California Governor Gavin Newsom announced today that 270 state-chartered financial institutions will provide mortgage relief to property owners affected by devastating fires in Los Angeles and Ventura Counties.
The relief package includes a 90-day pause on mortgage payments without negative credit reporting impacts for qualified homeowners in designated fire zones. This builds upon last week's commitment from five major mortgage lenders, with an additional federal institution now joining the initiative.
"This announcement helps provide survivors with time to address immediate needs, rather than worrying about mortgage bills," said Governor Newsom. "California will continue working to support survivors and expedite recovery efforts."
The comprehensive relief package includes:
- 90-day mortgage payment postponement
- Simplified relief request process with minimal paperwork
- Flexible repayment options with no balloon payments
- Waiver of late fees for 90 days
- Protection from foreclosures and evictions for at least 60 days
- No reporting of delayed payments to credit agencies
Scott Simpson, President and CEO of California & Nevada Credit Union Leagues, emphasized their commitment to supporting affected members: "Credit unions are offering immediate financial relief including mortgage forbearance and flexible payment options to ensure Southern Californians can focus on rebuilding their lives."
The relief applies to qualified residents in specific Los Angeles County ZIP codes impacted by the fires. Property owners must contact their mortgage servicer directly to request assistance.
State legislators also voiced strong support for the initiative. Assemblymember John Harabedian (D-Pasadena) praised the immediate financial relief while noting ongoing work ahead. Senator Sasha Renée Pérez (D-Glendale) highlighted the importance of coordinated efforts to support all impacted communities, particularly historically underserved areas.
The California Bankers Association, California Credit Union League, and California Mortgage Bankers Association collaborated to facilitate these commitments, demonstrating a unified response to support communities recovering from the catastrophic firestorms.