Big 5 banks offer mortgage relief in fire-ravaged LA neighborhoods, Newsom says

Five major banks are giving homeowners up to three months to pay mortgages in areas devastated by the wildfires in Southern California, Gov. Gavin Newsom on Saturday.

In a statement, Newsom’s office said that banks will have a simple system that will not require the submission of forms or documents and when the grace period is over, there will be no immediate payment or late fees. The 90-day moratorium on payments on homes that have been destroyed or damaged by fire will not be reported to lenders, Newsom’s office said.

“After so much trauma, we hope this agreement will provide relief to thousands of survivors,” Newsom said in a statement. “This financial protection will enable citizens to focus on taking care of their immediate needs rather than worrying about paying mortgages.

Participating banks are Bank of America, Citi, JPMorgan Chase, US Bank and Wells Fargo. Most banks already have policies that allow up to three additional months of payment forbearance. To participate, homeowners must contact their housing provider. The ZIP codes included in the housing assistance program are: 90019, 90041, 90049, 90066, 90265, 90272, 90290, 90402, 91001,91104, 91106, 91106, 91106, 91106 and office of News507.

Additional commitments to help those affected by the fires will be announced in the coming days, Newsom’s office said.

As of Saturday, the Palisades and Eaton fires have burned more than 11,000 structures and killed at least 27 people. Following a reprieve this weekend from dangerous winds, another round of wildfires could arrive next week, forecasters said.

Additional executive orders issued by Newsom pushed back the tax filing deadline for certain individuals in Los Angeles County until October 15. Another executive order allows homeowners to wait until April 2026 to file this year’s property taxes without penalty. Longer deferrals of up to four years are also available with apply to the Los Angeles County Treasurer and Tax Collector.

Newsom’s order to protect fire victims from victimized land speculators did an unsolicited and irrelevant three-month misconduct charge. Violations can be reported to the attorney general’s office at oag.ca.gov/report.

“As families grieve, the last thing they need are greedy people taking advantage of their pain,” Newsom said in a statement Tuesday. “I have heard firsthand from members of the public and victims who have received unsolicited and unwanted offers from speculators offering cash below market value – some while their homes were burning.”

That offer prompted the advocacy group SGV Progressive Alliance to announce a protest at 2:30 p.m. Saturday to send a message to developers that Altadena is not for sale, Melissa Michelson said. The protest was supposed to start at Lake Avenue and East Woodbury Road.

“The message is that the community must be strong, don’t sell your property to the first buyer,” said Michelson. “What is worrying is the eviction of neighbors and neighbors who have lived there for a long time. We don’t want the neighborhoods to change.”