Homeowners threatened with foreclosure will in some instances get a 30-day reprieve under a new initiative the Bush Administration announced on Tuesday. This initiative has been dubbed “Project Lifeline” and the program will be available to people who have taken out all types of mortgages, not just sub-prime. This program was put together by 6 of the nations largest financial institutions, which service almost 50% of the nations mortgages.
The Mortgage Bankers Association reported that at least 1.3 million home mortgage loans were seriously delinquent or in foreclosure at the end of the July/September quarter.
Analysts are forecasting the number of foreclosures rising up to 1 million this year and next year, doubling the 2007 rate.
Officials did not have an estimate of how many people might be helped by the “Project Lifeline” program. Will this program help your business or your customers?
I don’t see this as a “fix” just a postponement for people who are sinking and in some instances sinking fast. Credit card rates have soared just when many are losing their jobs and are already struggling to pay their bills as well as a past due mortgage.
Is there anything your business can do to help your customers who may be in a bad situation? Will your business benefit from this quick fix or will you struggle and continue to deal with customers who are struggling?
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