Sources of Assistance for Illinois Homeowners

February 21, 2013 4:02:37 PM PST
On Thursday, Attorney General Lisa Madigan outlined the direct relief Illinois borrowers have received as a result of a $25 billion settlement reached last year with the nation's five largest bank mortgage servicers over allegations of widespread "robo-signing" and other fraudulent practices involved in servicing loans of struggling homeowners.

The office says it has recovered money from the banks to counteract the effects of foreclosures on homeowners and communities, including funding for legal aid services, housing counseling, outreach to borrowers, housing policy development and community revitalization.

The office urges distressed Illinois homeowners to call their regional legal aid office to learn more about the services in their area:

Chicago Residents:
LAF (Legal Assistance Foundation of Metropolitan Chicago)

Northern and Western Illinois Residents (Outside City of Chicago):
Prairie State Legal Services

Southern Illinois Residents:
Land of Lincoln Legal Assistance Foundation

For homeowners with more questions about the national settlement, they should contact Madigan's Homeowner's Helpline at 866-544-7151, or visit her website, Borrowers also can visit

Madigan also says homeowners should be on the lookout for scammers trying to exploit them by indicating they may be eligible for settlement relief or mortgage assistance if they make an upfront cash payment?a telltale sign that the offer is a scam. Homeowners can call the helpline at 866-544-7151for assistance in finding free, legitimate help through a housing counselor certified by the U.S. Department of Housing and Urban Development.