A bill that would grant California widows and widowers greater protections against foreclosure heads to Gov. Jerry Brown’s desk after passing the state Senate on Wednesday.
The proposal is geared at giving surviving spouses who own their home but are not on its mortgage note a better shot at obtaining a loan modification.
Consumer groups say survivors — including those who inherit property after a death — face considerable resistance from loan servicers when trying to obtain modifications.
Servicers will generally accept a surviving spouse’s loan payments, but red tape involved in proving ownership can stall a modification while foreclosures proceed, according to advocates.