Bookmark this site
The U.S. Treasury is considering new guidelines to mortgage lenders that would give distressed borrowers more time to try to qualify for a federal program aimed at averting foreclosures.
Under the proposals, loan-servicing companies, which collect payments and handle foreclosures, would have to give borrowers 30 days to respond after being denied a modification of their loan terms under the Home Affordable Modification Program, known as HAMP. During that period, which would allow borrowers to appeal against the decision, the servicer couldn’t put the home up for sale at a foreclosure auction.
Read more from the WSJ
