ST. PAUL, Minn. (AP) — State officials said Thursday that 31 Minnesota financial institutions have committed themselves to provide additional mortgage-relief options to homeowners facing financial hardship caused by the coronavirus pandemic who don’t have federally backed mortgages.
Under the framework announced by Attorney General Keith Ellison and Gov. Tim Walz, the participating banks and credit unions have agreed to offer 90-day forbearance periods. Qualifying families won’t have to make lump-sum payments at the end of that period for what they owe. Instead the institutions will work with borrowers on repayment options. The institutions will freeze late fees for missed payments and won’t report late or missed payments to credit agencies.
“In the next few weeks, we may see a dramatic increase in the number of foreclosures and evictions,” Ellison said in a statement. “I am very pleased to announce that these banks and credit unions across Minnesota are working together to try to mitigate the damage.”
The participating financial institutions include U.S. Bank, Bremer Bank, First Security Bank, Foresight Bank and 27 credit unions across the state.
This framework is similar to agreements reached in California, Michigan, Pennsylvania, and other states.
The Minnesota Homeownership Center is an independent nonprofit that specializes in assisting homeowners with their options. They can be reached at (651) 659-9336 and email@example.com. Consumers are urged to reach out early, as available options diminish once payments are missed.
Financial institutions agreeing to offer the mortgage relief options provided by this framework:
Accentra Credit Union
Affinity Plus Federal Credit Union
Anoka Hennepin Credit union
Central Minnesota Credit Union
City & County Credit Union
Dawson Co-op Credit Union
Embarrass Vermillion Federal Credit Union
Financial One Credit Union
First Alliance Credit Union
First Security Bank
HBI Employees Credit Union
Heartland Credit Union
Mayo Employees Federal Credit Union
Members Cooperative Credit Union
MidMinnesota Federal Credit Union
Minnco Credit Union
Minnesota Valley Federal Credit Union
MN Catholic Credit Union
Mower County Employees Credit Union
North Memorial Federal Credit Union
NorthRidge Community Credit Union
Riverview Credit Union
South Metro Credit Union
TopLine Federal Credit Union
Two Harbors Federal Credit Union
Virginia Co-op Credit Union
Wakota Federal Credit Union
Wings Financial Credit Union