Mortgage Lenders Misled Consumers
Many of you heard recently about the push for mortgage companies to refinance or offer workout options for borrowers who risk losing their homes due to skyrocketing adjustable mortgage payments. Some mortgage companies even assured the public that they were in fact offering workout plans to help these homeowner keep their properties. A recent MSN article shows how well mortgage companies keep their promises. The article states:
“A recent survey from Moody’s Investors Service of the top 16 subprime loan servicers — which handle $950 billion in loans, or 80% of the market — found that they had modified only 1% of their loans that had reset to higher interest rates during January, April and July 2007.”
Obviously lenders are not being entirely truthful with the public.
See the article: http://realestate.msn.com/buying/Article2.aspx?cp-documentid=5658441>1=10632