Homeowners with Citigroup, among other servicers, usually fall into one of many categories if they are denied a trial modification or if a permanent modification is not given due to having their trial modification canceled, and have seen mixed results not only for Citigroup but other servicers as well when it comes to programs that may help homeowners who are denied HAMP assistance or who find themselves in a better financial position despite not seeing the aid they need from certain initiatives.
Yet, in the areas of payments plans that don’t involve a formal modification and situations where homeowners are current on their mortgage even after being denied an assistance plan, Citigroup did see decreases for those who had their trial modification cancelled or were not offered a trial when they initially applied. As of the latest Treasury Department reports, Citigroup homeowners not accepted for a trial modification but were current on their mortgage dropped to a little over 21,000 and these payments plans outside of a modification decreased to 5,003. These program totals for Citigroup run though the month of June and are part of decreases that other servicers have seen in this area as well.
Also, Citigroup was one of the servicers who saw drops in these areas for homeowners with a cancelled trial modification also. However, any homeowner that is still struggling needs to be aware of the options available as there are options that go beyond modifications that may address a homeowner’s needs. As an example, some homeowners may turn to short sales, particularly if their mortgage is underwater, but others may work with their bank to work out a private modification plan.
Homeowners do need to remember that there are a variety of factors that may lead to an inability to pay for their mortgage, and it could be simple spending and repayment issues or high amounts of debt in other areas that is the cause of their mortgage payment troubles. It’s for this reason, among others, that homeowners should take stock of their financial life and possibly consult a financial professional, if their situation can benefit from doing so, as addressing overall debt issues could be more helpful for homeowners.
Obviously, not all Citigroup homeowners will be able to find themselves in such a position as those who are current after being denied a modification plan nor will a homeowner always be able to work out an alternative payment plan or modification agreement when they are not aided by HAMP, but again, homeowners are constantly being reminded of extension programs within the federal Making Home Affordable Program and state assistance plans that can go beyond these modification payment plans that can potentially work to the advantage of those who are still having trouble making their mortgage payment and run the risk of defaulting or facing foreclosure.