JPMorgan and Citi Expand Mortgage Assistance for Victims of LA Wildfires
California Governor Gavin Newsom recently announced that several major banks have agreed to extend mortgage relief for victims of the Los Angeles wildfires. This initiative comes as the region continues to grapple with the aftermath of the devastating blazes that occurred a year ago.
Among the banks participating in this relief effort are Wells Fargo & Co., JPMorgan Chase & Co., U.S. Bancorp, and Citigroup Inc. These institutions will simplify the process for borrowers seeking an additional 90-day forbearance period. According to Newsom’s press release on Tuesday, borrowers can now apply verbally without the need for extensive paperwork. Additionally, Bank of America Corp. had previously announced in November that it would offer qualifying borrowers up to two extra years of forbearance.
Related: Morningstar: A Year Later, LA Wildfires Were ‘Significant Stress Event’ for Insurance
Typically, California law limits forbearance to 12 months, following an emergency agreement established between the state and banks in January 2025. As of now, Wells Fargo, JPMorgan, Citigroup, and U.S. Bancorp have not responded to requests for further comments regarding this initiative.
Last year, the Intercontinental Exchange Inc. estimated that approximately $11 billion in outstanding mortgage debt was affected by the wildfires.
Governor Newsom, who is nearing the end of his term and is contemplating a presidential run, has faced criticism from the White House and various political opponents regarding his management of the catastrophic wildfires. These fires ravaged large areas of Southern California, resulting in the loss of at least 31 lives. In response, Newsom has criticized the White House for not forwarding California’s disaster aid request to Congress.
Related: Insurance Payments Now at $22.4B From LA Wildfires One Year Ago
On the same day, Newsom also revealed plans to collaborate with banks, philanthropic partners, and lawmakers to establish a new financing fund. This fund aims to complement private construction loans and address insurance shortfalls that have hindered rebuilding efforts. Furthermore, he is expanding eligibility for the CalAssist Mortgage Relief Program, which provides grants covering up to three months of mortgage payments. To date, the state has disbursed $5.98 million to 732 households, primarily benefiting fire survivors.
“I’m deeply grateful to our financial partners who are stepping up to help provide financial relief to those who have lost so much,” Newsom stated. “This disaster was unprecedented, and it’s created challenges unlike anything we’ve seen before.”
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California Governor Gavin Newsom recently announced that several major banks have agreed to extend mortgage relief for victims of the Los Angeles wildfires. This initiative comes as the region continues to grapple with the aftermath of the devastating blazes that occurred a year ago.
Among the banks participating in this relief effort are Wells Fargo & Co., JPMorgan Chase & Co., U.S. Bancorp, and Citigroup Inc. These institutions will simplify the process for borrowers seeking an additional 90-day forbearance period. According to Newsom’s press release on Tuesday, borrowers can now apply verbally without the need for extensive paperwork. Additionally, Bank of America Corp. had previously announced in November that it would offer qualifying borrowers up to two extra years of forbearance.
Related: Morningstar: A Year Later, LA Wildfires Were ‘Significant Stress Event’ for Insurance
Typically, California law limits forbearance to 12 months, following an emergency agreement established between the state and banks in January 2025. As of now, Wells Fargo, JPMorgan, Citigroup, and U.S. Bancorp have not responded to requests for further comments regarding this initiative.
Last year, the Intercontinental Exchange Inc. estimated that approximately $11 billion in outstanding mortgage debt was affected by the wildfires.
Governor Newsom, who is nearing the end of his term and is contemplating a presidential run, has faced criticism from the White House and various political opponents regarding his management of the catastrophic wildfires. These fires ravaged large areas of Southern California, resulting in the loss of at least 31 lives. In response, Newsom has criticized the White House for not forwarding California’s disaster aid request to Congress.
Related: Insurance Payments Now at $22.4B From LA Wildfires One Year Ago
On the same day, Newsom also revealed plans to collaborate with banks, philanthropic partners, and lawmakers to establish a new financing fund. This fund aims to complement private construction loans and address insurance shortfalls that have hindered rebuilding efforts. Furthermore, he is expanding eligibility for the CalAssist Mortgage Relief Program, which provides grants covering up to three months of mortgage payments. To date, the state has disbursed $5.98 million to 732 households, primarily benefiting fire survivors.
“I’m deeply grateful to our financial partners who are stepping up to help provide financial relief to those who have lost so much,” Newsom stated. “This disaster was unprecedented, and it’s created challenges unlike anything we’ve seen before.”
Copyright 2026 Bloomberg.
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