Arkansas AG rolls out guide for families facing foreclosure
Arkansas Attorney General Dustin McDaniel says a new state law to help distressed homeowners is "not a bailout" or a foreclosure defense, but a pragmatic rule that will ensure servicers give borrowers the information they need to save their properties. Act 885, which is the byproduct of Arkansas House Bill 1811, will essentially "arm them with information" from the mortgage servicer, McDaniel said at a press conference Tuesday. State Rep. Tiffany Rogers (D-Ark.), who sponsored the bill, said the piece of legislation also extends the amount of notice homeowners will receive prior to a foreclosure sale. The Act extends that period from 5 to 10 days. "Homeowners will receive critical information in the mail in a packet before they receive a foreclosure notice," McDaniel said when describing the new bill. "We encourage homeowners when they get the packet to contact a lawyer to help them with the foreclosure proceedings." McDaniel said the bill will not resolve debts, but when homeowners have the means to "right the course on their home loan, this allows them to have a real phone number and a real person they can call." McDaniel said the Act is needed since the processes around foreclosure have "become awfully complicated." "When you take out a mortgage you may have no idea who actually owns that mortgage," he explained. He said by the time the same loan is heading for foreclosure, borrowers "may not have the right information to get out of trouble." Write to Kerri Panchuk.