Mortgage relief still available for those struggling to make payments

From having trouble putting food on the table to fears of losing their home, thousands of families are dealing with new hardships during the pandemic. However, there are programs that have also started to alleviate some of that worry.

According to the Minnesota Department of Commerce, more than 10,000 families have missed at least one mortgage payment during the pandemic.

“[We’re] concerned for the thousands of Minnesotans who may be going behind on their mortgage because of the pandemic,” said Max Zappia, deputy commissioner for financial institutions with the Minnesota Department of Commerce.

“We are encouraging all Minnesotans in that situation to contact their mortgage servicer to see what options for relief they might have available to them,” he added.

Thanks to the federal CARES Act, mortgage forbearance is available to many. Loans need to be federally backed to qualify and payments could be eligible to be lowered or paused for as long as 180 days. There are also foreclosure protections in place to help you keep your home.

While the paused payments won’t gather interest or fees, they’ll eventually need to be paid back. Zappia said to work out a payment plan with your mortgage servicer.

“The particular relief that we’re talking about does not alleviate your need to pay your loan, it also doesn’t happen automatically – you need to apply for it and be approved for it,” Zappia said. “Just ignoring this problem, unfortunately, will not make it go away.”

Steps to receive mortgage forbearance can be found by clicking here.