Released: March 06, 2007

Disaster-related foreclosure resources for Gulf homeowners

Consumer Action offers free Gulf foreclosure resource fact sheet

Contact: .(JavaScript must be enabled to view this email address), Consumer Action, (301) 718-2511; Linda Sherry, Consumer Action, (202) 544-3088

Consumer Action has published a free Disaster Relief Resource Sheet for Gulf area homeowners. It contains resources for homeowners in Alabama, Louisiana, and Mississippi. To download a PDF copy click here. The national consumer education and advocacy organization reached out to community-based organizations in the Gulf Coast area to let them know about resources that can help homeowners impacted by hurricanes protect their homes from foreclosure. For instance, Consumer Action believes that Mississippi homeowners may not be aware of a state mandated protection that helps people keep their homes. Hurricane affected homeowners in Mississippi are protected from losing their homes until October 2007. However, 18 months after Hurricane Katrina hit, some homeowners are still unaware of this legal protection. Consumer Action, which serves about 8,500 community-based organizations with free, bulk multilingual educational materials and train-the-trainer outreach services, has found little knowledge of the MIssissippi homeowner safety net. “We were surprised to learn that this key consumer protection has not received a lot of attention in the state," says Ruth Susswein, deputy director of National Priorities for Consumer Action. The state issued moratorium on foreclosures allows homeowners to file an affidavit with the court if they are unable to meet their mortgage obligations. The moratorium bans lenders from foreclosing on a home before October of this year. The court may establish a new repayment plan for homeowners in the interim. Mississippi Center for Legal Services (877-664-0238) will assist homeowners through the moratorium process. For more information on the state moratorium contact the Mississippi Attorney General’s office at 601-359–3680. Consumer Action, founded in 1971, develops consumer education modules for community-based organizations. The modules include materials in Chinese, English, Korean, Spanish, and Vietnamese.