Homeowners with J.P. Morgan Chase have seen increases in the number of permanent home loan modifications that have been made through the Making Home Affordable Program over the past months. However, many homeowners still remain quite troubled as denials for trial modifications and permanent modifications continue from many mortgage servicers.
Yet, there are reports that financial institutions like Chase and other top lenders in the Making Home Affordable Program have been offering in-house modification plans that may be outpacing modifications made from the Making Home Affordable Program. These in-house modification plans to offer hope for homeowners who may be denied mortgage assistance through the Obama plan, but there are still criticisms that remain.
There’s not a great deal of information on these in-house modification options since they are made directly from lenders and use various criteria and qualifications for homeowners. Since each mortgage servicer may use different requirements before a homeowner may be accepted into a modification program, a homeowner’s experience with these in-house programs will be dependent upon their mortgage servicer.
However, there have been accusations that these modifications made directly from lenders do not offer payments or interest rates that are as affordable as those from the Making Home Affordable Program. There have been indications that servicers like Chase do offer interest rate reductions, lower monthly mortgage payment requirements, or have extended mortgage terms so that homeowners may find their payments to be more affordable, but some homeowners still say that these modifications are not as low in cost as those from HAMP.
On the other hand, there is hope that with mortgage servicers like Chase offering modifications through not only the Making Home Affordable Program, but also in-house plans as well, more homeowners can find foreclosure prevention assistance. While Chase has drawn criticism from sources concerning their modification practices, these in-house initiatives do offer homeowners another avenue which may be taken when they are in need of a lower monthly mortgage payment so that they can avoid the loss of their home.