Help for subprime victims

Homeowners throughout the city can expect to receive some help in preventing foreclosures thanks to the new “Operation Protect Your Home,” initiative.
The cooperative effort of federal, state and city leaders will include a series of forums where representatives from the New York State Banking Department and financial institutions will examine individual homeowners’ situations and offer advice on how to avoid foreclosure.
Carrington Mortgage Services, Chase, Citigroup, EMC Mortgages, Home Loan Services, Home Eq, HSBC Finance, Litton Loans, Ocwen Financial, Option One Mortgages, GMAC, Saxon, Washington Mutual, Wells Fargo and Wilshire have all agreed to participate in the program.
“However, the success of the service [providers] will be measured on their ability to avoid unnecessary foreclosures and to provide meaningful loan modifications that create sustainable and affordable mortgage solutions for borrowers,” said New York State Banking Department Superintendent Richard Neiman.
In addition to representatives from the financial institutions, a number of counselors from non-profit and advisory organizations will also be on hand to work with attendees. Already 20,000 letters have gone out to at-risk homeowners encouraging them to attend the free forum in their area.
“By sponsoring the ‘Operation Protect Your Home’ forums, we are taking action and letting New Yorkers know that there are places that offer both help and hope,” said New York City Comptroller William Thompson, whose office is co-sponsoring the forums. “Together we can ensure that the dream of home ownership does not become the nightmare of foreclosure.”
Queens will hold its forum sponsored by Senators Malcolm Smith, Shirley Huntley, George Onorato, John Sabini and Toby Stavisky, at Campus Magnet High School in Cambria Heights from 10 a.m. to 6 p.m.
“It is our hope that these workshops will provide families with enough help and information to get back on solid footing to keep their homes,” Smith said.
Meanwhile, on Tuesday, February 12, six of the largest mortgage providers announced “Project Lifeline,” which could enable homeowners facing foreclosure to delay the procedure by 30 days while trying to renegotiate a new loan.
Bank of America, Chase, Citigroup, Countrywide, Washington Mutual and Wells Fargo - which account for nearly 50 percent of mortgages - will begin reaching out to homeowners and give them five steps to follow to see if they qualify for a loan modification.