Sec. 2. Suspension of obligations to make residential mortgage and rent payments
436 words·~2 min read·
/bill/117/hr/1847/ih/section-2A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Notwithstanding any other provision of law, the obligation of each tenant household of a covered rental dwelling unit to pay rent for occupancy in such dwelling unit shall be suspended with respect to such occupancy during the COVID-19 suspension period. No tenant or tenant household may be charged a fine or fee for nonpayment of rent in accordance with paragraph
(1)and such nonpayment of rent shall not be grounds for any termination of tenancy or eviction. No tenant or tenant household may be treated as accruing any debt by reason of suspension of contribution of rent under paragraph (1). No tenant or tenant household may be held liable for repayment of any amount of rent contribution suspended under paragraph (1). The nonpayment of rent by a tenant or tenant household shall not be reported to a consumer reporting agency nor shall such nonpayment adversely affect a tenant or member of a tenant household’s credit score. Notwithstanding any other provision of law, the obligation of each mortgagor under a covered residential mortgage loan to make mortgage payments of principal and interest that become due during the COVID-19 suspension period is hereby suspended. No mortgagor under any covered residential mortgage loan may be held responsible for payment of mortgage payments suspended under paragraph
(1)or treated as accruing any debt by reason of suspension under such paragraph of the obligation to make mortgage payments. A mortgagee under a covered residential mortgage loan (or servicer for such mortgagee) may not commence or continue any judicial foreclosure action or non-judicial foreclosure process or any action for failure to make a payment due under such mortgage that is suspended pursuant to paragraph (1). No fees, penalties, or additional interest beyond the amounts scheduled or calculated as if the mortgagor made all contractual payments on time and in full under the terms of the mortgage contract in effect as of the commencement of the COVID-19 suspension period shall accrue. The nonpayment of a mortgage payment by a mortgagor pursuant to suspension under paragraph
(1)of the obligation to make such payment shall not be reported to a consumer reporting agency nor shall such nonpayment adversely affect a mortgagor’s credit score. The Secretary of Housing and Urban Development shall establish and carry out a system to notify all tenants of covered rental dwelling units, including tenants described in section 8(1)(B)(ii), and all mortgagors under covered residential mortgage loans, of the suspensions under paragraph
(1)of subsections
(a)and
(b)of the obligations to make rental payments or mortgage payments, respectively, and of their right to pursue legal action pursuant to section 4.