How can victims of Katrina possibly pay their mortgages?

by truthseeker 9 Replies latest jw friends

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  truthseeker

  I was thinking, how can victims of Hurricane Katrina possible pay for their mortgage, car loans and credit cards when they have nothing, no job, no home, no where to go, and only the clothes on their back?

  I mean, will insurance really pay for their destroyed home? Did their car insurance have a flood policy?

  Some of the banks have offered reprieves for upto 3 months, or extended loans, but this does NOT solve the problem.

  Even when the victims find jobs, they still need a car, and a home, and how are they supposed to pay for these, and keep making payments of a home that is destroyed and a car that is flooded?

  The banks should just write off these debts. There is no way the poor people of New Orleans could possible afford to pay for two sets of homes and two cars.

  Banks like JP Morgan and Citibank are loaded with the fees they charge their account holders with.
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  truthseeker

  As an afterthought, there is only this month before the new bankruptcy lawas come into effect - and guess what? You have to pay about $1500 just to declare yourself bankrupt.
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  Leolaia

  Good point.....does anyone know what the deal is with this?

  There have already been prior situations in the past with other hurricanes (such as Andrew) where this must have happened as well.
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  G Money

  Most probably had flood insurance on the homes. I doubt there will be foreclosures at the local courthouse as its probably underwater. Best for lenders to be patient and wait for the insurance proceeds as they'll get more. As for cars, cheap cars maybe didn't have coverage but hey, they are cheap and for a few grand you can buy another. My old car was under 8 feet of salt water for days but I had sold it a long time earlier and comp. coverage wasn't available.
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  Leolaia

  For those who own their homes (no mortgage), how can they also prove ownership if deeds have been destroyed as well?
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  flower

  
  The bank I work for has suspended all mortgage payments for their customers for the next 90 days (for now). Also they have have suspended late payments and finance charges on their credit cards for those customers in that area. I'm sure many of the other banks are doing the same thing. I'm sure that before the 90 days is up they will have figured out what the plan is from there. I dont think the government will leave those people hanging after they have screwed up as bad as they have in all this.
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  horrible life

  What about their phone bill, or electric, gas, water or sewer. Is the city going to make them pay their water and sewer bills? HL
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  free2beme

  Not like there is a home worth taking back or a car to repo, I would call them up and tell them they could have it, especially after I got the insurance check.
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  G Money

  Mortgages and ownershup deeds are recorded and on microfiche, etc. Records are abundant these days and paper records are a small part of it.
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  horrible life

  Yes the laws are changing very very very soon. I heard it on the radio and TV, within the last week. HL