Bill to enhance mortgage servicer oversight introduced in Congress

by Francis Monfort19 Jun 2018

Rep. Maxine Waters (D-Calif.) has introduced a bill that would increase oversight on mortgage services to protect homeowners facing foreclosure.

Under H.R. 6102, or the Homeowner Mortgage Servicing Fairness Act of 2018, Federal Housing Finance Agency’s (FHFA) oversight of mortgage servicers that conduct business with Fannie Mae and Freddie Mac will be increased. Fannie Mae and Freddie Mac own or guarantee nearly 60% of all mortgage loans.

To prevent harmful mortgage servicing practices, the bill also requires documentation of servicer behavior and FHFA evaluation of the services provided to borrowers. It also penalizes servicers who fail to meet minimum standards established by the FHFA.

“Mortgage servicers play a critical role in determining whether homeowners experiencing financial hardships will be forced out of their homes,” said Waters, a ranking member of the House Committee on Financial Services. “However, despite the lessons learned during the foreclosure crisis, we continue to uncover evidence of bad behavior by our nation’s mortgage servicers. Borrowers can’t choose their servicer, so it’s especially important that Congress provide strong protections to prevent servicers from taking advantage of borrowers and to protect borrowers from foreclosure. This bill will implement common-sense reforms to ensure that servicers are giving borrowers every possible opportunity to avoid foreclosure.”

The legislation is supported by the National Consumer Law Center and the National Fair Housing Alliance, according to a news release.

 

Related stories:
Nationstar to fork over $1.5 million for illegal inspection fees
FTC charges firm that promised to prevent foreclosures

 

COMMENTS

  • by HOMEOWNER IN DISTRESS | 6/20/2018 8:36:37 AM

    Chase bank has homeowners drowning in legal fees. Fighting to save their homes. Destroying quality of lives, juggling daily. Family, Stress, and the legal battle Chase has created.

    Many cases of Making Homes Affordable our still surfing. HOMEOWNERS HAVE NO SUPPORT!!! Not one division in the state of New Jersey is able to help or support. Just watching families foreclosed from their rights.

    Chase has an ARMY of lawyers to wrongfully take our homes after we worked so hard to support our families. To provide shelter for our families and CHASE breaches its contract, leads the homeowner, refuses to correct CHASE's errors and the damages they have cased.
    Years and Years. to the point of confusion. Muddying the record.

    WE NEED SERIOUS RELIEF. WE NEED ACTION. THE BANKS SHOULD BE HELD ACCOUNTABLE
    AS THE HOMEOWNERS SHOULD RECEIVE RELIEF.

    The homeowners are left standing alone to face the damages and the banks. The banks destroy the homeowners financial stability and credit. WRONGFULLY FORCING HOMEOWNERS OUT OF THEIR HOME. Chase breached contracts on purpose, managed to wrongfully disqualify the homeowners of the Hardest Hits Funds, and Making Homes Affordable.

    NO OFFICE in the state of New Jersey is willing to fight for the homeowner!!! LEGISLATION NEEDS TO BE PASSED ASAP. Protect families. Protect our future. Protect our quality of life. Treat people with dignity. Protect our children! LEGISLATION NEEDS TO BE PASSED ASAP. Homeowner in distress, Done wrong by the CHASE Bank . There is thousands of victims like my family and we need LEGISLATION ASSISTANCE. LEGISLATION TO PROVIDE LEGAL ASSISTANCE.

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