How H1146 changes current law

AI-generated reading aid from the bill's amendatory text — verify against the official bill.

The bill establishes the Resolution Trust Fund to manage and mitigate issues related to predatory lending and untraceable mortgage ownership in Massachusetts.

• Chapter 10 of the General Laws

  Section 79. (a) For the purposes of this section and section 80, the following terms shall, unless the context clearly requires otherwise, have the following meanings: ... [definitions of terms related to mortgage loans].

  Defines essential terms related to mortgages and lending practices.

• Chapter 10 of the General Laws

  Section 80. There shall be established and set up on the books of the Commonwealth a separate fund to be known as the Resolution Trust Fund, ...

  Creates the Resolution Trust Fund, which will be managed by the Treasurer.

• Chapter 10 of the General Laws

  (b) The fund may accept any mortgage loan that does not have an identifiable mortgagee or note owner.

  Allows the fund to accept and manage mortgage loans lacking identifiable owners.

• Chapter 10 of the General Laws

  (e) A court or other entity transferring such a mortgage loan to the fund shall, if it has jurisdiction to do so, modify the mortgage loan to the extent necessary to obtain compliance with traditional prime lending characteristics.

  Mandates modifications to mortgage loans transferred to the fund to meet prime lending standards.

• Chapter 10 of the General Laws

  (l) If a homeowner whose mortgage loan payments have been transferred to the fund becomes delinquent, the fund shall make every effort ... to assist the mortgagor to stay in its home.

  Requires the fund to assist homeowners who are delinquent on their mortgage payments.

• Chapter 10 of the General Laws

  (o) When a mortgagor completes payments of a mortgage loan transferred to the fund, the fund shall provide a discharge of the mortgage.

  Ensures that once a mortgage is paid off, the fund provides official discharge documentation.

• Chapter 10 of the General Laws

  (f) The Treasurer shall establish a point system for potential projects, based upon public input.

  Incorporates a public input system for project funding decisions related to the fund.