |
H.R. 306
Adopted 3/20/08
Memorializes the Congress of the United States to pass and the President to sign the Foreclosure Prevention Act of 2008. |
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S.B. 951
Signed by governor 4/15/08, Public Act 54
Relates to the State Housing Finance Authority; expands financing for purchase of certain existing single-family residences to include refinancing. |
| Minnesota |
H.F. 3346
Signed by governor 3/27/08, Chapter 362
S.F. 3073
Provides assistance to prevent mortgage foreclosure; increases the maximum amount of financial assistance. |
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H.F. 3420
Signed by governor 5/18/08, Chapter 341
S.F. 3239
Amends provisions relating to mortgage foreclosure; provides for foreclosure prevention counseling; prescribes preforeclosure and foreclosure notices. |
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H.F. 3474
S.F. 2918
Signed by governor 4/4/08, Chapter 178
Relates to mortgages; provides for proof of abandonment for purposes of a reduced mortgage foreclosure redemption period. |
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H.F. 3476
S.F. 2908
Signed by governor 4/4/08, Chapter 177
Relates to landlord and tenant; provides for certain notices relating to foreclosure. |
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H.F. 3516
Signed by governor 4/25/08, Chapter 238
S.F. 2914
Substituted 4/3/08
Relates to real property; provides specification of certain information about a premises subject to foreclosure; provides for electronic recording; requiring a report. |
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H.F. 3517
Indefinitely postponed 3/10/08
S.F. 2910
Signed by governor 4/4/08, Chapter 174
Amends the statute dealing with expungement of eviction information to require the court to order expungement in an eviction case commenced solely on the grounds that the tenant was holding over possession of the property, if the defendant occupied real property that was subject to a contract for deed cancellation or mortgage foreclosure and: (1) the time for cancellation or redemption had expired and the defendant vacated the property before commencement of the eviction action; or (2) the defendant was a tenant during the cancellation or foreclosure redemption period and did not receive the required notice to vacate on a date prior to commencement of the eviction case. |
| Nebraska |
L.B. 123
Signed by governor 3/10/08
Enacts the Nebraska Foreclosure Protection Act; places requirements on foreclosure consulting contracts. These requirements are generally “full disclosure” types of requirements put in place as a form of consumer protection. Addresses homeowners rights to cancel a foreclosure consulting contract. Outlines certain prohibited actions for foreclosure consultants. Addresses provisions of foreclosure consulting contracts and equity purchase contracts. |
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L.B. 851
Signed by governor 3/19/08
Changes provisions relating to actions for the recovery of title or possession of real estate or foreclosure of mortgages; provides for the foreclosure of deeds of trust. |
| Oregon |
H.B. 3630, Special Session
Signed by governor 3/11/08, Chapter 19
Imposes duties and restrictions on foreclosure consultants. Requires that provision of foreclosure consulting services to homeowners be pursuant to written contract. Makes violation of foreclosure consulting laws unfair trade practice. Makes violation of foreclosure consulting laws criminal offense with maximum penalty of one year's imprisonment, $10,000 fine, or both. Applies to agreements for foreclosure services homeowner enters into 90 or more days after effective date of Act. Imposes duties and restrictions on equity purchasers. Requires that conveyance of homeowner equity in residence in foreclosure be pursuant to written contract. Makes violation of equity conveyance laws unlawful practice. Makes violation of equity conveyance laws criminal offense with maximum penalty of one year's imprisonment, $10,000 fine, or both. Creates private cause of action for damages arising from violation of equity conveyance laws. Applies to equity conveyance agreements equity seller enters into seven or more days after effective date of Act. Requires sending of notice of home loss danger to grantor of trust deed in residential property for which notice of foreclosure is filed. Requires that notice of home loss danger contain telephone numbers for grantor access to loan information and consultant services. Specifies effect of failure to send notice of home loss danger. Applies to residential trust deed properties for which statutory notice of sale is sent 90 or more days after effective date of Act. Requires Department of Consumer and Business Services to adopt rules specifying statewide telephone contact number and Website address where grantors of residential trust deeds receiving notice of home loss danger may find possible sources of information and assistance. |
| Rhode Island |
H.B. 7376
Adopted 3/4/08, Resolution 92
Memorializes the United States Congress to take emergency action to protect homeowners and banks. |
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S.B. 2252
Adopted 2/27/08, Resolution 71
Memorializes the United States Congress to take emergency action to protect homeowners and banks. |
| Tennessee |
H.B. 3748
Signed by governor 4/10/08, Public Chapter 743
S.B. 3337
Allows notice of foreclosure to be sent to debtor at address designated by debtor in any loan document, correspondence, or information from the creditor, and if none, then last known address; allows notice of foreclosure to be sent to debtor at location of the property unless property is vacant, commercial or debtor has designated different address. |
| Vermont |
H.J.R. 49
Adopted 5/3/08
Urges Congress to adopt an emergency bank and homeowner protection act. |
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| Virginia |
H.B. 408
Signed by governor 3/8/08, Chapter 485
Makes persons participating in or servicing foreclosure rescues for profit with the intent to defraud a consumer a violation of the Virginia Consumer Protection Act. |
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S.B. 797
Signed by governor 4/23/08, Chapter 878
Requires high-risk mortgage lenders or servicers to provide written notice of the intention to send a notice to accelerate the loan balance 10 business days prior to sending the notice of acceleration. If the borrower indicates the desire to avoid foreclosure, the high-risk mortgage lender or servicer shall give the borrower 30 calendar days' forbearance. The measure does not apply if the lender makes fewer than four mortgage loans in any 12-month period, if there is an active bankruptcy proceeding, or if a foreclosure sale is scheduled to occur within 30 days. |
| Washington |
H.B. 2791
Signed by governor 3/31/08, Chapter 278
S.B. 6431
Requires a distressed property purchaser and foreclosed homeowner to enter into a distressed property reconveyance in the form of a written contract. Establishes the contract requirements. Makes a violation of the chapter a violation of the consumer protection act. |
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S.B. 6711
Signed by governor 4/1/08, Chapter 322
Establishes the smart homeownership choices program in the Department of Financial Institutions to assist low-income and moderate-income households facing foreclosure. Makes an appropriation from the general fund solely for deposit in the smart homeownership choices program account. Requires the department of financial institutions to enter into an interagency agreement with the Washington state housing finance commission to implement and administer the program. Requires the Washington state housing finance commission to assist homeowners who are delinquent on their mortgage payments to bring their mortgage payments current in order to refinance into a different loan product. |
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