Homeowners with J.P. Morgan Chase have seen success in modification plans from the Making Home Affordable Program, but there have been some who have faced problems like foreclosure and bankruptcy as a result. Numerous financial institutions within the Making Home Affordable modification initiative have seen homeowners end up in bankruptcy as a result of either being denied a trial modification or having their trial canceled.
There are homeowners who have simply been unable to qualify for this type of assistance, but there are also critics who feel servicers should do more to provide assistance to homeowners which will allow them to avoid certain ends like foreclosure and bankruptcy. Yet, servicers have often pointed out that in-house modifications, made directly from financial institutions have seen success in numbers which have passed the federal modification plan.
Yet, the Making Home Affordable Program for October indicated that J.P. Morgan Chase had 880 homeowners who were in the process of bankruptcy when their trial modification was canceled and 3,093 homeowners in the process of bankruptcy who were not accepted for a trial modification within HAMP. Both of these numbers were increases from the previous month and have obviously added fuel to some of the criticisms homeowners are waging against various financial institutions.
While it’s understandable that homeowners are frustrated when they face the loss of their home through foreclosure or have filed bankruptcy as a result of being unable to acquire modification assistance, but there are those who argue that qualifications from the Making Home Affordable Program are the problem and not necessarily servicers. However, blame for difficulties which have been experienced in the Making Home Affordable Program has fallen at the feet of servicers, homeowners, and the program in general.
It’s understandable that homeowners and servicers have both made mistakes and the modification program cannot help everyone, but there have been calls for more efforts to be made in order to prevent foreclosures for homeowners who are facing financially difficult times in their life. However, there are still federal and in-house modification plans available, as well as, extension programs and state-directed mortgage aid options for homeowners who face the loss of their home or, in some cases, bankruptcy. Again, not all of these foreclosure prevention efforts from servicers will be helpful to every homeowner, but housing counselors are still attempting to make homeowners aware of these available plans which could be helpful when it comes to preventing the loss of their home.