I 
116TH CONGRESS 
2D SESSION 
H. R. 6340 
To provide for mortgage forbearance during the COVID–19 emergency, and 
for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 23, 2020 
Mr. CLAY introduced the following bill; which was referred to the Committee 
on Financial Services 
A BILL 
To provide for mortgage forbearance during the COVID– 
19 emergency, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. MORTGAGE FORBEARANCE. 
(a) FINDINGS.— 
(1) FINDINGS.—Congress finds that— 
(A) the collection of debts involves the use 
of the mails and wires and other instrumental-
ities of interstate commerce; 
(B) at times of major disaster or emer-
gency, the income of consumers is often im-
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paired and their necessary daily expenses often 
increase; 
(C) temporary forbearance benefits not 
only consumer and small business debtors, but 
also other creditors by avoiding downward col-
lateral price spirals triggered by an increase in 
foreclosure activity; 
(D) without forbearance, many consumers 
and small businesses are unlikely to be able to 
pay their obligations according to their original 
terms and are likely to default on obligations or 
file for bankruptcy, resulting in reduced recov-
eries for creditors, and in the case of bank-
ruptcy, no recovery of unaccrued interest; 
(E) with forbearance, creditors are likely 
to realize greater long-term value because con-
sumers and small businesses will be more likely 
to be able to repay their obligations after the 
major disaster or emergency has subsided; 
(F) the legislative and administrative re-
sponse to major disasters and emergencies may 
consist of multiple components divided among 
different statutes and programs; and 
(G) when evaluating whether property has 
been taken from a person without just com-
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pensation, a holistic evaluation of the burdens 
and benefits of all legislative and administrative 
responses, including indirect benefits from mac-
roeconomic stabilization, is appropriate. 
(2) FURTHER FINDINGS REGARDING MORTGAGE 
FORBEARANCE.—Congress further finds that— 
(A) ensuring that consumers are able to 
remain in their residences reduces the disrup-
tions and economic harm caused by such disas-
ters and emergencies by ensuring that con-
sumers are able to continue their existing em-
ployment, education, childcare, and healthcare 
arrangements, which are often geographically 
based; 
(B) temporary forbearance on residential 
mortgages is therefore critical to fostering eco-
nomic recovery and stability in the wake of 
major disasters or emergencies; 
(C) temporary mortgage forbearance dur-
ing a declared disaster benefits not only mort-
gagors, but also mortgagees because mortga-
gors’ ability to pay is likely to be restored after 
a disaster or emergency subsides, so forbear-
ance may increase mortgagors’ total recovery. 
Without forbearance, mortgagors are likely to 
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