On behalf of Law Offices of Mark M. Kratter, LLC on February 01, 2012
As the foreclosure crisis continues across the nation, some help may be on the way for Connecticut residents. On Jan. 30, the state attorney general and U.S. Rep. Rosa DeLauro held a joint news conference at the United Way in Milford to tout measures that may bring some relief and protection to area homeowners. The measures are designed to reduce frustration and to potentially avoid foreclosure in some cases.
The first measure, announced by the state attorney general, is actually part of a multistate settlement. That settlement has three important parts to it that may be of interest to readers of this blog. First, it forces lenders to provide one point of contact that a customer can use to seek a loan modification and an independent review of loan documents. Second, it prohibits lenders from pursuing loan modification and foreclosure at the same time. Third, it provides $27 million to Connecticut residents who are either facing foreclosure or have otherwise been affected by improper lending procedures.
The second measure concerns a bill introduced by Rep. DeLauro. According to a local news report, the bill is very similar to the multistate settlement, but also allows borrowers to sue for damages under certain circumstances. Moreover, it allows homeowners to stop a foreclosure when the loan decision was influenced by improper paperwork.
With recent news that the area foreclosure rate climbed to 4.53 percent last November, against the national average of just 3.41 percent, the measures will likely be welcomed by Connecticut homeowners.
Source: Connecticut Post, "DeLauro urges mortgage, foreclosure rules," Frank Juliano, Jan. 30, 2012
