Citigroup has used home loan modifications as a way to help homeowners obtain a more affordable mortgage payment over the past months, but there is question as to whether these foreclosure prevention plans are actually helping homeowners keep their home. According to the August Making Home Affordable report, Citigroup had 3,046 foreclosure starts for homeowners who were not accepted into a trial modification, through the month of July 2010.
While these foreclosure starts are down from the previous month, there are still numerous homeowners who are facing the loss of their home despite having these modification program set in place. Reports have stated that homeowners still struggle to meet their mortgage payment obligation even when an assistance plan has been offered and, as a result, redefaulting has become a problem for some.
Citigroup has seen success in the governmental home loan modification program, and is one of the servicers who is reported to offer private home loan modifications for homeowners as well. While there are numerous homeowners who have been helped by these programs, foreclosures from various servicers continue to be a problem and it has homeowners wondering if more needs to be done in the area of foreclosure prevention assistance.
Recently, questions over the validity of foreclosures by some of the top mortgage servicers in our nation have more homeowners asking whether homeowners who lost their home might have been able to benefit from mortgage assistance plans. Yet, complaints from homeowners still remain and there are those who feel mortgage servicers like Citigroup could do more to help homeowners avoid foreclosure.
While Citigroup has offered foreclosure moratoriums to homeowners in the past, like those who were affected by the Gulf oil spill, many believe that home loan modifications have been largely unsuccessful as the initial goal of homeowners to be helped has not been met and foreclosures still abound.
However, despite difficulties with foreclosures and troubles between servicers and homeowners, Citigroup does still offer modification plans for homeowners who are struggling with their mortgage. While these modification plans may not be perfect, homeowners are still being advised to contact their mortgage servicer or resources like the Making Home Affordable Program if they are having trouble meeting their monthly home loan payments and need assistance on their mortgage.