On April 6, the California Judicial Council, which is the policymaking body of the California court system, adopted 11 emergency rules in light of the coronavirus (“COVID-19”) pandemic.
Emergency Rule 2 suspends all judicial foreclosures, including actions for deficiency judgments. All judicial foreclosures are stayed and the statute of limitations is tolled until 90 days
On April 1, the Consumer Financial Protection Bureau issued a consent order against Cottonwood Financial, Ltd., a short-term, small dollar lender located in Texas. After reviewing the lender’s installment lending, payday lending, title lending, marketing, collections, and furnishing practices, the CFPB identified a number of violations, including those under the Fair Credit Reporting Act, 15
On April 3, the West Virginia Supreme Court of Appeals issued another emergency order extending court deadlines. A press release regarding the order can be found here. The Court’s new order delays all court deadlines for matters scheduled to occur during the emergency period between March 23, 2020 and May 1, 2020 to May
On April 3, Nevada released new debt collection guidance that clarified existing emergency regulations implemented in response to the coronavirus (“COVID-19”) outbreak. The Deputy Commissioner of the Nevada Department of Business & Industry recently provided some clarification concerning the Department’s March 20 notice to the collection industry.
The Department’s prior notice deemed collection agencies non-essential
In a published opinion that should be advantageous to foreclosing parties, the Supreme Court of Virginia found that if a borrower cannot plead that he or she could have cured a mortgage loan default, then a foreclosure sale is “inevitable” and alleged defects in a notice of default cannot support a claim for rescission of
On March 31, the Consumer Financial Protection Bureau (“the Bureau”) published an online guide (available here) for consumers seeking financial relief options for mortgage and rent payments in light of the unfolding coronavirus (“COVID-19”) pandemic, with a particular focus on the new federal Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”). The guide
New Jersey Gov. Phillip Murphy announced on March 28 that homeowners whose finances have been affected by the coronavirus (“COVID-19”) would get a 90-day reprieve on their mortgage payments.
According to the announcement, lenders must waive late fees and other expenses that a borrower would incur due to the grace period.
Overview
President Trump today signed into law H.R. 748, the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”), a $2 trillion relief measure. Title IV, the economic stabilization portion of the CARES Act, contains three sections which dramatically affect businesses in the consumer financial services space. These sections include a foreclosure moratorium on federally-related
Following Gov. Mike Dewine’s declaration of a state of emergency due to the coronavirus (“COVID-19”) pandemic, Ohio legislators have introduced numerous emergency measures to address the public health and economic crises facing the State. This includes a bill introduced on March 25 by Rep. Thomas West (D-Canton), which would require creditors and debt collectors to
On March 24, the Consumer Financial Protection Bureau released a list of resources to assist consumers in taking steps to protect their finances during the coronavirus (“COVID-19”) pandemic. The resources can be found here.
Specifically, the resources provided by the CFPB address the following issues: