Banks Offering Help To Foreclosed Victims
June 12th, 2008
The jumbo banks of the country that serve 23 million mortgages (amount adding up to $3.8 trillion) are now offering short-term help schemes rather than permanent ones to help foreclosed victims. Instead of loan modifications the focus was on payment plans reported John Dugan of U.S. Office, Comptroller of Currency. However from October 2007 to March 2008 loan modification numbers had increased. Banks have come in for sharp criticism for the slow response to modification plans despite highly publicized government plans to help the people stay in houses that are their homes.
A survey shows that more borrowers are defaulting leading to foreclosure risks. The delinquencies (payments falling behind 90 days) have spiked to 226,500 in March from 188,356 in October 2007. The number of loans ready to be foreclosed upon sharply increased from 1.23% of the loans from 0.9%. The contradiction is that the overall mortgage servicing portfolio of nine big banks show credit position “relatively satisfactory and relatively stable”.
In February 9 regulated banks were asked to give details of its performances on house loans on a monthly break up, starting from October. This step was taken after strong criticism that banks were standing in the way of foreclosure surveys. Now with these directives it is expected that if there were any lapses the matter would be quickly resolved and rectified.
The nine banks under the study of OCC are Bank of America, Citibank, First Horizon, HSBC, JP Morgan Chase, National City, USBank, Wachovia and Wells Fargo. The survey shows that fewer numbers of sub-prime loans in serious delinquency stages are being foreclosed upon. More prime loans (Alt-A) are in trouble. During the time period stretching from October 2007 to March 2008 the foreclosures emanating from prime Alt-A loans increased from 23,105 in October to 24,054. On the other hand sub-prime cases fell from 15,998 to 12,084. Foreclosures starting from all groups reached a high peak in January 2008. The study also shows that 94% of the mortgages were current and doing well from October to March.
Dugan argues that one reason for this is the national focus on alternatives and assistance operations targeting the sub-prime borrowers. This has enabled a high percentage of them to fend off foreclosure houses.
Short to medium term solutions are allowing the borrowers to become current on their payments. This plan is coming in for criticism because it is not helping the borrowers in the long run, whereas a loan modification does do so.
Search US Repo Houses
- Texas Repo Houses
- Oklahoma Repo Houses
- New Mexico Repo Houses
- Michigan Repo Houses
- Kentucky Repo Houses
- Georgia Repo Houses
- Ohio Is Also Scrambling to Get On to the Foreclosure Rescue Lifeboat
- The foreclosure crisis has led to the Museum of American Finance face an awkward situation
- Non-profit Organizations Spreading Across America to Help Foreclosure Victims
- Problems and Solutions for Underwater Foreclosure Victims
- North Carolina Foreclosure Victims Hungry for Details of Obama Rescue Plan
- More Help Is Coming for Foreclosure Victims from the Treasury
Related Posts
Posted in
Foreclosure Victims |
16 Comments »
Comments
16 Responses to “Banks Offering Help To Foreclosed Victims”
Leave a Reply
Search
June 24th, 2008 at 9:49 am
[...] the trend in Illinois and accordingly trained himself in dealing with properties in various stages of foreclosures. This strategy is paying dividends [...]
June 30th, 2008 at 1:21 pm
[...] lock, stock and barrel. In many cases jobs have disappeared adding insult to the injury of being foreclosed upon. If bag and baggage are a problem it is more so with pets. A trend has caught on – sending dogs [...]
June 30th, 2008 at 1:53 pm
[...] developers are some of the worst hit victims of foreclosures. It is the irony of fate that the market situation is such that many of the builders are competing [...]
September 26th, 2008 at 9:59 am
[...] is not always the borrower who suffers. This is the story of how sub-prime loans as a spin off from the foreclosure climate, puts a lender in California in a tight [...]
October 31st, 2008 at 9:11 am
[...] Repo houses for sale is meant those houses that have been repossessed by the banks after being foreclosed upon. The foreclosure is a judicial process by which the banks realize unpaid dues by seizing on [...]
December 10th, 2008 at 9:00 am
[...] seems unlikely that right now anything further will be done to bring relief to foreclosure victims. Unemployment is increasing and the lawmakers are busy handing out help to automakers in Detroit. [...]
December 22nd, 2008 at 8:22 am
[...] set of adjustments in rates of mortgages. It could well cause many borrowers to default on their house loans. As such it seems that bailouts have only just [...]
January 13th, 2009 at 10:32 pm
WELLS FARGO HOME MORTGAGE
Executive Communications Office
MAC X2302-02J
800 S Jordan Creek Pkwy
West Des Moines, IA 50266
515-324-3130
ALL VICTIMS OF WELLS FARGO & Co.
OR IT’S SERVICING SUBSIDIARIES
Please post your story at the site below:
http://wfhmcaught.blogspot.com/
Kelly L. Hansen, WFHM Victim
now an ON FIRE Vigilante for
Changing WFHM Victims to VICTORIES!
33605 W. 88th Street
De Soto, KS 66018
504-579-2340
913-273-1448 Fax
“Kelly L. Hansen”
Good Luck & I’m praying to God that all of you who are now scared and ignored will very soon be blessed and victorious.
God Bless You!!
May 25th, 2009 at 6:34 pm
[...] a horrific experience. Many of them are being evicted from their homes. Most of these homes are foreclosed properties. Take the cases of Chauntay Barnes and Edgar Letriz, for instance. They live in property [...]
June 11th, 2009 at 10:03 am
[...] Palm Beach and Broward counties, the local governments have been given $104 million to redo foreclosed properties so that they become fit for occupation by those who can afford it. Tamarac County has [...]
June 16th, 2009 at 6:11 pm
[...] buyers. Nearly 9 in every 10 homes, that makes for a total of 40,000 houses in Florida, have been foreclosed or on the verge of it. Research firm Xima Real Data revealed that foreclosed homes are being let go [...]
June 22nd, 2009 at 4:11 pm
[...] Housing Services of Dayton Bluff. He heads a non-profit organization that purchases many of the foreclosed units in this locality, refurbishes them before selling them again. Driving through the [...]
July 6th, 2009 at 7:09 am
[...] autumn he visited two houses that looked vacant and had been foreclosed upon over a year previously. The houses stood facing each other and had become a happy hunting [...]
July 10th, 2009 at 9:02 am
[...] sweet dreams of California are turning into foreclosed nightmares fed by unemployment and budget cuts. California has become a dream boat that has got stuck in [...]
July 30th, 2009 at 11:58 am
[...] has the highest unemployment figures in the nation. Struggling with this and foreclosures it is looking up to the Obama administration for the magic touch. They are hoping that during [...]
October 29th, 2009 at 1:44 pm
[...] across in 1992. The building boom was another type of deceptive hurricane with easy land, easy mortgages and easy home prices. It led to a veritable stampede among the shoppers. This was the first home [...]