Calif lawmakers prepare to advance mortgage bills

3:48 PM, Jun 10, 2012   |    comments
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SACRAMENTO, CA (AP) - Democrats in the California Legislature are preparing to advance bills that are designed to limit the run-around some homeowners have experienced with lenders and to let them sue under some circumstances.

The legislation expands on a recent nationwide bank settlement over home foreclosures in one of the states hit hardest by the mortgage crisis.

Sen. Noreen Evans, chairwoman of a committee crafting the legislation, says she hopes to have the bills ready this week so they can be considered after Friday's deadline to pass a budget.

Opponents are most concerned that letting borrowers sue bankers could delay legitimate foreclosures.

The package also would require lenders to provide a single point of contact for borrowers and bar lenders from filing notices of default while they are also considering alternatives to foreclosures.

The Associated Press

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