Bill Text: TX HB302 | 2013-2014 | 83rd Legislature | Introduced
Bill Title: Relating to the duties of a mortgage servicer of certain residential mortgage loans.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2013-02-25 - Left pending in committee [HB302 Detail]
Download: Texas-2013-HB302-Introduced.html
| 83R2167 RWG-F | ||
| By: Rodriguez of Travis | H.B. No. 302 | |
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| relating to the duties of a mortgage servicer of certain | ||
| residential mortgage loans. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Title 5, Finance Code, is amended by adding | ||
| Chapter 397 to read as follows: | ||
| CHAPTER 397. RESIDENTIAL MORTGAGE SERVICERS | ||
| SUBCHAPTER A. GENERAL PROVISIONS | ||
| Sec. 397.001. DEFINITIONS. In this chapter, "mortgagee" | ||
| and "mortgage servicer" have the meanings assigned by Section | ||
| 51.0001, Property Code. | ||
| Sec. 397.002. APPLICABILITY. This chapter applies only to | ||
| a loan secured by a first lien on residential real property that: | ||
| (1) is not a federally related mortgage loan, as | ||
| defined by 12 U.S.C. Section 2602; and | ||
| (2) is serviced by a mortgage servicer other than the | ||
| mortgagee of the loan. | ||
| [Sections 397.003-397.050 reserved for expansion] | ||
| SUBCHAPTER B. DEBTOR REQUESTS FOR INFORMATION | ||
| Sec. 397.051. RECORDKEEPING. A mortgage servicer shall | ||
| maintain written or electronic records of each written request for | ||
| information regarding a dispute or error involving the debtor's | ||
| account until the loan is paid in full, otherwise satisfied, or | ||
| sold. | ||
| Sec. 397.052. PROVISION OF GENERAL INFORMATION ON REQUEST. | ||
| (a) A mortgage servicer shall provide the following to a debtor in | ||
| response to a debtor's written request: | ||
| (1) a copy of the original note or, if the original | ||
| note is unavailable, an affidavit of lost note; and | ||
| (2) a statement that: | ||
| (A) identifies and itemizes all fees and charges | ||
| assessed under the loan transaction and provides a full payment | ||
| history identifying in a clear and conspicuous manner all of the | ||
| debits, credits, application of and disbursement of all payments | ||
| received from or for the benefit of the debtor, and other activity | ||
| on the loan, including any escrow or suspense account activity; and | ||
| (B) covers the two years preceding the receipt of | ||
| the request or the period for which the servicer has serviced the | ||
| loan, whichever is shorter. | ||
| (b) If the mortgage servicer claims that delinquent or | ||
| outstanding sums were owed on the loan before the two-year period | ||
| preceding the receipt of the request under Subsection (a) or before | ||
| the servicer began servicing the loan, whichever is shorter, the | ||
| servicer shall provide an account history beginning with the | ||
| earliest month for which the servicer claims outstanding sums were | ||
| owed on the loan and ending on the date of the request for | ||
| information. For purposes of this subsection, the date of the | ||
| request for information is presumed to be not later than the 30th | ||
| day before the date the servicer receives the request. | ||
| (c) A mortgage servicer must provide a statement under | ||
| Subsection (a) on or before the 25th business day after the date the | ||
| servicer receives a written request from the debtor that: | ||
| (1) includes or otherwise enables the servicer to | ||
| identify the name and account of the debtor; and | ||
| (2) includes a statement that the account is or may be | ||
| in error or otherwise provides sufficient detail to the servicer | ||
| regarding information sought by the debtor. | ||
| Sec. 397.053. PROVISION OF INFORMATION REGARDING DISPUTE OR | ||
| ERROR. (a) A mortgage servicer shall provide a written statement | ||
| to a debtor in response to a debtor's written request for | ||
| information regarding a dispute or error involving the debtor's | ||
| account that includes the following information, if requested: | ||
| (1) whether the account is current and an explanation | ||
| of any default and the date the account went into default; | ||
| (2) the current balance due on the loan, including the | ||
| principal due, the amount of any funds held in a suspense account, | ||
| the amount of any escrow balance known to the servicer, and whether | ||
| there are any escrow deficiencies or shortages known to the | ||
| servicer; | ||
| (3) the identity, address, and other relevant | ||
| information about the current holder, owner, or assignee of the | ||
| loan; and | ||
| (4) the telephone number and mailing address of a | ||
| servicer representative with the information and authority to | ||
| answer questions and resolve disputes. | ||
| (b) A mortgage servicer must provide a statement under | ||
| Subsection (a) on or before the 10th day after the date the servicer | ||
| receives a written request from the debtor that: | ||
| (1) includes or otherwise enables the servicer to | ||
| identify the name and account of the debtor; and | ||
| (2) includes a statement that the account is or may be | ||
| in error or otherwise provides sufficient detail to the servicer | ||
| regarding information sought by the debtor. | ||
| [Sections 397.054-397.100 reserved for expansion] | ||
| SUBCHAPTER C. REMEDIES | ||
| Sec. 397.101. ENFORCEMENT GENERALLY. The Department of | ||
| Savings and Mortgage Lending, the attorney general, or any party to | ||
| a loan to which this chapter applies may enforce this chapter. | ||
| Sec. 397.102. ACTION BY DEBTOR. In addition to any other | ||
| legal and equitable remedy available, a debtor injured by a | ||
| violation of this chapter may bring an action for recovery of actual | ||
| damages, including reasonable attorney's fees. | ||
| SECTION 2. This Act takes effect September 1, 2013. | ||
