J.P. Morgan Chase is one of the major mortgage servicers that offers home loan assistance through the federal Making Home Affordable Program to homeowners who may need help avoiding difficulties related to their mortgage payments that may result in bankruptcy or foreclosure. Homeowners who have had these troubles have typically either found assistance through either a federal modification or proprietary home loan modification, directly from servicers like Chase, but there are still some who have who have faced bankruptcy and foreclosure as a result.
Homeowners have had a great deal of complaints against servicers in the modification program and there are many troubles which have arisen within each servicer’s particular participation in the modification program. However, homeowners have seen some benefits from the modification program, despite the fact that homeowners have had an incredibly difficult time dealing with their home loan servicer in some cases, but there are still advisers prompting homeowners to explore options available from their particular home loan servicer, as these plans can help avoid bankruptcy and foreclosure.
Results for servicers have varied and Chase did see some ups and downs in the modification program in relation to the number of bankruptcies that were seen as the December HAMP report stated that Chase had a total number 3,669 bankruptcies for homeowners not accepted into a trial modification, which was an increase from 3,365 from the previous month’s report. However, for homeowners who had their trial modification cancelled, the total in December’s report stood at 815 bankruptcies, which was lower than the 844 from the previous month.
Understandably, homeowners are still frustrated at their servicers in cases where assistance is not given, but homeowners need to be aware of in-house alternative modification plans that may be helpful to homeowners in need and unable to use HAMP. Yet, housing counselors have also been suggested for homeowners suffering financial hardship as these resources from reputable organizations can help homeowners find more savings in their personal financial lives, which can help with home loan payments, or they may be able to guide homeowners through the modification program as well.
Talking directly with a mortgage servicer is one of the more common points at which distressed homeowners start, and this is usually advisable well before a homeowner faces bankruptcy or foreclosure, but alternative resources and options may be available as well to aid homeowners in need of financial repair in their lives that will allow them to avoid the loss of their home or the need to file bankruptcy.