SB 94 , advance fee legislation, is about to be passed and is likely to be signed by the governor.  What does this mean to those providing loan modification services?  This legislation is definitely a game changer and will likely push a large segment out of the industry, for the better or worse.  Of course, there will be those that will continue their business in likely violation of the law and private attorneys and the attorney general will continue to enforce and coral these law breakers.

If you are in the industry, you will understand that any limitation of advance fees will change the way you do business.  The question is now, what are your limits?  Are the laws applied differently to attorneys and real estate brokers?  Will you be able to use a third party escrow or trust account in lieu of collecting advance fees? For a consultation specific to SB 94 or AB 764, sign up with legal express for DRE Compliancy.