Wisniewski Praises Chase Mortgage Forbearance Program for Sandy-Afflicted Homeowners

March 12, 2013

Reiterates Call for Other Mortgage Lenders to Follow Suit

(SAYREVILLE, N.J.) – Deputy Speaker John S. Wisniewski (D) today praised the decision by JPMorgan Chase bank to allow homeowners affected by Superstorm Sandy to defer mortgage payments and again called for other mortgage bankers to follow suit. Last week, Chase announced that homeowners who missed payments during an authorized moratorium following the storm would be able to make up those payments at the end of the term of their mortgage without additional cost (http://investor.shareholder.com/jpmorganchase/releasedetail.cfm?releaseid=746083).

“Chase’s decision vividly demonstrates its commitment to the community and its customers,” said Wisniewski, a member of the Assembly Financial Institutions and Insurance Committee. “The company’s response to the hardships that continue to plague many homeowners attempting to recover from the damage inflicted by the storm is commendable and sets an example that, I hope, other mortgage bankers will soon follow.”

In January, Assemblyman Wisniewski had reached out to mortgage bankers requesting mortgage forbearance for local homeowners whose homes had suffered significant damage from Sandy. In addition to their financial struggles, Wisniewski pointed out that the homeowners faced a prolonged recovery process due to the delay in federal emergency relief funding, questions over new building standards and a drawn out process for buyout decisions.

Wisniewski had also written to both the New Jersey Bankers Association and the Mortgage Bankers Association of New Jersey requesting support for a mortgage forbearance program. Wisniewski wrote that “in granting forbearance, mortgage lenders would, at little cost, greatly ease the struggles that these homeowners currently face,” and then pointed out that such action would help reestablish the industry’s reputation and its ties with the local community.