There is a government loan modification plan that is designed to help struggling homeowners who have lost their job or seen their revenue reduced due to the economic recession. Borrowers who are facing the possibility of losing their home because they are unemployed may be eligible for a Treasury branch program that is funded with the Tarp funds. This is good news for those homeowners who have not been able to qualify for any type of loan workout due to their unemployed status.
Disappointed with the low number of homeowners who have de facto been helped with the government loan modification plans like Hamp, the Fed is putting a lot of pressure on banks to start aggressively reaching out to those homeowners who face imminent foreclosure due to unemployment and other hardship situations. The exact details for this single plan are soon to be available, but the normal qualifying criteria are:
Loan Consolidation Programs
Live in the home as your primary residence Loan number 9,750 or less Loan originated before 1-1-09 Facing a financial hardship situation
