On June 30, 2020 the Oregon House Bill 4204 came into effect. The bill provides certain relief to borrowers who have suffered a loss of income related to the COVID-19 pandemic, if their loan is secured by Oregon real property. Available relief may include deferral of certain loan payments, temporary suspension of foreclosure proceedings, and protection against other loan-related impacts.
All effected Columbia Bank borrowers have been sent a letter explaining the new law and how to provide their notice.
A lawsuit was filed in the U.S. District Court for the District of Oregon challenging certain provisions of Oregon House Bill 4204. The outcome of that lawsuit may alter your rights under the legislation and those outlined in the enclosed notice. We nevertheless encourage borrowers who have been negatively impacted by the COVID-19 pandemic to contact us to discuss their options.
The law applies to "Borrowers," which is defined to include mortgagors of Oregon real property, grantors of Oregon trust deeds, purchasers under a land sale contract in Oregon, persons who enter into a retail installment contract for personal property used as a residence, and other borrowers who give a security interest to a lender in: (1) real estate located in Oregon; or (2) personal property used as a residence in Oregon (e.g., manufactured residence). Successors in interest, including spouses or children of the borrower who become owners, heirs and devisees, and other kinds of successors in interest defined under the law are also protected.
You must provide a one-time notice to us that you will not be able to make a periodic installment as a result of loss of income related to the COVID-19 pandemic. You must provide this notice at any time during the COVID-19 "Emergency Period," which began on March 8, 2020 and ends on September 30, 2020. This period may be extended by the Governor of Oregon.
If your loan is secured by commercial property or residential property with more than four dwelling units, your notice to us must include the following:
(1) Certification that you will not be able to make a periodic installment payment during the Emergency Period;
(2) Financial statements or other evidence that demonstrates a loss of income related to the COVID-19 pandemic; and
(3) Disclosure of the amount of funds received from the United States Small Business Administration under the Paycheck Protection Program, as implemented under the Paycheck Protection Program Flexibility Act of 2020 (P.L. 116-142) or other state or federal relief programs.
Download the Commercial Notice Form
If your loan is secured by a residence with four or fewer dwelling units, your notice to us must include the following:
(1) Certification that you will not be able to make a periodic installment payment during the Emergency Period; and
(2) Certification that your failure to pay is a result of a loss of income related to the COVID-19 pandemic.
Download the Residential Notice Form
To ensure that we receive and process your notice appropriately, we ask that you provide notice to us by one of the following options:
Attn: OR COVID Assistance
PO Box 2156, MS 1096
Tacoma, WA 98401
Please contact us at 800-847-4980
To learn more details about the Oregon House Bill 4204, please visit the Oregon State Legislature website.
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