H.R. 1486House111th Congress (2009-2011)In Committee

Mortgage Credit Repair Act of 2009

Introduced March 12, 2009

Legislative Activity

Stay on top of the latest movement without scrolling through every action

1 earlier action
HouseIntro Referral Latest Action

Referred to the House Committee on Financial Services.

March 12, 2009

View full timeline
HouseIntro Referral

Introduced in House

March 12, 2009

HouseIntro Referral

Referred to the House Committee on Financial Services.

March 12, 2009

Floor Debate

23 members

What members said about H.R. 1486 on the floor

9 Republicans14 Democrats
Mark Kirk
Rep. Mark KirkR-IL-10 · Jul 9, 2009

Mr. Chairman, I yield myself such time as I may consume. I'm pleased to join Chairwoman Lowey at the beginning of the consideration of this bill making appropriations for fiscal year 2010 for the…

Nita M. Lowey
Rep. Nita M. LoweyD-NY-18 · Jul 9, 2009

Mr. Chairman, I yield myself such time as I may consume. Mr. Chairman, I'm pleased to present H.R. 3081, the fiscal year 2010 appropriations bill for the Department of State, Foreign Operations, and…

Jerry Lewis
Rep. Jerry LewisR-CA-41 · Feb 25, 2009

Mr. Speaker, like many of my colleagues, I'm embarrassed by this omnibus spending bill and the process that created it. Even as the President talks about the need to put our economic house in order,…

David R. Obey
Rep. David R. ObeyD-WI-7 · Feb 25, 2009

Mr. Speaker, pursuant to House Resolution 184, I call up the bill (H.R. 1105) making omnibus appropriations for the fiscal year ending September 30, 2009, and for other purposes, and ask for its…

Jose E. Serrano
Rep. Jose E. SerranoD-NY-16 · Feb 25, 2009

Just for clarification to the gentlewoman (Mrs. Emerson), the D.C. School Vouchers Program will remain in effect. It has been funded this year for $14 million. It remains in effect until June of…

Show 8 more
Carolyn B. Maloney
Rep. Carolyn B. MaloneyD-NY-14 · Feb 25, 2009

Mr. Speaker, I am pleased to support H.R. 1105, the FY2009 Omnibus Appropriations Act. The $410 billion omnibus bill encompasses nine separate appropriations measures that stalled last year when the…

Silvestre Reyes
Rep. Silvestre ReyesD-TX-16 · Feb 25, 2009

Mr. Speaker, I rise today in support of H.R. 1105, the FY 2009 Omnibus Appropriations Act. I support this omnibus package because it rejects the harmful cuts that former President Bush insisted on in…

Rodney P. Frelinghuysen
Rep. Rodney P. FrelinghuysenR-NJ-11 · Feb 25, 2009

Mr. Speaker, I rise in opposition to this omnibus appropriations bill for many reasons, not the least of which is that this bill adds even more spending on top of the stimulus package that we just…

Steve Buyer
Rep. Steve BuyerR-IN-4 · Jul 9, 2009

I have an amendment at the desk. Mr. Chairman, I yield myself 3 minutes. It is very clear that Americans are feeling the burden of a shrinking economy, empty pocketbooks and also economic…

Cliff Stearns
Rep. Cliff StearnsR-FL-6 · Jul 9, 2009

I have an amendment at the desk. Mr. Chairman, the gentlelady from New York talked about bipartisanship. This is a bipartisan amendment. The President has requested $373 million be allocated to the…

Sam Farr
Rep. Sam FarrD-CA-17 · Jul 9, 2009

Thank you very much, Madam Chair. I rise in strong support of this. And the answer to your question is the President has not endorsed your position. He has not asked us to cut this amount. The reason…

Peter J. Visclosky
Rep. Peter J. ViscloskyD-IN-1 · Feb 25, 2009

I just want to respond very briefly to my colleague from New Jersey (Mr. Frelinghuysen), who is our ranking member. I appreciate your kind words. Certainly, as we head forward to 2010, I look forward…

