SENATE ENDORSES CONSUMER PROTECTIONS IN HOME FORECLOSURES

AUGUSTA – The State Senate took initial votes to pass a measure that will give protections to homeowners in foreclosure proceedings, provide more clarity, and streamline the process. The Senate voted 32 – 2 for initial passage of the bill on Tuesday.

“This is a responsible and sensible solution,” said Senator Cynthia Dill of Cape Elizabeth who also serves on the Judiciary Committee. “Too many families have been overcome by the big interests of the banking industry. I am proud that we are standing up for Maine families and providing them with protection.”

If finally passed, the measure, LD 145 would require the entity foreclosing on a home to show proof that it legally holds the mortgage note preventing potential fraud against homeowners. Additionally, it would require the banks to present the original mortgage note before court proceedings.

The bill is expected to go to the House for further votes later this week.