S. 2569

119th CONGRESS 1st Session

To provide forbearance assistance during a major disaster or emergency, and for other purposes.

IN THE SENATE OF THE UNITED STATES · July 31, 2025 · Sponsor: Mr. Schiff · Committee: Committee on Banking, Housing, and Urban Affairs

Table of contents

• S. 2569
  • SEC. 1. Short title
  • SEC. 2. Definitions
  • SEC. 3. Forbearance of loan payments for borrowers of properties with Federally backed loans in disaster areas

SEC. 1. Short title

• This Act may be cited as the Mortgage Relief for Disaster Survivors Act.

SEC. 2. Definitions

• In this Act:
  • The means— covered mortgage loan
  • The term covered period means the period beginning on the date of the declaration of a disaster and ending on the date on which the declaration ends.
  • The term disaster means—
  • The term disaster area means, with respect to a disaster, any area that is subject to the declaration of the disaster.
  • The term includes any loan that is secured by a first or subordinate lien on residential real property (including individual units of condominiums and cooperatives) designed principally for the occupancy of from 1- to 4- families that is— Federally backed mortgage loan
  • The term includes any loan (other than temporary financing, such as a construction loan) that— Federally backed multifamily mortgage loan
  • The terms , , and have the meanings given those terms in section 102 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (). Governor,Indian tribal government,State 42 U.S.C. 5122

SEC. 3. Forbearance of loan payments for borrowers of properties with Federally backed loans in disaster areas

• (a) In general
  • With respect to any disaster, a borrower with a covered mortgage loan that is secured by a property located within the disaster area may request a forbearance on the covered mortgage loan during the covered period.
• (b) Request for forbearance
  • A borrower described in subsection (a) may request a forbearance on a covered mortgage loan, regardless of the delinquency status of the covered mortgage loan, by—
    • submitting a request to the borrower’s servicer in writing, over the phone, online, or through any other notification method determined to be eligible by the servicer; and
    • affirming that the borrower is experiencing a financial hardship.
• (c) Grant of forbearance
  • (1) In general
    • Upon receiving a request for a forbearance from a borrower described in subsection (a), the borrower’s servicer shall promptly and without unreasonable delay grant a forbearance—
      • for a duration of 180 days; and
      • regardless of the delinquency status of the covered mortgage loan.
  • (2) Extension of forbearance
    • At any time during the forbearance, a borrower may request an extension, of not more than 180 days, of the duration described in paragraph (1)(A).
• (d) Right To discontinue
  • A borrower described in subsection (a) may request to discontinue a forbearance granted under subsection (c) at any time.
• (e) Accrual
  • During any forbearance granted under subsection (c), no fees, penalties, or interest (beyond the amounts scheduled or calculated as if the borrower made all contractual payments on time and in full under the terms of the mortgage contract) shall accrue on the borrower’s account.
• (f) Application
  • This section shall apply to with respect to any disaster declared on or after January 1, 2025.