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Consumer Financial Protection Bureau adds measures that require lenders to work with homeowners on late mortgage payments

The Consumer Financial Protection Bureau is working to help keep homeowners inside their homes after programs designed to help that expired this week.

More homeowners are currently behind on their mortgages now than they have been since 2010.

The emergency measures homeowners had expired Aug. 31 and now a large amount of homeowners have lost access to the protection they had, making their back payments due this fall.

The CFPB knew owners were required to pay the full amount owed all at once, so they put some rules into place to help.

If the owner’s grace period is ending, the lender must let them know the exact date it ends.

They must tell the owner about extensions or repayment plans available as well as the information on how to apply. They must also tell owners how to get homeownership counseling services.

If an owner is not in a forbearance program then the lender needs to offer information on what programs are available and what’s needed to qualify. They then need to inform owners om how to get homeownership counseling services.

While the CFPB has added extra measures that buy owners time to pay their past mortgage dues, it is up to the owners to work with the lenders to come up with a solution.

Categories: BusinessNews