Governor Matt Blunt (R-MO) has signed House Bill 2188 , legislation to protect homeowners from fraudulent mortgage practices by strengthening both Missouri’s civil and criminal laws. The legislation shuts existing loopholes, creates civil and criminal penalties for mortgage fraud and further enhances consumer knowledge about the mortgage process.
Specifically, it gives the Real Estate Commission and Real Estate Appraisers Commission power to suspend or revoke licenses for mortgage fraud, creates the crime of mortgage fraud, a class C felony, with up to 10 years of prison, enhances consumer protection laws to protect Missourians from fraudulent scams, and provides the commissioner of the Division of Finance power to prohibit offenders from doing real estate lending in the state.
