Citigroup has helped various homeowners through the Making Home Modification Program over the past months and has seen an increase in the number of permanent home loan modifications that have been made. However, delinquent borrowers are still a problem for Citigroup and many mortgage servicers, as well as, aged trial modifications in which many homeowners have become trapped.
Many homeowners have become delinquent in their mortgage payment for reasons that range from the loss of value in their home to unemployment. The simple inability to make a mortgage payment is what many homeowners are combating as foreclosure has become a real possibility for the majority of individuals who are struggling to make ends meet.
Yet, the modification program has helped some but there are homeowners who have either been left in a trial modification phase for too long or have simply been denied a permanent home loan modification. Many borrowers who are delinquent have either fallen upon hard times or have purposefully missed payments so that they may qualify for a home loan modification because they believe this form of assistance is their only hope.
However, when homeowners are kept in a trial modification for too long it becomes problematic as many homeowners have grown quite angry at their situation. However, there are reports that servicers are doing more to not only clear out a backlog of homeowners who are in a trial modification but also provide alternative assistance plans to homeowners who may be denied a permanent modification.
While the Making Home Affordable servicer report indicates that over half of the homeowners who are denied a permanent modification are given an alternative home loan modification or payment plan, angry homeowners feel that more needs to be done in order to make home loan payments more affordable and extinguish problems that arise and stop homeowners from obtaining a permanent modification.