Problem:
The nation's foreclosure crisis continues for a fourth year
Currently, another 3,500 more homes fall into foreclosure everyday in the United States of America. And everyday across the country nearly 3,000 more homes are lost to foreclosure and repossessed by lenders.
Families are out on the streets, property values have plummeted, and crime in abandoned buildings is on the rise.
And big banks don’t seem to care at all. They refuse to take any responsibility for the shoddy loan products they created, packaged and sold for huge profits, and continue to foreclose on homes all across America.
VIDEO: Edda Lopez v. Bank of America
Solution:
Mandatory loan modification programs, with principal reductions
To repair the damage done to our communities because of high risk loan products they originated, we are calling on big banks to:
To repair the damage done to our communities because of high risk loan products they originated, we are calling on big banks to:
- Suspend all auctions and foreclosure proceedings across the country for until real loan modification programs are in place.
- Agree to a concrete timeline with bi-monthly benchmarks and reporting.
- Modify at-risk mortgages before they go into foreclosure.
- Make principal reduction standard corporate policy when appropriate – not never or as a last resort.
- Establish a 30-day maximum time period to respond to loan modification request and provide net present value calculations used in loan modification offer.
- Implement a program to assist unemployed or underemployed homeowners, including aggressive forbearance terms.
- Implement vital changes to the Home Affordable Mortgage Program (HAMP).
