Two Wisconsin legislators have introduced a foreclosure relief plan at the state Capitol on April 14, 2009. The plan is called the “Mortgage Mediation” plan.
The plan will try to help borroweres and lenders by trying to ensure that even if a foreclosure settlement cannot be reached, mediation would be available to help both the borrower and the lender.
This plan could help to streamline the process, possibly avoid unnecessary foreclosures, and even shorten the foreclosure process by up to 15 months.
This plan is one of the necessary steps nationwide towards helping distressed homeowners and to assist with the difficult process of loan modifications.
Most states currently do not have any provision for mediation of the loan modification or foreclosure issues. Although many states — including California — have introduced some form of legislation to assist homeowners in protecting their homes.