Homeowners who have been denied a Citigroup home loan modification have found that there are alternative routes to obtaining a more affordable home loan payment. While extension plans from the Making Home Affordable Program are available, there are some homeowners who fall into an unfavorable alternative when their home loan modification is denied.
According to the July Making Home Affordable servicer report, Citigroup homeowners who were either denied a trial modification or had their modification trial canceled fell into bankruptcy, in some cases. The report indicated that homeowners with Citigroup who had their trial modification canceled fell into various categories like bankruptcy, alternative modifications, foreclosure, or deed in lieu of foreclosure plans.
It was stated that 7,019 homeowners who had there trial modification canceled were in the bankruptcy process and 6,920 homeowners who were not accepted for a Making Home Affordable home loan modification were also in the process of filing bankruptcy.
Homeowners are often most worried about foreclosure or bankruptcy seeing as how these two options are what the majority of homeowners who are struggling with their mortgage wish to avoid. Citigroup has been one of the top mortgage servicers who have offered alternative modification plans or payment options, not to mention, they are one of the servicers that participates in extension programs that can also be of assistance to troubled homeowners who may be denied a modification.
Although there still remains problems in the housing market and homeowners continue seeking aid so that they can keep their home until economic strength returns to the job market, homeowners who are denied a home loan modification may have alternate options for saving their home, but there are increasing fears that even homeowner aid like modifications may not stop some from losing their home.