Foreclosure bill aims to increase mediation

By Andrew Gomes

POSTED: 01:30 a.m. HST, Feb 06, 2013

~~<p>Hawaii lawmakers are making a new attempt to involve mediation in home foreclosure cases, two years after lenders sidestepped a law that gave homeowners an option to have neutral third parties help resolve mortgage delinquencies.</p>
<p>The new measure, Senate Bill 1370, would force lenders to engage in mediation, at the request of homeowners, before they can file foreclosure lawsuits in state court. The provision would apply only to borrowers who live in homes facing foreclosure, and not investors or vacation-home owners.</p>
~~

Hawaii lawmakers are making a new attempt to involve mediation in home foreclosure cases, two years after lenders sidestepped a law that gave homeowners an option to have neutral third parties help resolve mortgage delinquencies.

The new measure, Senate Bill 1370, would force lenders to engage in mediation, at the request of homeowners, before they can file foreclosure lawsuits in state court. The provision would apply only to borrowers who live in homes facing foreclosure, and not investors or vacation-home owners. Login for more...