Officials at the Minnesota Department of Commerce urge homeowners affected by flooding to begin communicating immediately with their lenders about their mortgage payments. The sooner banks and mortgage holders know about an emergency financial situation, the easier it might be to negotiate an alternative payment plan. In the event of a disaster that damages your home or property, be sure to follow these important steps with your bank or lender.
Homeowners affected by flooding or other severe storm damage should immediately contact their lenders about mortgage payments. The sooner banks and mortgage holders know about an emergency financial situation, the easier it might be to negotiate an alternative payment plan.
As the chief regulator for state chartered banks, the Department of Commerce encourages bankers to work constructively with borrowers in communities affected by flood and storm damage. Those that do will not be subject to examiner criticism. Federal bank regulatory agencies have issued similar communications in the past.
The Minnesota Department of Commerce has assembled information and resources for victims of severe weather-related damage related to home insurance, auto insurance and mortgages in our Handling your Finances after a Disaster publication.
Other government resources:
FEMA / U.S. Small business Administration (800-462-9029)
The Minnesota Energy Assistance Program, administered by the Minnesota Department of Commerce may offer energy utility bill assistance and/or furnace replacement or repair (800-657-3710, MN only).
Eligibility for the Minnesota Energy Assistance Programs is based on income. For example, a household of four with an annual income of $40,000 or less would be eligible.
In addition, you can usually look to these community-based resources for information:
Red Cross / Salvation Army
Mortgage Default Information and Counseling (888-234-4935, toll free)
Insurance Federation of Minnesota (800-642-6121)