Wow! Obama's Mortgage Modification Program: EPIC FAIL


More Than 250,000 Borrowers Dropped From U.S. Modification Plan

By Dawn Kopecki

March 12 (Bloomberg) — More than 250,000 of the 1 million borrowers who have received trial loan modifications through the Obama administration’s chief foreclosure prevention plan have either dropped out or been removed from the program through February, the Treasury Department said.

Bank of America Corp., JPMorgan Chase & Co. and the lenders in the Home Affordable Modification Program successfully converted 168,708 trial plans into permanent loan modifications, up from 116,297 through the end of January, the Treasury said today in a report. More than 666,000 borrowers were in trial repayment plans, Treasury said.

The program, announced more than a year ago, is short of the 3 million to 4 million at-risk homeowners Obama targeted. About 2.82 million U.S. homeowners lost their properties to foreclosure last year and 4.5 million filings are expected in 2010, RealtyTrac Inc. said last month.

To contact the reporter on this story: Dawn Kopecki in Washington at [email protected];

With results like these, makes you wonder exactly who this program was supposed to help.