SEC. 2. MORTGAGE PROTECTION FOR MEMBERS OF THE 
ARMED FORCES, SURVIVING SPOUSES, AND 
CERTAIN VETERANS. 
(a) MEMBERS OF THE ARMED FORCES, SURVIVING 
SPOUSES, AND CERTAIN DISABLED VETERANS.— 
(1) 
IN
GENERAL.—Title 
III 
of 
the 
Servicemembers Civil Relief Act (50 U.S.C. App. 
501 et seq.) is amended by inserting after section 
303 the following new section: 
‘‘SEC. 303A. MORTGAGES AND TRUST DEEDS OF CERTAIN 
SERVICEMEMBERS, 
SURVIVING 
SPOUSES, 
AND DISABLED VETERANS. 
‘‘(a) MORTGAGE AS SECURITY.—This section applies 
only to an obligation on real or personal property owned 
by a covered individual that— 
‘‘(1) originated at any time and for which the 
covered individual is still obligated; and 
‘‘(2) is secured by a mortgage, trust deed, or 
other security in the nature of a mortgage. 
‘‘(b) STAY OF PROCEEDINGS.— 
‘‘(1) IN
GENERAL.—In accordance with sub-
section (d)(1), in a judicial action pending or in a 
nonjudicial action commenced during a covered time 
period to enforce an obligation described in sub-
section (a), a court— 
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‘‘(A) may, after a hearing and on its own 
motion, stay the proceedings until the end of 
the covered time period; and 
‘‘(B) shall, upon application by a covered 
individual, stay the proceedings until the end of 
the covered time period. 
‘‘(2) OBLIGATION
TO
STOP
PROCEEDINGS.— 
Upon receipt of notice provided under subsection 
(d)(1), a mortgagee, trustee, or other creditor seek-
ing to foreclose on real property secured by an obli-
gation covered by this section using any judicial or 
nonjudicial proceedings shall immediately stop any 
such proceeding until the end of the covered time pe-
riod. 
‘‘(c) SALE OR FORECLOSURE.—A sale, judicial or 
nonjudicial foreclosure, or seizure of property for a breach 
of an obligation described in subsection (a) that is not 
stayed under subsection (b) shall not be valid during a 
covered time period except— 
‘‘(1) upon a court order granted before such 
sale, judicial or nonjudicial foreclosure, or seizure 
with a return made and approved by the court; or 
‘‘(2) if made pursuant to an agreement as pro-
vided in section 107. 
‘‘(d) NOTICE REQUIRED.— 
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‘‘(1) IN GENERAL.—To be covered under this 
section, a covered individual shall provide to the 
mortgagee, trustee, or other creditor written notice 
that such individual is so covered. 
‘‘(2) MANNER.—Written notice under para-
graph (1) may be provided electronically. 
‘‘(3) TIME.—Notice provided under paragraph 
(1) shall be provided during the covered time period. 
‘‘(4) CONTENTS.—With respect to a service-
member described in subsection (g)(1)(A), notice 
shall include— 
‘‘(A) a copy of the servicemember’s official 
military orders, or any notification, certifi-
cation, or verification from a servicemember’s 
commanding officer that provides evidence of 
servicemember’s eligibility for special pay as de-
scribed in subsection (g)(1)(A); or 
‘‘(B) an official notice using a form de-
signed under paragraph (5). 
‘‘(5) OFFICIAL FORMS.— 
‘‘(A) IN GENERAL.—The Secretary of De-
fense shall design and distribute an official De-
partment of Defense form that can be used by 
an individual to give notice under paragraph 
(1). 
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‘‘(B) USE
OF
OFFICIAL
FORM
NOT
RE-
QUIRED.—Failure by any individual to use a 
form designed or distributed under subpara-
graph (A) to provide notice shall not make such 
provision of notice invalid. 
‘‘(e) AGGREGATE DURATION.—The aggregate dura-
tion for which a covered individual (except a servicemem-
ber described in subsection (g)(1)(A)) may be covered 
under this section is one year. 
