Group demands faster mortgage help
PHILADELPHIA - Several key mortgage companies that benefited from federal bailout funds have yet to sign onto the Obama administration’s plan to help more homeowners avoid foreclosure.
The community group ACORN held 15 protests around the country yesterday to draw attention to the slow progress of the administration’s plan, which was launched four months ago. Demonstrators called for the companies, including Litton Loan Servicing, HomEq, and OneWest, to sign onto the Obama administration’s $75 billion initiative called “Making Home Affordable.’’
After a protest outside OneWest’s office in Pasadena, Calif., CEO Terry Laughlin said the company would participate in the Obama program. The company would become the 24th in the program, including
Government officials estimate the program could help up to 9 million financially troubled homeowners. Lenders holding roughly 20 percent of eligible loans are not participating, according to the Treasury Department.
The department said yesterday loan companies modified 185,156 mortgages in the first quarter, up 55 percent from the previous quarter. But the number of foreclosures in process increased to 844,389, up 22 percent.
“So far (the program) isn’t showing large numbers, which tells me that it’s not working and that’s a problem,’’ said Patrick Newport, an economist with IHS Global Insight. 