16 CFR Parts 317 and 318: Mortgage Assistance Relief Services Rulemaking #542309-00015

Submission Number:
542309-00015
Commenter:
Stephen Hannan
State:
MD
Initiative Name:
16 CFR Parts 317 and 318: Mortgage Assistance Relief Services Rulemaking

When I served as the Administrator of the Howard County Maryland Office of Consumer Affairs the Office investigated and pursued foreclosure rescue scam perpetrators that office is still in court pursuing those civil charges. That investigation and Administrative Action saved two homes for their proper owners by freezing the transfer of ownership through injunctive relief. The current exchange of property title statutes and assumptions associated with those statutes currently benefit the scam artist not the home owner. The current statutes are also so strictly constructed that many of the tangential accomplises to the scammer can help perpitrate the taking of the property with no liability. The first suggestion is that the statute define who it applies to broadly enough to include all of the tangential players. This would include settlement officers, appraisers, sellers of the service and title companies. The second thing would be to require that the current mortgage holder on the Loan be notified by the current debtor regarding the transfer of the property and approve it. Many times after title has passed to the scam artist they do not pay the creditor and foreclosure takes place. The third thing would be to have the default language usually found within the foreclosure rescue documents banned from consumer contracts as Consdent Judgement language much of which is already banned at thye state level. Finally give cases of foreclosure rescue scams automatic jurisdiction to fedral courts without meeting the monitary threshold. Thank you for allowing me to comment.