California’s working families are being devastated by the home foreclosure crisis. While tens of thousands are losing their homes, millions more are watching their home values plummet. Collectively, we are now at the lowest level of home equity since the Great Depression. As our economy enters recession, families are seeing their monthly mortgage payments double and triple.

We must act now to help families facing foreclosure and to prevent this type of crisis from happening again. AB 1830 (Lieu) would reform lending practices to protect families from unscrupulous brokers and unfair mortgage loans. This bill would regulate sub-prime lending practices to protect families from being steered into riskier, costlier loans than they otherwise qualify for. 

This bill expands on the reforms outlined in SB 1137 (Perata), which was passed and signed into law in July. SB 1137 requires lenders to talk to borrowers before initiating a foreclosure, resulting in immediate aid to those at risk of losing thier homes.

But if we want to prevent another foreclosure freefall, we must ensure that the abusive lending practices that fueled this crisis are eliminated. Please send a letter to your legislators today to express your support for AB 1830, and stop predatory lenders from taking advantage of California's working families.

Dear [ Decision Maker ] ,

California's working families are being devastated by the foreclosure crisis. While tens of thousands are losing their homes, millions are watching their home values plummet. Collectively, we are now at the lowest level of home equity since the Great Depression. As our economy enters recession, families are seeing their monthly payments double and triple. We must act now to help families facing foreclosure and to prevent this type of crisis from happening again.

That's why I am urging you to support AB 1830 (Lieu), an important lending reform measure that will help prevent a foreclosure freefall of this magnitude from ever happening again. AB 1830 regulate sub-prime lending practices to protect families from being steered into riskier, costlier loans than they otherwise qualify for. It prevents predatory lending by requiring the broker to put the borrower?s financial interest ahead of his own. It also limits pre-payment penalties, which make it harder to refinance when trapped in a bad loan.

While AB 1830 contains important consumer protections, it is truly a compromise measure. Even the banking industry has dropped their opposition. I urge you to vote YES when this important reform comes before you.

Sincerely,

Campaign Launched:
August 26, 2008