Telephonic sellers: loan modifications.

Existing law provides for the regulation of telephonic sellers, and requires that a telephonic seller register with the Department of Justice and file specified information with the department, as specified. Existing law defines "telephonic seller" to include, among others, a person who represents or implies in a telephonic solicitation, whether or not initiated by the telephonic seller, that he or she is offering to make a loan, or to arrange or assist in arranging a loan or to assist in providing information that may lead to the obtaining of a loan, with a specified exception. Existing law makes it a misdemeanor to solicit prospects on behalf of a telephonic seller who is not registered with the department. This bill would include in the definition of telephonic sellers a person who represents or implies in a telephonic solicitation, whether initiated by the telephonic seller or made in response to inquiries generated by advertisements on behalf of the telephonic seller, that he or she is offering to arrange or assist in arranging the modification of an existing loan, or to assist in providing information that may lead to the obtaining of a loan modification, as specified. The bill would require these telephonic sellers to file certain information with the department, including the names and addresses of all persons who, in the previous 24 months, obtained loan modifications for individuals who responded to the seller's solicitations or representations. Because the bill would expand the scope of a crime, it would impose a state-mandated local program. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason.