Newsom says five major banks are offering mortgage relief in fire-stricken Los Angeles areas
Five major banks are offering up to three months of mortgage payment relief to homeowners in areas damaged by wildfires in Southern California, Gov. Gavin Newsom said Saturday.
Newsom’s office said in a statement that banks will use a streamlined process that eliminates the need to submit forms or documents, and there will be no immediate repayments or late fees after the grace period ends. Newsom’s office said mortgage payments on homes destroyed or damaged by fires will be suspended for 90 days and will not be reported to credit agencies.
“After experiencing so much trauma, we hope this agreement will provide some measure of relief to the thousands of survivors,” Newsom said in a statement. “These financial protections will allow residents to focus on the immediate needs of their immediate future.” needs rather than worrying about paying your mortgage bill.”
Participating banks include Bank of America, Citibank, JPMorgan Chase, U.S. Bank and Wells Fargo. Many banks already have policies in place that allow for deferment of repayments for up to three months. To participate, homeowners must contact their mortgage provider. According to Newsom’s office, the zip codes included in the mortgage relief program are: 90019, 90041, 90049, 90066, 90265, 90272, 90290, 90402, 91001, 91104, 91106, 9107 and 35367.
Newsom’s office said additional commitments to help those affected by the fires will be announced in the coming days.
As of Saturday, the Palisades and Eaton fires had destroyed more than 11,000 structures and killed at least 27 people. Forecasters say another round of fire weather is likely next week, after a temporary easing of dangerous winds this weekend.
Other executive orders issued by Newsom postponed the tax filing deadline for individuals in Los Angeles County to October 15. Extensions of up to four years are also possible. Apply to the Los Angeles County Treasurer and Tax Collector.
Newsom ordered protections for fire victims from predatory land speculators, making unsolicited and lowball offers a misdemeanor for three months. Violations may be reported to the Office of the Attorney General at oag.ca.gov/report.
“As families mourn, the last thing they need is greedy opportunists taking advantage of their pain,” Newsom said in a statement Tuesday. “I’ve heard firsthand from community members and victims, They received unsolicited predatory offers from speculators offering cash well below market value – some while their homes burned down.”
Melissa Michelson said such offers prompted the advocacy group SGV Progressive Alliance to announce they would hold a protest Saturday at 2:30 p.m. to send a message to developers that Altadena is not for sale. The protest was scheduled to begin at Lake Avenue and East Woodbury Road.
“Our message is that the community needs to be strong and don’t sell your property to the first buyer,” Michaelson said. “The concern is the displacement of the community and the neighbors who have lived there for a long time. We don’t want the community to changes occur.
