Is Obama mortgage program failing to help homeowners facing foreclosure?
A Senate panel was told Wednesday that the Obama administration's effort to help homeowners avoid foreclosure isn't working.
Why?
The Treasury Department has failed to fix the program.
Special inspector general for the financial bailouts Neil Barofsky said the program has not "put an appreciable dent in foreclosure filings," during a Senate Finance Committee hearing on the $700 billion bank bailout
The $700 billion bailout is misleading.
Treasury only lent out a total of $385 billion from the $700 billion fund,
and only $50 Billion has been made available for Homeowners.
The bailout has provided up to $50 billion for the mortgage modification programs.
So far, only an approximate $248 million in bailout money has been spent on the Program!
What are the Banks doing with the rest of the money they are not lending?
The Banks are not helping enough homeowners get better financing.
Why?
Because many of the mortgage debt collectors make more money when they foreclose than they do when helping homeowners.
How can the Banks get away with this?
Why?
Treasury Department has ignored earlier demands that it set clearer goals for the Program
Why?
Treasury is giving mortgage companies too much leeway to decide which homeowners will qualify for a program to reduce the principal balance of their mortgages
The Treasury Department has failed to fix the Program.
Makes you think that the interests of the Treasury
has been to allow the Banks to borrow large sums of cheap money
without a lot of consideration to the success of the program for which
the loans were intended.
Recent data suggests the Program has helped about 400,000 households avoid foreclosure.
If you are behind in payments or know someone who is...
you can submit a Free Pre-Qualification for Programs and Options
that are available to you here or request a Free Consultation
to ask your questions.
