CFPB, DOJ provide housing protections for military families

The Consumer Financial Protection Bureau (CFPB) and Department of Justice (DOJ) are working to provide legal housing protections for military families amid the COVID-19 pandemic.

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Authorities indicated a letter was forwarded to landlords and other housing providers with regard to protections for military tenants while a second letter was directed to mortgage servicers as it relates to military having already exited or are slated to exit COVID-19 mortgage forbearance programs in the coming weeks and months.

“The illegal foreclosures of military families in the last crisis was one of the financial industry’s worst failures,” CFPB Director Rohit Chopra said. “The CFPB will be closely watching mortgage servicers and will hold them accountable for illegal tactics perpetrated against military families.”

Officials noted the correspondence serves as a reminder to property owners of the housing protections for military tenants, some of which may have had to relocate or make other changes to their housing arrangements in response to the pandemic.

Military families also have additional housing protections under the Servicemembers Civil Relief Act (SCRA), per authorities, noting they are enforceable by the DOJ and service members.

“The Department of Justice takes seriously its responsibility to safeguard the rights of servicemembers and veterans,” Assistant Attorney General Kristen Clarke said. “While servicemembers carry the great burdens of this Nation, they should not have to worry that their sacrifices will result in economic harm to their families. Mortgage servicers and landlords must ensure that they are in full compliance with federal laws intended to protect servicemembers and their families during military service.”

About 7.6 million homeowners entered forbearance during the COVID-19 pandemic.