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Title 42, The Public Health and WelfareRelease 119-110

§8108 Warnings to Homeowners of Foreclosure Rescue Scams

Title 42 › CHAPTER 90 — NEIGHBORHOOD AND CITY REINVESTMENT, SELF-HELP AND REVITALIZATION › SUBCHAPTER I — NEIGHBORHOOD REINVESTMENT CORPORATION › § 8108

Last updated Sep 23, 2026|Official source

Summary

Ten percent of the money for the program must go to the Neighborhood Reinvestment Corporation to warn homeowners who are behind on their mortgage payments about foreclosure rescue scams. Working with loan servicers, the Corporation must tell delinquent borrowers that foreclosure is complicated, that people may offer risky help, and that federal and nonprofit groups like the Department of Housing and Urban Development can assist. It must urge borrowers to call their lender or HUD for a HUD‑certified housing counselor or visit HUD’s website, and must provide the servicer’s phone number, HUD’s housing counseling line, and the HUD website addresses.

Full Legal Text

Title 42, §8108

The Public Health and Welfare, Source: USLM XML via OLRC

(a)Assistance to NRC
Notwithstanding any other provision of law, of any amounts made available for any fiscal year pursuant to section 1701x(a)(4)(F) of title 12 (as added by section 1444), 10 percent shall be used only for assistance to the Neighborhood Reinvestment Corporation for activities, in consultation with servicers of residential mortgage loans, to provide notice to borrowers under such loans who are delinquent with respect to payments due under such loans that makes such borrowers aware of the dangers of fraudulent activities associated with foreclosure.
(b)Notice
The Neighborhood Reinvestment Corporation, in consultation with servicers of residential mortgage loans, shall use the amounts provided pursuant to subsection (a) to carry out activities to inform borrowers under residential mortgage loans—
(1)that the foreclosure process is complex and can be confusing;
(2)that the borrower may be approached during the foreclosure process by persons regarding saving their home and they should use caution in any such dealings;
(3)that there are Federal Government and nonprofit agencies that may provide information about the foreclosure process, including the Department of Housing and Urban Development;
(4)that they should contact their lender immediately, contact the Department of Housing and Urban Development to find a housing counseling agency certified by the Department to assist in avoiding foreclosure, or visit the Department’s website regarding tips for avoiding foreclosure; and
(5)of the telephone number of the loan servicer or successor, the telephone number of the Department of Housing and Urban Development housing counseling line, and the Uniform Resource Locators (URLs) for the Department of Housing and Urban Development Web sites for housing counseling and for tips for avoiding foreclosure.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

References in Text

section 1444, referred to in subsec. (a), means section 1444 of Pub. L. 111–203. Codification Section was enacted as part of the Expand and Preserve Home Ownership Through Counseling Act and also as part of the Mortgage Reform and Anti-Predatory Lending Act and as part of the Dodd-Frank Wall Street Reform and Consumer Protection Act, and not as part of the Neighborhood Reinvestment Corporation Act which comprises this subchapter.

Statutory Notes and Related Subsidiaries

Effective Date

Section effective on the date on which final

Regulations

implementing such section take effect, or on the date that is 18 months after the designated transfer date if such

Regulations

have not been issued by that date, see section 1400(c) of Pub. L. 111–203, set out as an

Effective Date

of 2010 Amendment note under section 1601 of Title 15, Commerce and Trade.

Reference

Citations & Metadata

Citation

42 U.S.C. § 8108

Title 42, The Public Health and Welfare

Last Updated

Sep 23, 2026

Release point: 119-110