L.A. wildfire victims would get mortgage relief under new bill [Los Angeles Times (CA)]
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Source: Los Angeles Times
The bill calls for flexible repayment plans through mortgage extensions, addressing borrower complaints. Victims of last year's wildfires in Los Angeles County who were unable to get mortgage relief under a state law enacted last year would get another chance with a stronger bill introduced Wednesday. The legislation, AB 1847 , by Assemblymember John Harabedian (D-Pasadena), would triple to 36 months the 12 months of mortgage relief offered by last year's AB 238, while allowing borrowers to repay the money through a deferral that extends the mortgage. Also authored by Harabedian, AB 238 prohibited mortgage lenders and servicers from requiring borrowers to pay back any forbearance in a lump sum, but it otherwise did not specify repayment terms. It also banned late fees, foreclosures and negative reports to credit bureaus. Borrowers told The Times that they had difficulty getting any relief and when they did, they were told if they didn't want to pay it back in a lump sum, they
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