Bill > H961

This bill establishes a Resolution Trust Fund (the "Fund") to protect citizens and municipalities impacted by the mortgage foreclosure crisis. The Fund is authorized to receive transfers of mortgage loans where the current mortgagee and/or note-owner cannot be identified, as well as other monies. The Fund can accept these mortgages and modify the loan characteristics to comply with traditional prime lending standards. When mortgages are transferred to the Fund, it will record the transfer in the appropriate registry of deeds and notify the mortgagors of the new payment details. The Fund will service the loans, pay applicable taxes and costs, and may retain up to 15% of the payments for administrative overhead. If a homeowner defaults, the Fund will make efforts to assist the family to stay in their home, and if that is not feasible, the Fund may foreclose on the property. The proceeds from any property sales will be credited back to the Fund. The Fund will be administered by the Community Economic Development Assistance Corporation (CEDAC) and the director will file annual reports on the Fund's activities.

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https://malegislature.gov/Bills/191/H961