Citigroup has seen a slight increase in the number of active permanent modifications that were reported within the federal Making Home Affordable Program according to treasury reports that were released here in August. The information made available in these reports are for the month of June and for homeowners with Citigroup there was some good news in that an increase was seen in this particular area, but there are some homeowners who feel that multiple servicers are not seeing increases at a level which will be helpful for more men and women as further problems arise in the lives of some homeowners related to mortgage payment delinquency.
Indeed there are some homeowners who are still falling into delinquency as a result of problems like unemployment, and since some are seeing only minimal increases in the number of permanent modifications their servicer has made, it can be a frustrating situation to say the least. Citigroup, for example, had 45,976 active permanent modifications in the month of May but only saw an increase in the month of June to 46,634 permanent modifications.
Yet, homeowners need to remember that this particular number does not indicate that homeowners are not being helped by these various banks but that the home loan modification program for a specific servicer may have simply made fewer modification agreements within this particular initiative. Citigroup not only participates in the federal Making Home Affordable Program but they also work with homeowners through various state programs, like the Hardest Hit Fund and offer aid through in-house modifications and foreclosure alternative plans like short sales.
This is not something that Citigroup exclusively does, since various banks are working with homeowners through these various avenues of foreclosure prevention, but homeowners do need to understand that a home loan modification is not their last resort but is usually a primary step taken to avoid foreclosure when financial distress has become present in their life. However, homeowners do need to also remember that these programs are not perfect and it may take time for a plan for a homeowner’s particular situation to be found, but homeowners may be able to give themselves a better chance by addressing mortgage payment problems early.
Housing counselors can help homeowners sort through all of the programs that may be available not only from federal initiatives but within their state, however talking with a representative from a homeowner’s mortgage servicer will be necessary so that the exact plans that may be available to this particular homeowner can better be explored. Again, modifications can and have been helpful for homeowners with a variety of banks but they are by no means perfect and have often been unhelpful for some men and women. Yet, these alternative plans that homeowners may also use can offer more affordability on a homeowner’s mortgage payment or even address issues like unemployment to help homeowners stay in their home while they work through this difficult financial time.