S. 2764

A bill to amend the Servicemembers Civil Relief Act to enhance protections for servicemembers relating to mortgages and mortgage foreclosures, and for other purposes.

Latest

II

110th CONGRESS

2d Session

S. 2764

IN THE SENATE OF THE UNITED STATES

March 13, 2008

Mr. Kerry introduced the following bill; which was read twice and referred to the Committee on Armed Services

April 3, 2008

Committee discharged; referred to the Committee on Veterans' Affairs

A BILL

To amend the Servicemembers Civil Relief Act to enhance protections for servicemembers relating to mortgages and mortgage foreclosures, and for other purposes

1.

Enhancement of protections for servicemembers relating to mortgages and mortgage foreclosures

(a)

Treatment of mortgages as obligations subject to interest rate limitation

Section 207 of the Servicemembers Civil Relief Act (50 U.S.C. App. 527) is amended—

(1)

in subsection (a)(1), by striking in excess of 6 percent and all that follows and inserting “in excess of 6 percent—

(A)

during the period of military service and one year thereafter, in the case of an obligation or liability consisting of a mortgage, trust deed, or other security in the nature of a mortgage; or

(B)

during the period of military service, in the case of any other obligation or liability.

; and

(2)

by striking subsection (d) and inserting the following new subsection:

(d)

Definitions

In this section:

(1)

Interest

The term interest includes service charges, renewal charges, fees, or any other charges (except bona fide insurance) with respect to an obligation or liability.

(2)

Obligation or liability

The term obligation or liability includes an obligation or liability consisting of a mortgage, trust deed, or other security in the nature of a mortgage.

.

(b)

Extension of period of protections against mortgage foreclosures

(1)

Extension of protection period

Subsection (c) of section 303 of the Servicemembers Civil Relief Act (50 U.S.C. App. 533) is amended by striking 90 days and inserting one year.

(2)

Extension of stay of proceedings period

Subsection (b) of such section is amended by striking 90 days and inserting one year.

(c)

Effective date

The amendments made by this section shall take effect on the date of the enactment of this Act.