‘‘(f) MISDEMEANOR.—A person who knowingly 
makes or causes to be made a sale, foreclosure, or seizure 
of property that is prohibited by subsection (c), or who 
knowingly attempts to do so, shall be fined as provided 
in title 18, United States Code, or imprisoned for not more 
than one year, or both. 
‘‘(g) DEFINITIONS.—In this section: 
‘‘(1) COVERED
INDIVIDUAL.—The term ‘cov-
ered individual’ means the following individuals: 
‘‘(A) A servicemember who is or was eligi-
ble for hostile fire or imminent danger special 
pay under section 310 of title 37, United States 
Code, during a period of military service. 
‘‘(B) A servicemember placed on convales-
cent status, including a servicemember trans-
ferred to the temporary disability retired list 
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under section 1202 or 1205 of title 10, United 
States Code. 
‘‘(C) A veteran who was medically dis-
charged and retired under chapter 61 of title 
10, United States Code, except for a veteran 
described in section 1207 of such title. 
‘‘(D) A surviving spouse (as defined in sec-
tion 101(3) of title 38, United States Code, and 
in accordance with section 103 of such title) of 
a servicemember who died while in military 
service if such spouse is the successor in inter-
est to property covered under subsection (a). 
‘‘(2) COVERED TIME PERIOD.—The term ‘cov-
ered time period’ means the following time periods: 
‘‘(A) With respect to a servicemember who 
is or was eligible for hostile fire or imminent 
danger special pay under section 310 of title 
37, United States Code, during a period of mili-
tary service, during the period beginning on the 
first day on which the servicemember is or was 
eligible for such special pay during such period 
of military service and ending on the date that 
is one year after the last day of such period of 
military service. 
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‘‘(B) With respect to a servicemember de-
scribed in paragraph (1)(B), during the one- 
year period beginning on the date on which the 
servicemember is placed on convalescent status 
or transferred to the temporary disability re-
tired list under section 1202 or 1205 of title 
10, United States Code. 
‘‘(C) With respect to a veteran described in 
paragraph (1)(C), during the one-year period 
beginning on the date of the retirement of such 
veteran. 
‘‘(D) With respect to a surviving spouse of 
a servicemember as described in paragraph 
(1)(D), during the one-year period beginning on 
the date on which the spouse receives notice of 
the death of the servicemember.’’. 
(2) CLERICAL AMENDMENT.—The table of con-
tents in section 1(b) of such Act is amended by in-
serting after the item relating to section 303 the fol-
lowing new item: 
‘‘Sec. 303A. Mortgages and trust deeds of certain servicemembers, surviving 
spouses, and disabled veterans.’’. 
(3) CONFORMING
AMENDMENT.—Section 107 
of the Servicemembers Civil Relief Act (50 U.S.C. 
App. 517) is amended by adding at the end the fol-
lowing: 
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‘‘(e) OTHER INDIVIDUALS.—For purposes of this sec-
tion, the term ‘servicemember’ includes any covered indi-
vidual under section 303A.’’. 
(b) INCREASED CIVIL PENALTIES FOR MORTGAGE 
VIOLATIONS.—Paragraph (3) of section 801(b) of the 
Servicemembers Civil Relief Act (50 U.S.C. App. 
597(b)(3)) is amended to read as follows: 
‘‘(3) to vindicate the public interest, assess a 
civil penalty— 
‘‘(A) with respect to a violation of section 
207, 303, or 303A regarding real property— 
‘‘(i) in an amount not exceeding 
$110,000 for a first violation; and 
‘‘(ii) in an amount not exceeding 
$220,000 for any subsequent violation; and 
‘‘(B) with respect to any other violation of 
this Act— 
‘‘(i) in an amount not exceeding 
$55,000 for a first violation; and 
‘‘(ii) in an amount not exceeding 
$110,000 for any subsequent violation.’’. 
(c) CREDIT DISCRIMINATION.—Section 108 of such 
Act (50 U.S.C. App. 518) is amended— 
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