Published: December 28, 2007 09:39 am
Eagle-Tribune
Janet Murguia, president and chief executive officer of National Council of La Raza, the largest and oldest Hispanic organization in the United States, was in Lawrence backing the foreclosure prevention, emergency planning and property maintenance program offered by Freddie Mac's CreditSmart. Also at the meeting were representatives from FreddieMac, a stockholder-owned company that supports homeownership and rental housing.
CreditSmart is a financial education curriculum featuring 11 components that teaches the importance of good credit, establishing and maintaining credit, managing money, banking services and avoiding credit traps. The preserving homeownership component was added this year after the rise in mortgage foreclosures.
"We're in a real crisis," Murguia said. "You have to remember that in the midst of this crisis, we must continue to prepare for foreclosure prevention because that is the obstacle of achieving the American dream."
In the last 60 days, Lawrence had 25 foreclosures, closely followed by Haverhill with 21 and Methuen with seven. For the year ending July 31, foreclosures in Lawrence swelled to 165 percent over the year before, according to ForeclosuresMass.com. In Essex County, foreclosures increased 90 percent, compared with a statewide increase of 76 percent.
Murguia said financial education plays an important role because it educates homeowners on all aspects of homeownership including maintenance, financial management and foreclosure prevention.
Murguia said there are many tools to help homeowners when dealing with subprime and predatory lending.
CreditSmart is one of the many services offered at Lawrence Community Works to help people purchasing their first home.
"It's a wonderful curriculum that helps people manage their finances," said Annery Buten, director of the family asset building program at CommunityWorks, who said the courses are very popular.
"We want people to stay in their homes and be able to send their children to college," Buten said.
June Black, aide to Congresswoman Niki Tsongas, agreed.
"It's not just about maintaining their home, but maintaining the quality of life in the neighborhoods," Black said.
"Lawrence has come a long way over the years and we need to keep families in their homes to build strong neighborhoods," she said.
Murguia gave an inspirational speech about her parents who came from Mexico. Her father worked at a steel company for 37 years making less than $18,000 a year, and her mother stayed home taking care of their seven children. Despite not making enough money, her father always dreamed of having their own home, which he did.
"It was so liberating not having to worry about someone else's apartment or home," Murguia said.
"It was a little house, but it's what is in the home that gives it its value. All things are possible if you want to achieve the American dream. My family saw it come true and yours can too."
Hot line for foreclosure prevention, 1-800-995-HOPE.
CreditSmart workshop will be held in February. Call Lawrence CommunityWorks for more details at 978-685-3115.
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