John Conyers, Jr.
Rep. John Conyers, Jr.D-MI-14 · Feb 25, 2009

Mr. speaker, today I rise in strong support of H.R. 1105, The Omnibus Appropriations Act of 2009. This important legislation stands as a marker stone on the path to a sustainable and just economic…

Show 11 more
Robert A. Brady
Rep. Robert A. BradyD-PA-1 · Feb 25, 2009

Mr. Speaker, I rise to express my strong support for the provisions of the Omnibus Appropriations Act that relate to funding the operations and programs of Legislative Branch. I am grateful to my…

Ander Crenshaw
Rep. Ander CrenshawR-FL-4 · Jul 9, 2009

I thank the gentleman for yielding me this time, and I want to compliment the chairwoman and our ranking member for the hard work that they have put into this good bill. I rise in strong support.…

Anthony D. Weiner
Rep. Anthony D. WeinerD-NY-9 · Jul 9, 2009

I have an amendment made in order by the rule. I thank the Chair and I thank the body for its patience, allowing me to breathlessly run over and offer my amendment. Let me begin with a…

Ron Klein
Rep. Ron KleinD-FL-22 · Jul 9, 2009

I rise to support H.R. 3081, the State, Foreign Operations and Related Programs Appropriations Act of 2010. This legislation addresses our most urgent national security needs, rebuilds our diplomatic…

Alan B. Mollohan
Rep. Alan B. MollohanD-WV-1 · Feb 25, 2009

Mr. Speaker, division B of the bill before the House today includes appropriations for the Departments of Commerce and Justice, the National Aeronautics and Space Administration, the National Science…

Harold Rogers
Rep. Harold RogersR-KY-5 · Feb 25, 2009

Mr. Speaker, I rise in reluctant opposition to this bill. While I'm very grateful for the funding items included for my district--items that combat rampant drug abuse, clean up our waterways, and…

Mike Pence
Rep. Mike PenceR-IN-6 · Feb 25, 2009

Mr. Speaker, I rise in opposition to the Omnibus Appropriations Act for fiscal year 2009. During these challenging economic times, American families and small businesses every day are making…

John A. Boehner
Rep. John A. BoehnerR-OH-8 · Feb 25, 2009

Let me thank my colleague from California for yielding. And I think all of my colleagues know that American families and small businesses are struggling, they're tightening their belt. And what are…

George Miller
Rep. George MillerD-CA-7 · Feb 25, 2009

Mr. Speaker, I rise in strong support of the Omnibus Appropriations Act. The legislation before us today invests in key priorities for our country from energy to education, and will help address…

Carolyn B. Maloney
Rep. Carolyn B. MaloneyD-NY-14 · Jul 9, 2009

I thank the gentlelady for her leadership on this bill, and I rise in support of this bill, and particularly commend the chairwoman for her leadership on the United Nations Population Fund, which was…

Steny H. Hoyer
Rep. Steny H. HoyerD-MD-5 · Feb 25, 2009

Mr. Speaker, today, the House can complete its work on the fiscal year 2009 appropriations bills. The omnibus bill we bring to the floor today is the result of collaboration between Democrats and…

Bill Text

Latest available legislative text

Reading Mode
Latest
Introduced in HouseIssued March 12, 2009

I

111th CONGRESS

1st Session

H. R. 1486

IN THE HOUSE OF REPRESENTATIVES

March 12, 2009

Mr. Meek of Florida introduced the following bill; which was referred to the Committee on Financial Services

A BILL

To amend the Fair Credit Reporting Act with respect to requirements relating to information contained in consumer reports, and for other purposes.

1.

Short title

This Act may be cited as the Mortgage Credit Repair Act of 2009.

2.

Findings

The Congress finds as follows:

(1)

The United States housing bubble effectively burst towards the end of 2005, when default rates on subprime and adjustable rate mortgages increased dramatically.

(2)

Mortgages with negative amelioration or any other lending mechanism for which the loan payment on principal for any period is less than the interest charged over that period for some substantial period of time have high default and foreclosure rates.

