MiMortgage Relief Partnership Offers Grace Period on Mortgage Payments
Michigan Governor Gretchen Whitmer and the Michigan Department of Insurance and Financial Services (DIFS) have announced a partnership with the state’s financial institutions to create a mortgage payment grace period for those suffering financial hardships due to the COVID-19 pandemic.
The MiMortgage Relief Partnership includes more than 200 financial institutions which will assist customers to ensure no one will lose their homes during the crisis. Credit unions, banks and lenders are providing a 90 day forbearance or grace period to those suffering financial losses from the outbreak.
This will allow borrowers to reduce or delay their monthly mortgage payments during the grace period, provide a streamlined process for requesting forbearance for COVID-19-related reasons, supported with available documentation, confirm approval of and terms of their forbearance program (which should include reasonable solutions for resuming payments at the end of the forbearance term) and where appropriate, provide the opportunity for borrowers to extend a forbearance agreement if they continue to experience hardship due to COVID-19.
For affected borrowers who reach an agreement with their financial institution, financial institutions will waive or refund mortgage-related late fees for at least 90 days.
Financial institutions also will not initiate any foreclosure sales or evictions for 60 days for affected borrowers who reach an agreement with their financial institution and will not report adverse credit scoring information for those borrowers who reach an agreement with their financial institution.
For further information about the program, visit michigan.gov/mimortgagerelief or call DIFS at (877) 999-6442.