2. Inform: The HOPE NOW agreement includes extensive procedures by which mortgage servicers
will keep homeowners informed about the status of their request for assistance. It also
includes access to objective, independent, and no-cost-to-the-homeowner counseling for
homeowners who want information about their options. It also puts in place detailed
procedures that servicers will use to reach out to homeowners who may be in danger of
losing their home.
3. Protect: The HOPE NOW agreement establishes an extensive set of options
that mortgage servicers agree to use to help homeowners avoid foreclosure,
including loan modifications, repayment plans, partial claims, and temporarily
suspending the need to make monthly payments. The agreement also calls on
mortgage servicers to delay foreclosure proceedings that are about to begin or
have already begun when there is a possibility that other options will allow the
homeowner to stay in their home.
4. Remedy: The HOPE NOW agreement includes guidelines for dealing with
what up until now have been two of the most difficult foreclosure-related
issues -- second mortgages and short sales. Because of the guidelines
established in this agreement, neither of these should be as difficult for
homeowners as they have been in the past.
The Agreement Process
Because of the complicated legal issues involved and the different procedures used
by each of the servicers, the agreement was carefully developed between April and
June 2008. Although many of the HOPE NOW mortgage servicers had been
implementing their own version of some of these guidelines for some time, they
are now committing to fully implementing these uniform principles and standards
within 60 days.
will keep homeowners informed about the status of their request for assistance. It also
includes access to objective, independent, and no-cost-to-the-homeowner counseling for
homeowners who want information about their options. It also puts in place detailed
procedures that servicers will use to reach out to homeowners who may be in danger of
losing their home.
3. Protect: The HOPE NOW agreement establishes an extensive set of options
that mortgage servicers agree to use to help homeowners avoid foreclosure,
including loan modifications, repayment plans, partial claims, and temporarily
suspending the need to make monthly payments. The agreement also calls on
mortgage servicers to delay foreclosure proceedings that are about to begin or
have already begun when there is a possibility that other options will allow the
homeowner to stay in their home.
4. Remedy: The HOPE NOW agreement includes guidelines for dealing with
what up until now have been two of the most difficult foreclosure-related
issues -- second mortgages and short sales. Because of the guidelines
established in this agreement, neither of these should be as difficult for
homeowners as they have been in the past.
The Agreement Process
Because of the complicated legal issues involved and the different procedures used
by each of the servicers, the agreement was carefully developed between April and
June 2008. Although many of the HOPE NOW mortgage servicers had been
implementing their own version of some of these guidelines for some time, they
are now committing to fully implementing these uniform principles and standards
within 60 days.
| Guidelines To Speed Help To Homeowners |
| New HOPE NOW Guidelines |
Servicers, credit counselors and investors that came together
in late 2007 to help homeowners deal with mortgage-related
problems, has taken one of the most important steps to
assist homeowners since the current crisis began by
establishing a uniform set of procedures and guidelines that all
of its members have agreed to apply and use. This agreement
deals with many of the most difficult issues that have arisen
since the crisis began.
It significantly enhances the likelihood that homeowners will be
able to receive the help they need in a timely manner, that the
assistance process is respectful of homeowners, and that the
support will be as understandable and transparent as possible.
in late 2007 to help homeowners deal with mortgage-related
problems, has taken one of the most important steps to
assist homeowners since the current crisis began by
establishing a uniform set of procedures and guidelines that all
of its members have agreed to apply and use. This agreement
deals with many of the most difficult issues that have arisen
since the crisis began.
It significantly enhances the likelihood that homeowners will be
able to receive the help they need in a timely manner, that the
assistance process is respectful of homeowners, and that the
support will be as understandable and transparent as possible.
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Four Main Ways To Help Homeowners
Immediately
The new HOPE NOW guidelines will do four
critically important things for homeowners:
1. Expedite: The HOPE NOW agreement
establishes a uniform, streamlined timetable for
action by each mortgage servicer when dealing
with a homeowner. This will provide every
homeowner who contacts their servicer with
deadlines by which action is likely to be taken
and a better understanding about their
particular situation.
Immediately
The new HOPE NOW guidelines will do four
critically important things for homeowners:
1. Expedite: The HOPE NOW agreement
establishes a uniform, streamlined timetable for
action by each mortgage servicer when dealing
with a homeowner. This will provide every
homeowner who contacts their servicer with
deadlines by which action is likely to be taken
and a better understanding about their
particular situation.