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I
117TH CONGRESS
1ST SESSION
H. R. 162
To amend the CARES Act to provide for repayment terms for mortgages
in forbearance, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
JANUARY 4, 2021
Mr. SOTO introduced the following bill; which was referred to the Committee
on Financial Services
A BILL
To amend the CARES Act to provide for repayment terms
for mortgages in forbearance, and for other purposes.
Be it enacted by the Senate and House of Representa-
1
tives of the United States of America in Congress assembled,
2
SECTION 1. REPAYMENT TERMS FOR MORTGAGES IN FOR-
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BEARANCE.
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(a) IN GENERAL.—The CARES Act (Public Law
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116–136) is amended by inserting after section 4022 the
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following:
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‘‘SEC. 4022A. REPAYMENT TERMS FOR MORTGAGES IN FOR-
1
BEARANCE.
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‘‘(a) IN GENERAL.—With respect to a federally re-
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lated mortgage loan with respect to which a forbearance
4
was granted during the COVID–19 emergency period (ei-
5
ther pursuant to this Act or any other Federal law or vol-
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untarily by the servicer of such mortgage loan), the
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servicer of such mortgage loan shall modify the borrower’s
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loan to extend the term for the same period as the length
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of the forbearance, with all payments that were not made
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during the forbearance distributed at the same intervals
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as the borrower’s existing payment schedule and evenly
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distributed across those intervals, with no penalties, late
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fees, additional interest accrued beyond the amounts
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scheduled or calculated as if the borrower made all con-
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tractual payments on time and in full under the terms of
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the mortgage contract in effect at the time the borrower
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entered into the forbearance, and with no modification fee
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charged to the borrower.
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‘‘(b) ENFORCEMENT.—The enforcement authority
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provided under the Real Estate Settlement Procedures Act
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of 1974 (12 U.S.C. 2601 et seq.) shall apply to this sec-
22
tion.
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‘‘(c) DEFINITIONS.—In this section:
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‘‘(1) FEDERALLY RELATED MORTGAGE LOAN.—
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The term ‘federally related mortgage loan’ has the
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•HR 162 IH
meaning given that term under section 3 of the Real
1
Estate Settlement Procedures Act of 1974 (12
2
U.S.C. 2602).
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‘‘(2) COVID–19
EMERGENCY
PERIOD.—The
4
term ‘COVID–19 emergency period’ means the pe-
5
riod between—
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‘‘(A) March 13, 2020, the date on which
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the President declared a national emergency
8
concerning
the
novel
coronavirus
disease
9
(COVID–19) outbreak under the National
10
Emergencies Act (50 U.S.C. 1601 et seq.); and
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‘‘(B) December 31, 2021.’’.
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(b) CLERICAL AMENDMENT.—The table of contents
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for the CARES Act is amended by inserting after the item
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relating to section 4022 the following:
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‘‘Sec. 4022A. Repayment terms for mortgages in forbearance.’’.
Æ
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