CUNA, along with banking, mortgage and real estate trade associations, is pressing Senate and House leadership to extend the Mortgage Forgiveness Debt Relief Act before it expires at the end of the year.

The act, signed into law in December 2007, provides tax relief to borrowers by waiving taxes normally due on amounts forgiven by lenders when a mortgage is modified, or home is lost in foreclosure or sold in a short sale. If the law is not extended, homeowners would have to report the amount as taxable income, a requirement that CUNA said would make it more difficult and expensive for homeowners to accept short sales and modification offers.

Complete your profile to continue reading and get FREE access to, part of your ALM digital membership.

Your access to unlimited content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical information including comprehensive product and service provider listings via the Marketplace Directory, CU Careers, resources from industry leaders, webcasts, and breaking news, analysis and more with our informative Newsletters.
  • Exclusive discounts on ALM and CU Times events.
  • Access to other award-winning ALM websites including and

Already have an account?


© 2023 ALM Global, LLC, All Rights Reserved. Request academic re-use from All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.


Credit Union Times

Join Credit Union Times

Don’t miss crucial strategic and tactical information necessary to run your institution and better serve your members. Join Credit Union Times now!

  • Free unlimited access to Credit Union Times' trusted and independent team of experts for extensive industry news, conference coverage, people features, statistical analysis, and regulation and technology updates.
  • Exclusive discounts on ALM and Credit Union Times events.
  • Access to other award-winning ALM websites including and

Already have an account? Sign In Now
Join Credit Union Times

Copyright © 2023 ALM Global, LLC. All Rights Reserved.