Monday, December 17, 2007
Culver, Executive Council Offer Assistance To Iowans Affected By Mortgage Crisis
Also take steps to help those affected by ice storms
DES MOINES – Today, Governor Culver and the Executive Council of Iowa took steps to help Iowans affected by the downturn in the mortgage market. With an $180,000 grant, Iowa Mediation Services (IMS) will be able to help more Iowans as it continues to mediate and negotiate between home borrowers and mortgage lenders as a result of sub-prime loans and other home credit issues.
“Iowans across this state have been affected by the recent upheaval in the mortgage market, and as a state we must come together to help these individuals meet their obligations,” said Governor Culver. “This new grant from the State of Iowa will help thousands of people across the state find a fair and just resolution to the credit challenges they face.”
In September 2007, the Attorney General’s Office announced the establishment of the Iowa Mortgage Foreclosure Hotline. The hotline is staffed by IMS and works with borrowers and lenders to explore alternative approaches to avoid foreclosure. In its first six weeks of operation, the hotline received thousands of calls from people in need of credit assistance.
Iowans facing a mortgage foreclosure can call 877-622-4866 (toll-free) to reach the Iowa Mediation Service.
The Executive Council also approved an additional $330,000 for the disaster aid individual assistance grant fund. Administered by the Department of Human Services, these funds will be used to assist qualified individuals and families affected by last week’s ice storms.