In the area of a second lien modifications by J.P. Morgan Chase, improvements were seen when it comes to these modifications plans that were started, the number of extinguishment’s that were offered to homeowners, and the number of active plans that are currently in place that may have offered some forgiveness to homeowners in terms of their second lien debt. Understandably though, homeowners have not always been able to benefit from certain types of modifications, but in specific cases where a second mortgage has caused problems, this particular modification plan which has been made available by servicers other than J.P. Morgan Chase, has helped an increasing number of homeowners over the past months.
Recent data from the Treasury Department shows that the number of second lien modifications Chase started between August and September increased from 5,662 to 7,145. Understandably, homeowners may view this in a positive light as it indicates that more second lien modification plans are being offered for homeowners who are struggling with a second home loan payment, but extinguishment of these debts have often been pursued by some homeowners as well, and this number for J.P. Morgan Chase homeowners increased from zero in the August report to 1,220 in the September report from the Treasury.
Furthermore, the number of active modifications in this program that have offered a partial extinguishment of the homeowner’s debt did increase from 5,567 to 5,810, however homeowners do need to understand that these modifications are not a guarantee. In some cases homeowners may simply not qualify for this type of assistance, however homeowners who are in a position where they may have received a primary modification on their home loan but still cannot meet their payments due to a second mortgage being in place could potentially find help when it comes to getting aid on their overall mortgage payment debt obligation.
Again though, homeowners will have to be in a position where they can qualify for this type of aid as some may simply not qualify for a second lien modification or even a primary home loan assistance plan from certain servicers, many major banks like Chase do participate in this extension program from HAMP. Yet, when it comes to finding help for a homeowner’s mortgage payment distress, it does need to be remembered that homeowners who are in a position where multiple assistance options may be needed, addressing these problems early will obviously give homeowners the best chance at exploring opportunities, attentively seeking out alternative forms of aid if certain routes are closed to them, and it can also help a homeowner avoid running through their savings or creating further financial problems if they address these issues as early as possible.