While the foreclosure crisis continues to swell, the Washington Attorney Generals Office is commemorating National Consumer Protection Week with the passage of a new law that shields families who have lost homes from further harm.

Gov. Christine Gregoire will sign Attorney General Rob McKennas consumer protection bills at 1:30 p.m. today in her conference room at the Capitol. One bill protects foreclosure victims and the other guards used car buyers. House Bill 2428 protects the pocketbooks of families who have lost their homes due to an inability to pay their property taxes.

The new law, which was prime-sponsored by Rep. Dean Takko, D-Longview, regulates firms and individuals who contact owners of foreclosed properties offering to obtain money remaining after the auction on their behalf  in return for a cut. As foreclosures have increased, weve seen an uptick in get-rich-quick schemes that prey on those who have lost their homes, Attorney General Rob McKenna said. This new law is part of our ongoing efforts to help financially strapped families keep the little money they have left. Lewis County Treasurer Rose Bowman was a strong proponent of the bill. As Legislative Chair of the Washington State Association of County Treasurers, she and her colleagues had been searching for a solution to a growing problem.

We were looking for a way to protect our most vulnerable population  people who, for whatever reason, have lost their property to tax foreclosure  and figure out how we can get their money to them and not to others who are trying to claim it. The bill places a 5 percent cap on such finders fees, the same amount allowed for other kinds of unclaimed funds. Previously, individuals who provided such services kept as much as 50-70 percent of the former homeowners money. Bowman said many of the finders use shady tactics, including hounding the original homeowner to sign a paper or trying to convince county officials that they are a relative of the original homeowner, and therefore entitled to the money.

Its amazing the lengths they go to try to intercept these funds, she said. Bowman said its easy  and free  for former property owners to receive surplus funds available after a foreclosure. They just need to fill out a form and have it notarized. A notary at the county will provide the service for no charge. McKennas other requested bill, House Bill 2429, protects used car buyers. The Attorney Generals Office discovered that used car dealers were obtaining lemon vehicles at auctions and reselling them in Washington. Washingtons Lemon Law already required dealerships that sell new cars to disclose whether a vehicle was ever bought back from a manufacturer under another states Lemon Law program. But used car dealers werent required to make those disclosures.

The new law, sponsored by Rep. Alex Wood, D-Spokane, ensures that used car dealers inform potential buyers that the cars title will include a comment that that the vehicle was previously returned to the manufacturer and that this may affect the vehicles future resale value. Both bills passed unanimously in the House and Senate.