IIB 112th CONGRESS 1st Session H. R. 1263 IN THE SENATE OF THE UNITED STATES October 12, 2011 Received; read twice and referred to the Committee on Veterans' Affairs AN ACT To amend the Servicemembers Civil Relief Act to provide surviving spouses with certain protections relating to mortgages and mortgage foreclosures, and for other purposes.

1.

Expansion of protections relating to mortgages and mortgage foreclosures for surviving spouses

(a)

Protection for Surviving Spouse

Section 303 of the Servicemembers Civil Relief Act (50 U.S.C. App. 533) is amended by adding at the end the following new subsection: (e)

Protection for Surviving Spouse

During the five-year period beginning on the date of the enactment of this subsection, with respect to a servicemember who dies while in military service and whose death is service-connected, this section shall apply to the surviving spouse of the servicemember if such spouse is the successor in interest to property covered under subsection (a). . (b)

Effective date

Subsection (e) of section 303 of such Act, as added by subsection (a), shall apply to a surviving spouse of a servicemember whose death is on or after the date of the enactment of this Act.

2.

Requirements for lending institutions that are creditors for obligations and liabilities covered by the Servicemembers Civil Relief Act

Section 207 of the Servicemembers Civil Relief Act is amended— (1)by redesignating subsections (d) and (e) as subsections (e) and (f), respectively; and (2)by inserting after subsection (c) the following new subsection (d): (d)

Lending institution requirements

(1)

Compliance officers

Each lending institution subject to the requirements of this section shall designate an employee of the institution as a compliance officer who is responsible for ensuring the institution’s compliance with this section and for distributing information to servicemembers whose obligations and liabilities are covered by this section. (2)

Toll-free telephone number

During any fiscal year, a lending institution subject to the requirements of this section that had annual assets for the preceding fiscal year of $10,000,000,000 or more shall maintain a toll-free telephone number and shall make such telephone number available on the primary Internet Web site of the institution. .

3.

Extension of period of protections for servicemembers against mortgage foreclosures

(a)

Extended period of protections

(1)

Stay of proceedings and period of adjustment of obligations relating to real or personal property

Section 303(b) of the Servicemembers Civil Relief Act (50 U.S.C. App. 533(b)) is amended by striking within 9 months and inserting within 12 months. (2)

Period of relief from sale, foreclosure, or seizure

Section 303(c) of such Act (50 U.S.C. App. 533(c)) is amended by striking within 9 months and inserting within 12 months. (3)

Sunset

The amendments made by paragraphs (1) and (2) shall expire on December 31, 2017. Effective January 1, 2018, the provisions of subsections (b) and (c) of section 303 of the Servicemembers Civil Relief Act, as in effect on the day before the date of the enactment of the Housing and Economic Recovery Act of 2008 (Public Law 110–289), are hereby revived. (b)

Repeal of superceded provision

Subsection (c) of section 2203 of the Housing and Economic Recovery Act of 2008 (Public Law 110–289; 50 U.S.C. App. 533 note) is amended to read as follows: (c)

Effective date

The amendments made by subsection (a) shall take effect on the date of the enactment of this Act. .

Passed the House of Representatives October 11, 2011. Karen L. Haas, Clerk.