New Help for Homeowners Facing ForeclosureSolving Disputes With Your Insurance CompanyInsurance Companies’ Broken Promises - Hurt Michigan Families Fighting to Keep Michigan Residents Warm This WinterProtecting Our SeniorsStop Identity Thieves!
New Help for Homeowners Facing Foreclosure
Michigan continues to be one of the states hardest hit by the foreclosure epidemic, with thousands of families facing a nightmare they never imagined. In this tough economy, all it takes is the loss of a job or insurmountable medical bills to put that monthly mortgage payment out of reach
We have to do everything we can to reverse the foreclosure epidemic to help keep hard-working folks in their home, protect property values, keep our communities safe and attract new job providers. Many people who lost their homes to foreclosure say they could have kept them if they’d only had a little more time to re-arrange their finances or known about their options. That’s why I voted for a plan, which is now law, that gives struggling home- owners who seek help a 90-day reprieve from foreclosure. To be eligible, home- owners must agree to work with a housing counselor and their lender to reach a solution.
How to Use the New Foreclosure Lifeline
- Open all mail from your lender. If you’re at risk of foreclosure, you will receive a notice explaining your right to work with your lender and a certified housing counselor.
- Call a certified housing counselor immediately. You have 14 days from the date the notice was mailed to do so.
- You can get help from free, certified housing counselors through:
- The Michigan State Housing
Development Authority: (866) 946-7432
or www.michigan.gov/MSHDA
- The U.S. Department of Housing and Urban Development: (800) 569-4287 or www.hud.gov
- Start working on a solution. You have 90 days from the date you contact your housing counselor to come to an agreement with your lender about your loan.
Solving Disputes With Your Insurance Company
Michigan’s Office of Financial and Insurance Regulation (OFIR) recommends taking the following steps if you disagree with your insurance company’s decision.
Speak with a management representative to try to find a solution.
- Explain the problem in a calm, courteous manner.
- Be prepared to provide policy and claim numbers and any documents that verify or explain the problem.
- Provide accurate dates, amounts and as many facts as you can recall.
If you need more assistance, you can contact OFIR Consumer Services to ask questions or to file a written complaint.
For more information:
Office of Financial and
Insurance Regulation
Toll-free: (877) 999-6442
Web site: www.michigan.gov/ofir
Insurance Companies’ Broken Promises - Hurt Michigan Families
Big insurance companies make a lot of promises to get our business, and we expect them to be there in our hour of need. Unfortunately, many insurance companies delay and deny paying legitimate property, auto and health insurance claims just to add to their profits.
All too often, families turn to their insurance company after being in a devastating car crash, losing their home in a fire or suffering a catastrophic injury – only to have their insurance company refuse to honor the policy they paid for. This can often leave residents under piles of medical bills and other expenses that should’ve been paid for by the insurance company. Many are forced into bankruptcy, foreclosure, or worse.
Michigan is one of only four states that have inadequate laws to protect consumers from these practices. That gives insurance companies an incentive to drag their feet in paying legitimate claims or refuse to pay them altogether.
That’s why I recently joined my colleagues to announce a plan to stop insurance companies from putting profits over people and ensure that Michigan consumers get the protection they deserve.
The plan would:
- Protect consumers by punishing insurance companies that deny legitimate consumer
claims with penalties including a $1 million fine. - Punish CEOs who knowingly encourage wrongful denial of claims by making the misconduct a felony that could result in four years in prison plus a $50,000 fine.
- Create a whistle-blower protection plan to shield employees who report that an insurance company is denying legitimate claims.
- Require insurance companies to repair a consumer’s credit rating if it is harmed by wrongful denial of coverage.
Visit www.stopinsurancedenial.com to share your story of wrongful denial.
n our harsh Michigan winters, heating your home can be a matter of life and death. No one should have to choose between paying for electricity and putting food on the table.
In an effort to ensure that every Michigan family stays safe this winter, I voted for a plan that bans winter utility shutoffs for seniors and low-income individuals who have sought assistance paying their bills.
The legislation, which has passed the House, also requires the Michigan Public Service Commission to work with providers and service agencies to better assist seniors and low-income families that have had trouble making payments.
If you are concerned that you won’t be able to pay your utility bills, contact your utility provider right away to make arrangements. You can also contact the Michigan Department of Human Services’ energy assistance hotline at (800) 292-5650 or visit www.michigan.gov/dhs.
Every year, tens of thousands of Michigan seniors are abused or exploited by people they trust. Reports of elder abuse have increased 40 percent in the past decade, according to the Michigan Department of Human Services. Elder abuse takes many forms, including residents being swindled out of their life savings or neglected by so-called caregivers whose only motivation is inheriting their money.
To help stop these terrible crimes, I voted for legislation that strengthens consumer protections for seniors, prevents elder abuse and increases penalties for those who financially exploit our seniors.
The plan the House passed would:
- Increase penalties for people who cheat or defraud seniors, including banning abusers from inheriting their victim’s estate.
- Empower concerned citizens to file criminal complaints to stop and prevent abuse in nursing homes and elsewhere.
- Require financial institutions to do more to disclose the rights of seniors and create new safeguards against fraud.
- Create the “Mozelle Alert” to notify the public in cases of missing endangered seniors, similar to the Amber Alert. The alert is named in honor of Estella Mozelle Pierce, a senior who died after wandering from her Southwest Detroit home.
If you suspect an older person is being abused, neglected or exploited, call the state’s 24-hour hotline at (800) 996-6228.
During tough economic times, more people are looking for ways to make a quick buck – often at the expense of others. Here are some tips to thwart identity thieves and protect your hard-earned money and credit.
- Monitor the balances in your accounts. Keep an eye out for unexplained charges or withdrawals.
- Track your mail. Failing to receive bills or other mail may be a sign that someone has changed your address with the post office to get your mail. Another red flag: receiving credit cards you didn’t apply for.
- Order credit reports from the three major credit reporting bureaus. Federal law allows you to get one free credit report a year. You can request these at www.annualcreditreport.com or by calling
(877) 322-8228.
- Guard your Social Security number. Do not give it out unless you absolutely have to.
- When discarding documents that contain identifying information – credit card applications, checks, receipts, insurance documents – SHRED them using a cross-cutting shredder. Thieves often search people’s trash for such documents.