|
|
"A comprehensive, collaborative elections resource."
|
Obama readies steps to fight foreclosures, particularly for unemployed
|
|---|
| Parent(s) |
Issue
|
| Contributor | Eddie |
| Last Edited | Eddie Mar 25, 2010 09:12pm |
| Logged |
0
|
| Category | News |
| Author | Renae Merle and Dina ElBoghdady |
| Media | Newspaper - Washington Post |
| News Date | Friday, March 26, 2010 06:00:00 AM UTC0:0 |
| Description | The Obama administration plans to overhaul how it is tackling the foreclosure crisis, in part by requiring lenders to temporarily slash or eliminate monthly mortgage payments for many borrowers who are unemployed, senior officials said Thursday.
Banks and other lenders would have to reduce the payments to no more than 31 percent of a borrower's income, which would typically be the amount of unemployment insurance, for three to six months. In some cases, administration officials said, a lender could allow a borrower to skip payments altogether.
The new push, which the White House is scheduled to announce Friday, takes direct aim at the major cause of the current wave of foreclosures: the spike in unemployment. While the initial mortgage crisis that erupted three years ago resulted from millions of risky home loans that went bad, more-recent defaults reflect the country's economic downturn and the inability of jobless borrowers to keep paying.
[more] |
| Share |
|
|
2¢
|
|
| Article | Read Full Article |
|
| Date |
Category |
Headline |
Article |
Contributor |
|
|
