SCHUMER: WITH INITIAL FEMA AND INSURANCE PAYMENTS TO HOMEOWNERS RUNNING OUT, THOUSANDS OF SANDY VICTIMS FACING POTENTIAL FORECLOSURES AND LATE FEES ON MORTGAGE PAYMENTS– SCHUMER CALLS ON BANKS TO EXTEND “PAYMENT DELAY PERIODS” AND PROVIDE FLEXIBLE PAYBACK PLANS

New York, NY – March 4, 2013 – (RealEstateRama) — U.S. Senator Charles E. Schumer today called on banks to extend the mortgage payment delay period, also known as a forbearance period, for homeowners who are still feeling the effects of Sandy. After Sandy, many banks issued 3 – 6 month mortgage payment holidays – meaning homeowners would not be penalized for missing payments – which have now expired or are about to expire. In addition to forbearance expiration, many banks are requiring homeowners to repay the missed months in one unaffordable lump sum payment.