For help with home loan modification contact a qualified loan modification attorney that will look out for you and your family’s best interest such as Janian and Associates
Loan Modification Foreclosure Relief
Very little of the 75 billion dollars the banks received from the stimulus package has been used to help borrowers who are in trouble with their mortgages. The government has decided to try to pressure the banks to approve more loan modifications to provide foreclosure relief to borrowers. It’s about time they did something, but is it possibly too little, too late?
Since February, a whopping 1,700 borrowers have received new loans under the loan modification program. The poor results are being attributed to the unwillingness of borrowers to submit the paperwork required to apply for the loan modification. It makes you wonder just how long that application is.
More than sixty percent of the people who are believed to qualify for modified loans have not completed all of the necessary paperwork. However, this is only part of the problem. Very few of the people who have turned in their paperwork in full have gotten approved either.
The paperwork is not the only problem, though. Based on some recent figures only about 1. 7% of the people who have turned in their completed paperwork have been approved to receive modified mortgages. Around 50,000 applicants have not been notified whether they are approved or not, so it appears that about 98,300 have been rejected, compared to the 1,700 who were accepted. That seems a little unbalanced.
The government is sending SWAT teams from the Treasury Department to visit lenders next week in an effort to get them to cooperate with the loan modification program. The plan is to embarrass the banks that are not doing their part by publishing a list of the companies for the American public to see. Somehow I don’t see that working.
If you are planning on taking advantage of Obama’s loan modification program to save your home, you should consider consulting a loan modification attorney.
