SB 2 — Mortgage loans.

1 sponsors · 0 co-sponsors · 121 not signed on

"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.

Frequently asked questions

What does SB 2 do?

The Real Estate Law provides for the regulation and licensure of real estate brokers and real estate salespersons by the Real Estate Commissioner. The California Finance Lenders Law provides for the regulation and licensure of finance lenders and brokers by the Commissioner of Corporations. The California Residential Mortgage Lending Act provides for the regulation and licensure of residential mortgage lenders and servicers by the Commissioner of Corporations. The Banking Law provides for the regulation of state commercial banks by the Commissioner of Financial Institutions. The California Credit Union Law provides for the regulation of state credit unions by the Commissioner of Financial Institutions. A willful violation of specified provisions of those acts is a crime. Existing law, until January 1, 2013, prohibits any person who negotiates, attempts to negotiate, arranges, attempts to arrange, or otherwise offers to perform residential mortgage loan modifications or forbearance for a fee paid by the borrower, from demanding or receiving any preperformance compensation, requiring collateral to secure final payment, or taking power of attorney from the borrower, and makes a violation of those provisions a misdemeanor. Existing law also requires those persons, when providing services for mortgage loan modifications or forbearance, to provide a 14-point bold type statement to the borrower regarding the borrower's right to contact his or her lender directly rather than using a 3rd party to arrange for those services, and makes a violation of those provisions a misdemeanor. This bill would extend those provisions until January 1, 2015, and to persons who facilitate or attempt to facilitate mortgage loan modifications or forbearance. The bill would further extend those prohibitions to persons who for a fee negotiate, attempt to negotiate, arrange, attempt to arrange, facilitate, attempt to facilitate, or otherwise offer to accomplish the sale of a residential dwelling for less than the remaining amount of indebtedness due to a mortgagor, mortgagors, trustor, or trustors at the time of sale. The bill would make conforming changes to the 14-point bold type statement that is required to be provided to a borrower, as specified. Because the bill would create new crimes, and because a willful violation of these provisions by certain licensees may be punished as crimes, the bill would impose a state-mandated local program. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason. This bill would declare that it is to take effect immediately as an urgency statute.

Who sponsors SB 2?

SB 2 is sponsored by Calderon.

What is the current status of SB 2?

This bill died with 2011-2012 Regular Session. It reached “In Committee” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.

Where can I track SB 2?

Track SB 2 free on One Click Politics — get push/email alerts when it moves.