loan modification

7 Stories

Big Banks Had 800K Needless Foreclosures

Study says big banks reacted sluggishly to modification program

(Newser) - The big banks moved sluggishly to implement the Obama administration's Home Affordable Modification Program, forcing hundreds of thousands of families out of their home unnecessarily, according to a new study. Office of the Comptroller of Currency data indicates that while many banks had sufficient staff and expertise to implement... More »

Arizona, Nevada Sue Bank of America

State alleges bank misled homeowners who lost their houses

(Newser) - Attorneys general in two states filed civil lawsuits yesterday against Bank of America, alleging that the lender is misleading and deceiving homeowners who have tried to modify mortgages in two of the nation's most foreclosure-damaged states. Bank of America violated Arizona's consumer fraud law by misleading consumers who tried to... More »

Mortgage Defaults Top 1M, Keep Rising

Even those with lowered payments are defaulting

(Newser) - The number of troubled home loans continued to rise in the third quarter, despite the Obama camp's efforts to stem the tide by mortgage modification. For the first quarter ever, the number of homes in foreclosure with mortgages serviced by US banks topped the 1 million mark, the Los Angeles ... More »

Treasury to Squeeze Mortgage Lenders

Will expand program to help keep people in their homes

(Newser) - The Obama administration, battling a foreclosure crisis that shows no signs of relenting, will step up pressure on mortgage companies to do more to help people remain in their homes, officials said yesterday. The administration will announce its expanded program tomorrow, a Treasury spokeswoman said, and will take "additional... More »

Treasury's Secret Formula Slows Loan Modifications

But one thing's clear: it favors banks, not homeowners

(Newser) - The Obama administration’s mortgage modification program has been a big disappointment, and part of the reason could lie in the invisible hurdle troubled homeowners have to clear to get their mortgages renegotiated: the NPV test. Devised by the Treasury, the secret formula is designed to determine if modification is... More »

Credit Cards Cut Deadbeats More Slack

With unemployment rising, companies modify, reduce debt

(Newser) - With unemployment nearing 10%, credit card companies are doing something once unheard of: forgiving debt, or modifying it in the customer’s favor, the Washington Post reports. Companies are loathe to discuss the practice, lest it inspire more delinquencies, but according to one industry report, roughly 3 million people got... More »

BofA, Wells Fargo Rank Worst for Loan Modifications

Treasury report rates banks' performance

(Newser) - Bank of America began modifying just 4% of its loans eligible under the Making Home Affordable Act, according to a Treasury report on big banks' performance, while Wells Fargo started just 6%. JPMorgan Chase led the pack with 20%, Bloomberg reports, while Citigroup had 15%. “Some of the servicers... More »

7 Stories