In the meantime, modifications that occurred under the HAMP
rules will require the industry's attention for years to come.
One of the interpretative issues in HAMP
is whether mortgagors should be permitted to bring state law claims against lenders and loan servicers for actions relating to HAMP
, a federal program.
In the end, HAMP
helped only about one million homeowners in five years, when ten million were at risk.
Under the revised guidelines announced today, all homeowners in HAMP
will now be eligible to earn $5,000 in the sixth year of their modification, which will reduce their outstanding principal balance by as much as $10,000.
SunTrust isn't the only bank that has allegedly mishandled the government's HAMP
com said that a recent article on the firm's site reviews the benefits of the recently announced HAMP
While the Bogans were unsuccessful, to date a little more than 1 million homeowners have received a permanent HAMP
loan modification on their mortgages.
the borrower is evaluated for HAMP
and is determined to be ineligible for the program.
Undeterred by the dismal performance of HAMP
, the administration is now pushing ahead with HARP, the Home Affordable Refinance Program, which targets those whose mortgages are underwater, but not in immediate danger of foreclosure.
The Treasury department has cited Bank of America Corp (NYSE: BAC), JPMorgan Chase (NYSE: JPM) and Wells Fargo Bank (NYSE: WFC) for their poor performance on HAMP
(Home Affordable Modification Programme).
In June 2010, we reported on several inconsistencies in the way servicers treated borrowers under HAMP
that could lead to inequitable treatment of similarly situated borrowers.
The bank recently sampled 100 mortgages that were 60 days or more delinquent, and found that only 14 per cent of them would qualify for a permanent modification through HAMP
or the Home Affordable Modification Programme.