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House · Engrossed · 2025-2026 Regular Session

HB 948: Property; debtors in foreclosures to receive certain information and forms in a notice of foreclosure; provide

Last action March 19, 2026 · Senate Read Second Time

House Bill 948 would require lenders foreclosing on Georgia property to tell debtors upfront how to claim any leftover money after a foreclosure sale, and to warn them that unclaimed funds could eventually go to the state.

Read the full bill text

These buttons carry the bill's own text, not the summaries below. Copy for LLM, View as markdown, and Send to AI use the Markdown version: the text as filed, then the summaries under a heading that names them as ours. View raw is the text alone.

The summaries below were written by an AI model (claude-sonnet-5) from the text of the bill and are not part of it. Quote the text, not the summary. The stored text is the Comm Sub version, the latest the General Assembly's website lists.

In plain language

Under current Georgia law (O.C.G.A. § 44-14-162.2), a lender starting foreclosure must send the homeowner a written notice at least 30 days before the sale, including contact information for someone who can negotiate the mortgage terms. This bill adds new requirements to that notice. It must now also tell the debtor about their right to claim any surplus funds left over after the foreclosure sale, explain how to start that claim, and include a bold-font warning that unclaimed surplus money can eventually become the state's property (escheat) under Georgia's unclaimed property law (O.C.G.A. § 44-12-193), currently after five years. The bill also changes how the notice must be mailed, requiring certified mail or overnight delivery with tracking instead of a return receipt. It updates the law on distributing sale proceeds (O.C.G.A. § 44-14-190) to clarify that surplus funds are paid out after other liens are settled by legal priority, including statutory liens, before going to the mortgagor or their agent.

What the bill does

  • Requires foreclosure notices to inform debtors of their right to claim surplus funds left over after a foreclosure sale and how to start that claim.
  • Adds a required bold-font warning that unclaimed surplus funds may eventually become state property (escheat) after a set time period.
  • Changes the required mailing method for foreclosure notices from certified mail with return receipt requested to certified mail or overnight delivery with tracking.
  • Clarifies that surplus sale proceeds must be distributed according to legal priority among liens, including statutory liens, before any remainder goes to the mortgagor.

Who it affects

Homeowners and other debtors facing foreclosure in Georgia, secured creditors and mortgage lenders who must send foreclosure notices, and anyone with a lien on foreclosed property who may have a claim to sale proceeds ahead of the mortgagor.

Why it matters

Debtors who lose their homes to foreclosure often do not realize they can claim leftover sale proceeds, and money that goes unclaimed can eventually be forfeited to the state. This bill would make lenders explain that right clearly, potentially helping more former homeowners recover money owed to them.

Key provisions

  • Section 1 amends O.C.G.A. § 44-14-162.2 to require foreclosure notices to include instructions for making an initial claim for surplus funds under O.C.G.A. § 44-14-190.
  • Section 1 requires a bold-font warning in the notice that surplus funds may escheat to the state under O.C.G.A. § 44-12-193 if not claimed within the current five-year window.
  • Section 1 changes the required delivery method from return receipt requested to tracking requested for certified mail or statutory overnight delivery.
  • Section 2 amends O.C.G.A. § 44-14-190 to specify that surplus proceeds go toward liens in legal priority order, including statutory liens, before payment to the mortgagor or agent.
  • Section 3 repeals conflicting laws.

From the bill

“Surplus funds may be considered abandoned property and may escheat to the State if you do not claim funds due to you within the timeline prescribed by O.C.G.A. 44-12-193, which is currently five years but is subject to change should O.C.G.A. 44-12-193 be revised in the future.”

The new bold-font warning lenders must include in foreclosure notices about unclaimed surplus funds.

“notice of the mortgagor's right to initiate a claim for any surplus funds after the foreclosure sale pursuant to Code Section 44-14-190, and instructions on how to make an initial claim for surplus funds which may be due to them”

The new information the bill requires lenders to include in foreclosure notices.

Discussed in meetings (15)

The House and Senate meetings that took this bill up, from their machine transcripts. Each account was written by Georgia Commons with AI and is not part of the record; the video is what was said.

  1. House Judiciary Committee, February 5, 2026

    From 1:07:48 · Watch on the General Assembly's Vimeo channel

    Summary by Georgia Commons: The sponsor said HB 948 would require foreclosure notices to include bold language warning borrowers that unclaimed surplus proceeds could become abandoned property and pass to the state. The sponsor said the current claim period was five years and described a constituent who had not known how to obtain surplus funds. The sponsor said the notice would help borrowers recognize money owed to them during a stressful time. Asked what surplus funds meant, the sponsor explained that they were proceeds remaining above the debt and foreclosure costs. The sponsor said there would be no surplus when the lender took the property back without another bidder. A foreclosure-attorney witness said lenders generally preferred receiving money rather than taking back property they would need to manage and market. The committee approved the bill by voice vote, with no opposition heard.

