This week the Missouri House of Representatives overwhelmingly supported passage of HBs 446 & 211 by a vote of 130-24. The bill establishes that enforcement and servicing of secured real estate loans shall only be governed by state and federal laws. Local laws may not affect any rights or obligations including foreclosure or impose fees related to such loan agreements. The bill now moves to the Senate for consideration.
The language of the bill is designed to make it very clear that county and city ordinances do not supersede state and federal laws. The bill is sponsored by Rep. John Diehl and Rep. Stanley Cox and is supported by the Missouri Chamber of Commerce and Industry.
“We believe banking laws should be consistent statewide in their application and that any regulations should be formulated at the state or federal levels,” Alex Curchin, general counsel/governmental affairs for the Missouri Chamber testified. “This will make sure our state’s banks will not have to commit extraordinary resources to track different regulations in each of our state’s local jurisdictions and will be following the same regulations statewide in terms of foreclosures and mortgage regulations. The effect of this legislation will keep lending costs lower for banks and, in the end, consumers.”
This week the Senate Financial Institutions Committee voted to pass Senate Bill 343, sponsored by Sen. Mike Parson, which would which would change the laws regarding the enforcement and servicing of real estate loans. The bill now moves to the Senate for review by the full chamber.
For more information about this issue, please contact Curchin at email@example.com or by phone at 573-634.3511.