July 28th, 2009
04:26 PM ET
5 years ago

U.S. to mortgage firms: Pick up the pace

NEW YORK (CNNMoney.com) – Loan servicers will "significantly" increase the pace of mortgage modifications under the Obama foreclosure prevention program, the Treasury Department said Tuesday.

The Obama administration wants to see 500,000 trial modifications in place by Nov. 1. Currently, 200,000 are underway.

Officials called executives from 25 servicers participating in the program to Washington Tuesday to discuss improving the 5-month-old plan's implementation.

Both the Obama administration and the industry are feeling mounting pressure from borrowers who say their servicers are not responding to their calls and applications, losing their paperwork or not making decisions.

"[T]oo many homeowners are at risk of foreclosure right now," Treasury Secretary Tim Geithner said in a statement Tuesday. "Today's meeting was an opportunity to identify ways to accelerate the program and bring relief faster."

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Filed under: CNNMoney.com • Obama administration
soundoff (26 Responses)
  1. S Callahan

    Funny to see this article when the US Governenet has just issed $1 billion to hire Police Officers....$1 Billion!!!! How will there be any money with the car rebate, the mortgage rebate, the Health Insurance....wow...this is just too much....this is Not sustainable in the end......from my view...I'd suggest ..make sure you are stocked up on food for at least 2 or 3 years....it's got to get rough somewhere they way the spending is going on. Yes, we need changes in America but they have to be paced.......

    July 28, 2009 05:55 pm at 5:55 pm |
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