(3)

Mortgages in which there are incidences of fraud or lender misconduct have high foreclosure rates, including those in which—

(A)

a mortgage was obtained despite the lender fraudulently encouraging or requiring the borrower to falsify or omit information which was then used to call back the loan and leading to foreclosure;

(B)

a mortgage was obtained despite the failure by the lender to give the borrower proper documentation, including Good Faith Requirements and Truth in Lending Disclosures;

(C)

a mortgage was obtained despite occasions where the borrower was given incomplete forms to sign, with the required information added by the lender after the borrower’s signature was obtained; and

(D)

a mortgage was obtained despite having terms which was substantially or wholly different at closing than what was previously agreed to.

(4)

Standard, qualifying front-end debt ratios, that is the monthly cost of a mortgage principal, interest, taxes, and insurance (PITI) against the gross monthly income of the borrower have historically been approximately 28%, increasing for those with stellar credit histories.

(5)

However, many foreclosures and mortgage-related bankruptcies involve borrowers who were given mortgages with flat or adjustable rates that caused front-end ratios well over 36% in many cases.

(6)

The effects of foreclosure or a resulting bankruptcy can have a negative impact on an individual’s credit history for up to 7 years (10 years for bankruptcy) for purchases under $150,000 with related effects, and effects for purchases over $150,000 lasting much longer.

(7)

Borrowers who unknowingly obtained bad, improper or fraudulent mortgages which subsequently led to foreclosure, should be given the opportunity to rebuild their credit in a responsible way without the substantial and lingering effects of foreclosure outweighing present and past responsible borrowing practices.

3.

Amendment to definitions

Section 603 of the Fair Credit Reporting Act (U.S.C. 1681a) is amended by adding at the end the following new subsection:

(y)

Front end ratio

The term front end ratio means a ratio that indicates what portion of an individual's income is used to make mortgage payments, calculated by dividing an individual’s gross monthly income by their housing expenses, particularly the mortgage principal, interest, taxes, and insurance (PITI).

.

4.

Special circumstance relief

Section 605(a) of the Fair Credit Reporting Act (U.S.C. 1681c(a)) is amended—

(1)

by redesignating paragraphs (2), (3), (4), (5), and (6) as paragraphs (3), (4), (5), (7), and (8), respectively;

(2)

by inserting after paragraph (1) the following new paragraph:

(2)

Cases under title 11 or under the Bankruptcy Act that, from the date of entry of the order for relief or the date of the adjudication, as the case may be, antedate the report by more than 3 years when each of the following are met:

(A)

During a period not less than 6 months prior to and continuing through the time that the bankruptcy is filed, a consumer’s front-end debt ratio on a mortgage instrument originated or refinanced on or after January 1, 2003, was 37% or higher.

(B)

The consumer filed for bankruptcy no earlier than January 1, 2004.

(C)

The consumer has not disputed the accuracy of their report under paragraph (6) during the period beginning January 1, 2004.

(D)

The consumer notifies the consumer reporting agency directly and is able to submit documentation to verify the above before March 31, 2009.

; and

(3)

by inserting after paragraph (5) the following new paragraph:

(6)

Any adverse information excluding bankruptcy, but including closed accounts, accounts in collections, accounts charged to profit or loss, repossessions, and foreclosures, shall be excluded if all of the following circumstances have occurred:

(A)

The adverse information in the consumer’s report was for new accounts and transactions added after the first payment due date on the consumer’s mortgage note, where the front end ratio then became 37% or higher, but not earlier than January 1, 2004.

(B)

The adverse information in the consumer’s report was not added more than 6 months after a foreclosure on that consumer’s primary residence or March 31, 2009, whichever is earlier.

(C)

The consumer notifies the consumer reporting agency directly of their intent to seek relief under this paragraph and is able to provide proper documentation and verification before March 31, 2009.

.

5.

Conforming amendment

Subsection (b) of section 605 of the Fair Credit Reporting Act (U.S.C. 1681c(b)) is amended (in the matter preceding paragraph (1)) by striking paragraphs (1) through (5) and inserting paragraphs (1), (3), (4), (5), and (7).