Several mortgage lenders now have disaster relief provisions in effect for homeowners in Mississippi, Louisiana, Florida, and Alabama as a result of the damage caused by Hurricane Katrina. With disaster provisions, lenders help homeowners in many ways. This help includes suspending home mortgage payments, reducing the payment amount, or in severe cases, starting longer loan repayment plans. This help is offered on a case by case basis, and is intended to meet the individual needs of the victims of Hurricane Katrina.
In addition to repayment help, many lenders are now temporarily discontinuing reports of delinquency to credit bureaus as a result of the Hurricane. For information about mortgage repayment relief, homeowners who are under hardships should contact their lenders for assistance.