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#1520275 - 03/10/11 07:16 PM Notice to all mortgages
ozzie Offline
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Is there any place in the SCRA or from HUD that says we have to give this notice to all homeowners who are delinquent not just the ones that tell us they are in the military. Our software company is saying that we don't have to do that and they are not set up for us to do that. Just looking for some help. Thanks.

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Lending to Servicemembers (SCRA, JWNDAA), War, Terrorism
#1520396 - 03/10/11 09:12 PM Re: Notice to all mortgages ozzie
Dan Persfull Offline
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Dan Persfull
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http://209.235.208.145/cgi-bin/WebSuite/...p;DBCode=555442

SCRA Notice
Pursuant to the statutory amendment, HUD has developed, in consultation with the Departments of Defense and Treasury, the form for the required notice of servicemember rights. The text of the HUD-developed notice follows this article.

All mortgage loans, including conventional mortgages and mortgages insured by HUD are subject to the notification requirement that became effective June 5, 2006.

The notice must:
· Be sent to all homeowners – not just to servicemembers – who are in default on a residential mortgage
· Include the toll-free military one-source number to call if servicemembers or their dependents require further assistance (1-800-342-9647)
· Be made within 45 days from the date a missed payment was due, unless the homeowner pays the overdue amount before the expiration of the 45-day period
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#1521105 - 03/14/11 12:47 PM Re: Notice to all mortgages Dan Persfull
Andy_Z Offline
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There is no requirement that a borrower tell you they are now subject to the SCRA, and a spouse may not be aware of the protections. The servicemember at least gets some training on it. Since peoples circumstances change, you wouldn't necessarily know if you polled them when a loan was made.
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#1524784 - 03/21/11 07:59 PM Re: Notice to all mortgages Andy_Z
drewella Offline
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Posts: 296
Sorry for the stupid question, but what covers "residential mortgage"? Is there a definition specific to SCRA?
Last edited by drewella; 03/21/11 08:24 PM.
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#1534059 - 04/11/11 08:24 PM Re: Notice to all mortgages drewella
Ninky Offline
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Ninky
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Since a lot loan is secured by a lien, do I understand correctly that the 6% rate on a lot loan would be in place for one year after leaving service? Also, on the legal action to enforce a debt, that would apply to lot loans since it includes real or personal property, correct? Basically, if it's real estate, 6% rate for 12 months after, and cannot enforce or foreclose on any credit for 9 months after?

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#1542634 - 04/28/11 04:12 PM Re: Notice to all mortgages Ninky
Funky Falcon Offline
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Minnesota
I'm with drewella on this question. Does "residential mortgage" include any type of properties such as cabins and investment properties?

Is the notice required on commercial loans where a guarantor's personal residence is used as collateral?

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#1543199 - 04/29/11 01:46 AM Re: Notice to all mortgages Funky Falcon
Andy_Z Offline
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One thing that got this started was Mortgagee Letter 2006-28 which stated "This Mortgagee Letter provides information regarding a new legal requirement to notify homeowners in default of the mortgage and foreclosure rights of servicemembers and their dependents under the Servicemembers Civil Relief Act (SCRA). It also provides guidance regarding the implementation of SCRA requirements in servicing FHA-insured mortgages. "

You might focus in on homeowner and on FHA insured mortgage.

Remember, HUD is telling you there is a required notice that you must now be sending, but they can't tell you what it should say. And you want a definition from them on who to send it to?
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AndyZ CRCM
My opinions are not necessarily my employers.
R+R-R=R+R
Rules and Regs minus Relationships equals Resentment and Rebellion. John Maxwell

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