WASHINGTON, D.C. – On a press call today with Assistant Attorney General for Civil Rights Thomas Perez and Delaware Attorney General Beau Biden, Holly Petraeus, Assistant Director for the Consumer Financial Protection Bureau’s Office of Servicemember Affairs made the following statement about the servicemember protections in the mortgage servicing settlement:
“I applaud all the critical protections for military homeowners in this settlement. On my travels to military communities across the country during the past year I have repeatedly heard about the devastating impact of the housing crisis on military homeowners. I have spoken out about the unique challenges to servicemembers caught in this current housing crisis, and I am pleased that this settlement addresses those challenges.
“The provisions relating to the Servicemembers Civil Relief Act (SCRA) in this agreement will help ensure that members of the military won’t be denied critical consumer protections or face foreclosure when they are deployed to a war zone. The settlement also provides a measure of justice for those families who saw their homes taken from them in violation of the SCRA, or did not receive the interest-rate reduction to which they were entitled.
“I am also grateful for the attempt to address the challenges military homeowners face when they receive orders to move. I urge financial institutions to pay heed to these provisions and ensure that our men and women in uniform have better options than accepting foreclosure or leaving their families behind when they go to their next multi-year assignment.
“I hope this agreement will help bring peace of mind to military families who have been struggling with housing-related challenges, and I will continue to advocate for strong consumer-protection measures for servicemembers, veterans, and their families.”
The Consumer Financial Protection Bureau (CFPB) is a 21st century agency that helps consumer finance markets work by making rules more effective, by consistently and fairly enforcing those rules, and by empowering consumers to take more control over their economic lives. For more information, visit www.consumerfinance.gov.