Citigroup trial home loan modification programs saw a decrease in the number of active trials that were reported as of August 2011, which was reported here in October and the most recent Treasury Department release following the progression of various servicers and their modification efforts. However, decreases in the trial modifications have been mixed among servicers but by no means indicate that homeowners are unable to acquire this particular type of mortgage assistance program as the federal modification plan is ongoing and remains one of the routes that homeowners may be able to take in their pursuit of foreclosure prevention.
Yet, Citigroup did see a decrease between July and August in this particular area of their modification program, as 5,166 homeowners were reportedly in an active trial modification, but only 4,910 active trial modifications were reported as of August. While there were increases in the number of active permanent modifications that Citigroup saw, Citigroup’s conversion rate from trial programs to permit modification plant is currently at 77%, which is an improvement of just above 40% that was reportedly being seen on trial modifications that had been started before June of last year.
Essentially, many servicers have worked to improve their modification program and efforts to help homeowners avoid the loss of their home as the federal mortgage modifications are not the only opportunity that homeowners have when it comes to avoiding foreclosure. However, homeowners are still being urged to make sure that they are detailed when it comes to applying for these modification plans as not all homeowners have had an easy progress through the modification program, due to the fact that some servicers have had problems when it comes to keeping track of paperwork, transitioning homeowners through the modification program as a result of insufficient documentation, or some homeowners may be in a position where they simply do not have the financial stability to even meet a modified mortgage payment.
While there are housing counseling assistance plans that can be beneficial for homeowners when it comes to helping them sort out the application process, submit proper documentation and evidence of financial hardship, homeowners are also being urged at the present time, particularly when we are seeing some areas of delinquency in the personal lives of consumers rise once again, to make sure that homeowners who are pursuing a federal modification plan with a particular servicer be in a position to pay their modified home loan, rather than potentially set themselves up for a situation where they default once again.
Citigroup is one of the mortgage servicers that does offer alternative assistance plans and can help homeowners in a variety of ways but since the federal modification program is one of the primary ways that homeowners have found affordability on their mortgage payments, it’s understandable that homeowners look to this particular foreclosure prevention plan first. However, homeowners are still urged to make sure that they look at all of their options so that they will be better informed on what opportunities are available from their servicer and state, so that they can then begin pursuing the best course for preventing the loss of their home.