LOS ANGELES—In response to the devastating wildfires and windstorms impacting communities across the Los Angeles region, credit unions throughout Southern California are offering financial relief to local members affected by this crisis, the California and Nevada CU Leagues reported.
“As the California Credit Union League works in close partnership with Governor Gavin Newsom’s office to provide streamlined credit union processes for mortgage payment forbearance periods and other types of financial relief, local credit union leaders are committed to contributing compassionate assistance. This includes helping individuals and families as they operate during the current crisis, as well as relief in the recovery process,” the league said.
“Credit unions are deeply committed to supporting their members and communities by offering immediate financial relief,” said Scott Simpson, president and CEO of the League. “Many of our credit unions are providing direct assistance and long-term recovery options — including mortgage forbearance and flexible payment options — to ensure Southern Californians can focus on rebuilding without the added burden of financial worries.”
Several credit unions across Southern California that serve members who are impacted by the Los Angeles-area fires are providing:
- Mortgage Forbearance: Offering temporary suspension or reduction of mortgage payments for homeowners whose properties have been damaged or destroyed
- Loan Forbearance: Extending forbearance options to other types of loans, including personal loans and auto loans
- Loan Extensions: Granting extensions on existing loan terms to provide financial flexibility
- Emergency Loans: Providing access to immediate funds for essential needs like temporary housing, food, and clothing
- Fee Waivers: Eliminating fees for services such as ATM withdrawals, overdraft charges, and late payment penalties
More FIs Offer Support
Separately, California Governor Gavin Newsom Thursday announced that 270 state-chartered banks, credit unions, and mortgage lenders and servicers have committed to providing mortgage relief for property owners in designated fire areas.
Similar to a recent announcement by five major lenders, these institutions have committed to offering impacted homeowners a 90-day forbearance of their mortgage payments, without reporting these payments to credit reporting agencies, and the opportunity for additional relief. One additional federally chartered institution has also joined in the previous commitment.