  2. House Rules Committee, February 9, 2026

    From 0:23:18 · Watch on the General Assembly's Vimeo channel

    Summary by Georgia Commons: The sponsor said HB 948 would require foreclosure documents to explain how people can recover any excess money remaining after foreclosure proceedings. No questions were asked, and the committee took no calendar action.

  3. House Rules Committee, February 11, 2026

    From 0:52:20 · Watch on the General Assembly's Vimeo channel · Confirmed by the 2026 House Journal, p. 568

    Summary by Georgia Commons: The committee placed HB 948 on Thursday's calendar after a motion and second, with no opposition voiced. There was no substantive discussion.

  4. House floor session, February 12, 2026 (legislative day 18)

    From 2:07:43 · Watch on the General Assembly's Vimeo channel · Confirmed by the 2026 House Journal, p. 583

    Summary by Georgia Commons: The sponsor said HB 948 would add disclosures to foreclosure documents explaining how a person can find out about and recover money left over after a foreclosure. The sponsor said a constituent's experience prompted the proposal because the constituent did not know how to seek those funds. The sponsor argued that clearer information could help homeowners during a difficult time. No questions or opposing speeches followed. The House adopted the committee substitute without objection and passed the bill, 161 to 0.

  5. Senate Banking and Financial Institutions Committee, March 17, 2026

    From 0:20:58 · Watch on the General Assembly's Vimeo channel

    Summary by Georgia Commons: The sponsor said HB 948 would require foreclosure notices to explain how former homeowners can claim money left after a foreclosure sale, including money transferred to the Department of Revenue as unclaimed property. The sponsor described a constituent who did not know how to recover those funds and said some recovery companies take a large share. A Georgia Realtors witness supported the bill as a way to improve transparency and help people recover equity. Asked why the notice says funds may become abandoned property, the sponsor said funds must first be held for a period and described the current unclaimed-funds period as five years. Another member suggested more prominent, simpler language alerting homeowners that money might be available, but no amendment was offered. A member questioned how often surplus funds arise, and the sponsor agreed that banks commonly buy properties back without producing a surplus. Asked about notice when money moves to unclaimed property, the sponsor described difficulty locating people after foreclosure and pointed to the state's online claims system. Members voted by raised hands on a motion to recommend passage. The chair did not explicitly announce the result, and a committee member agreed to carry the bill in the Senate.

  6. Senate Rules Committee, March 19, 2026

    From 0:31:35 · Watch on the General Assembly's Vimeo channel

    Summary by Georgia Commons: The sponsor said the bill would add information to foreclosure documents explaining how borrowers could reclaim excess funds remaining after foreclosure. The sponsor said the proposal was developed with banking and other stakeholders. No substantive questions or scheduling decision followed.

  7. Senate Rules Committee, March 20, 2026

    From 0:19:44 · Watch on the General Assembly's Vimeo channel

    Summary by Georgia Commons: The sponsor said the bill would inform people facing foreclosure how to recover excess proceeds if any remain after the foreclosure. The sponsor described the measure as a disclosure and transparency requirement. No calendar decision was recorded.

  8. Senate Rules Committee, March 23, 2026

    From 0:12:01 · Watch on the General Assembly's Vimeo channel

    Summary by Georgia Commons: The sponsor said HB 948 would provide people facing foreclosure with another disclosure explaining how to recover any excess funds remaining after foreclosure proceedings. No questions or vote were shown.

  9. Senate Rules Committee, March 30, 2026

    From 0:39:05 · Watch on the General Assembly's Vimeo channel

    Summary by Georgia Commons: The sponsor said HB 948 would help borrowers recover excess money remaining after foreclosure. The sponsor said borrowers did not always know how to obtain those funds. The measure was not included in the final calendar.

Status timeline

  1. 2026-03-19Senate Read Second Time (Senate)
  2. 2026-03-18Senate Committee Favorably Reported (Senate)
  3. 2026-02-17Senate Read and Referred (Senate)
  4. 2026-02-12House Passed/Adopted By Substitute (House)
  5. 2026-02-12House Third Readers (House)
  6. 2026-02-06House Committee Favorably Reported By Substitute (House)
  7. 2026-01-14House Second Readers (House)
  8. 2026-01-13House First Readers (House)
Show full history (9 actions)
  1. 2026-01-12House Hopper (House)

Sponsors

  • Beth Camp (R, HD-135)Primary sponsor
  • Clint Crowe (R, HD-118)
  • Karen Mathiak (R, HD-82)
  • Alan Powell (R, HD-33)
  • Rob Leverett (R, HD-123)
  • Steven McNeel (R, SD-18)

Votes

  1. PassedHouse voteFebruary 12, 2026

    161 yea, 0 nay (6 not voting, 10 excused)

    PASSAGE: House Vote #510

Topics

  • foreclosure
  • surplus funds
  • property law
  • debtor rights
  • unclaimed property

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