HLS 10RS-5386 ORIGINAL
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Regular Session, 2010
HOUSE RESOLUTION NO. 171
BY REPRESENTATIVE BALDONE
FINANCIAL INSTNS OFFICE: Urges and requests the La. office of financial institutions
to study the use of notice of deferment options given by lending institutions to
borrowers during gubernatorially declared emergenices
A RESOLUTION1
To urge and request the Louisiana office of financial institutions to study the use of notices2
of deferment options given by lending institutions to borrowers during3
gubernatorially declared emergencies.4
WHEREAS, mortgage loan lenders have the ability, at their discretion, to grant5
borrowers deferment of mortgage loan payments for a specified period of time during which6
the borrower is not required to make scheduled mortgage loan payments; and7
WHEREAS, these deferments are typically granted to the borrower in the aftermath8
of a natural disaster or other declared state of emergency, or during serious times of hardship9
for the borrower; and10
WHEREAS, if deferment of payments is offered by lenders to borrowers, borrowers11
should receive clear notice of the terms of the deferment, including when payments are to12
be resumed and if lump sum payments are payable when regular mortgage payments resume;13
and14
WHEREAS, in light of the fact that deferments are voluntary and granted at the15
discretion of the lender, the Legislature of Louisiana does not want to adopt or encourage16
policies that will discourage or otherwise create a disincentive for lenders to grant17
deferments to borrowers; and18
WHEREAS, it would be beneficial for the office of financial institutions to explore19
the possibility of issuing minimum notice requirement guidance to mortgage loan lenders.20 HLS 10RS-5386 ORIGINAL
HR NO. 171
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THEREFORE, BE IT RESOLVED that the House of Representatives of the1
Legislature of Louisiana does hereby urge and request the Louisiana office of financial2
institutions to study the use of notices of deferment options given by lending institutions to3
borrowers during gubernatorially declared emergencies and to report its findings and4
recommendations to the House Committee on Commerce on or prior to March 1, 2011.5
BE IT FURTHER RESOLVED that a copy of this Resolution be transmitted to the6
commissioner of the Louisiana office of financial institutions.7
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
Baldone HR No. 171
Urges and requests the La. office of financial institutions to study the use of notices of
deferment options given by lending institutions to borrowers during gubernatorially declared
emergencies