Foreclosure Protection Under SCRA Extended To One Year Again

Posted by Patrick Barnard on March 22, 2016 2 Comments
Categories : Residential Mortgage

The U.S. House of Representatives on Monday voted to extend the Foreclosure Relief and Extension for Servicemembers Act of 2015 – which offers additional foreclosure protection for military homeowners under the Servicemembers Civil Relief Act (SCRA) – from 90 days to one year, until Jan. 1, 2018.

The period of protection was temporarily extended to one year in 2012 and again in 2014. The previous extension, however, expired on Dec. 31, 2015.

The Senate bill that was approved by the House, S.B.2393, was basically identical to a House bill introduced by Rep. Stephen Fincher (Tennessee), Rep. Steve Stivers (Ohio) and Rep. Denny Heck (Washington). The Senate approved its version in December.

“Readjusting to civilian life from active duty can be difficult for many of our vets,” Congressman Fincher says in a statement. “It is tremendously important to allow our veterans more time to readjust to life at home and get on their feet financially. It’s the least we can do for those who willingly risk their lives every day to protect the freedoms we hold dear.”

“When our servicemembers come home, they shouldn’t have to fear losing their homes as they transition back to civilian life,” Congressman Stivers says. “The foreclosure protection extension will give them the time they need to get back on their feet financially and begin their new lives post military service.”

“A bigger time cushion helps our servicemembers as they transition to civilian life,” Congressman Heck adds. “The least we can do for our veterans is make sure they have the time to find a new job, adjust to their new life and organize their financial obligations so that they and their families can stay in their homes and plan for their future.”

“MBA applauds the House passage of an extension of the SCRA’s important foreclosure protections,” says David H. Stevens, president and CEO of the Mortgage Bankers Association (MBA), in a statement. “SCRA provides the brave men and women of our military with the certainty they won’t lose their home when they transition back to civilian life. That’s something that should never happen. Our industry is committed to helping members of the military stay in their homes, and we are grateful Congress has renewed this vital homeownership tool.”

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Comments

  1. Your details on the House/Senate bill are incorrect. The bill changes extends the one year SCRA relief period through 12/31/17. Beginning 1/1/18 the time period reduces to nine months.

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