National Mortgage Settlement Information and Links
The Attorney General recently announced that the federal government and 49 states had reached a settlement agreement with the nation’s five largest mortgage servicers to address mortgage servicing, foreclosure, and bankruptcy abuses (the “National Mortgage Settlement”). On April 4, 2012, the United States District Court for the District of Columbia entered orders approving the settlement.
The National Mortgage Settlement is the largest consumer financial protection settlement in United States history, and settles certain state and federal investigations relating to mortgage servicing abuses, including abuses in the bankruptcy process. The settlement will provide as much as $25 billion in relief to distressed borrowers and direct payments to states and the federal government.
The following are links to websites which will provide information on the settlement.
1. The United States Trustee Program’s website concerning the National Mortgage Settlement, which includes Frequently Asked Questions: http://www.justice.gov/ust/eo/public_affairs/consumer_info/nms/index.htm
2. The website of the Office of Mortgage Settlement Oversight at: http://www.mortgageoversight.com/
3. The website of the Executive Committee of the state attorneys general: http://www.nationalmortgagesettlement.com/
Understanding the Home Affordable Modification Program
If you’re not unemployed, but you’re still struggling to make your mortgage payments, you may be eligible for the Home Affordable Modification Program (HAMP). HAMP can lower your monthly mortgage payment to 31 percent of your verified monthly gross (pre-tax) income, which usually provides savings of hundreds of dollars per month. Continue reading.
Tips for working with your mortgage lender
Being well organized and prepared will help your lender better understand your financial position and assess your qualification for workout options, and will likely result in a more productive conversation. Our certified housing counselors can act as a liaison between you and the lender to assist you in this process. Continue reading.