Millions Of Homeowners Don't Qualify For Obama's Mortgage Assistance Program

New York Times:

MESA, Ariz. - She had seen the advertisements for the new government program offering relief. She had heard President Obama promise that help was on the way for homeowners like her, people who had lost jobs and could no longer make their mortgage payments.

Read the whole story: New York Times

Comments

[take10]

They knew all along that this was another ponzy scheme designed to placate rather that actually become a real solution for hurting Americans. The banks are in a safe financial position due to the bailouts and don't have to take risks to make money that has already been given to them without having to be accountable. Just another fraud enacted upon the American taxpayer.

[Roguewolf]

What a joke program

[AnnfromCA]

yes

[formerprosecutor]

First, the last plan implemented was geared towards bribing the banks to reduce the interest on sub prime loans and those :"underwater:"
I far as I can tell this new plan also bribes the banks to modify. They have a lot of nerve to ask the homeowner for more money to refi, when out tax dollars are also paying them a sizable stipend ( bribe) to modify.
BUT this new plan also focuses on sub prime ineterst rates, underwater, and second mortgages.
I saw nothing in the new plan for regular mortgages for people that are in temporary distress due to job loss or health issues.
and finally, as I stated yesterday, on another article, the lenders are NOT making these modifications.
comparing the numbers 100,000 made with 5 million at risk, tells the tale. When you look at the new mortgage figures during 2007, the lenders were able to intiate millions of new mortgages in 6 months time, so why can't they modify these at the same rate?
The answer is : they don't want to.
What this plan really was , was a voluntary "cram down" with financial incentives. "voluntary" won't work, just like de-regulation didn't work.
The bill should have had a gov't (HUD maybe) appeal if the lender denied a modification. There was no remedy for the home owner in the bill: TOOTHLESS equals WORTHLESS

[talkpeople]

AMEN!!!!!!!!!!!!!!!!!!!!!

[MaidinMossyCreek]

Barack knows who butters his bread. He's just another politician. The mortgage assistance program was just another of his slight of hand feel good gimmicks.

[talkpeople]

The Senate is the branch of government that is blocking any real aid to the American people. The House and the White house keep trying to put thru real laws to help but the Senate is payrolled by Big Banks to stop any law from going forward and to water it down so much it makes no difference at all.

[PINO]

BUT obama is the one who sold Americans on the idea. Don't try to deflect who is responsible here. He sold he owns it.

Another phony program that in the end screws over America.

This is the Change you guys voted for. Now live with all the financial problems this inexperience politician is going to cram down the American people's throat.

[AnnfromCA]

It's backfiring.

A lot of my friends bit. They applied. They are running into nothing but bs.

They are also now talking about it.

[bedfordny]

Maybe you can arrange a tea party for them.

[AZBunny]

I'm amazed reading the comment on here that people think it's a travesty this woman isn't getting her mortgage renegotiated. This is the sort of person I would think would not and should NOT get government help. She took out equity in her home to PAY off credit cards!!! obviously she was living beyond her means. Then she took more equity out to buy a CAR!!! That is NOT smart and I for one do not care to think that I am paying off this woman's credit card bill and her car.
IF she had to take out equity for medical that would be a different story but she obviously is not money smart. Not to mention that she is pretty old to be racking up the kind of debt she did. HOW long did she expect she would be able to work?

[talkpeople]

oh your one of the holier than tho types. your above the common person. I bet you go around always pointing fingers at people and say oh look at them they are so wrong. another republican i suppose

[SonofSolomon]

I don't think Republican or Democrat has anything to do with it. The facts are the facts. This woman was irresponsible. It is unfortunate it has put her in her current situation but where do you draw the line? They already accuse Obama of being a socialist.

[formerprosecutor]

I rarely get de. let. ed, but my anwer to this did.

suffice to say: I asked you to find her a job instead of griping about her umemployment

[GetACluepeople]

Now that the smoke has cleared from the room and you can see the mirror, looks to me that only big business is receiving help. I'm sick of prime time cheerleading from the President. No has a clue how to fix the economy!

What did we do before credit reports? Freeze credit reporting for a year, base lending strictly and solely on income, NO more 400K homes with 30K income, they may not get THE house but multiple trips to Lowes and Home Depot will fix that which would also increase factory orders for durable goods, put people back to work in construction, manufacturing and improve that segment of the economy.Incorporate solar panels in all newly built homes beginning oh, NOW, there are your first green jobs, I've worked "inside the beltway, as they call it" and it's business as usual... GRIDLOCK!

This country needs all hands on deck not sniping, waffling and backbiting at such a critical time in our history! Tent Cities ridiculous, there is an entire subdivision in Arizona with 2 homeowners living in it TWO out of 100 plus homes, the rest sit dormant, full of tumbleweeds and unused???

Lastly, get the Dutch to assist with redesigning the levies in New Orleans, they are the experts NOT the Corps of Engineers. New Orleans needs it's own Marshall Plan, keep it simple just reallocate all the money that's being wasted! The US spent 13 billion on Europe after WWII about 115 Billion in today's money,

THINK!

[jusamom]

Franken, you're not alone. I exhausted everything as well, however, I'm at that disaster of a horrible credit rating. When it was great I was rejected time and time again to refi, tried selling the home, that didnt work. I'm a single parent with trying to put my son through college - one more year, Praise the Lord. I had to make those payments. Struggling this year too with tuition but will get through it. I even wanted to just give up on the house however, when folks start walking through your home you want to do the things their planning. So, I'm still struggling, waiting for that modfication to fit my income which was reduce $22,000 annually from when I purchased the home. So many people dont understand many of us did the right thing, we didnt go into an office an pretending we made more; tried to live within our means bought a home we thought we could afford at the advice of the scammers.

Franken continue to hang in there as I know a better day is coming for you, know I'm waiting with you. It has too, I will not fail, I will continue to be a homeowner.

[sueinmn]

10% average unemployment nation wide. Many more to lose jobs coming. No new jobs in place other than a few green jobs possibly. Not nearly enough to being the employment numbers up. The country depends on the working class to support it via taxes as the rich hide theirs where possible. WE the middle class must continue to support what ever gov spending is planned as we have little choices! How are we to do this with out jobs? The more out of work the morw YOU will pay as the spending does not decrease. The more you pay, will not be enough. States and cities are now taking more to make up the losses. How much more can you pay? Isnt it better to help those when possible to stay viable to help carry the burden YOU will be carrying for years to come? Us who are now unemployed want to go back to work. If I dont, then you will pay more as my share still needs to come from somewhere. You want that or you would rather call me irresponsible because I am out of work and want to keep my home somehow. I want to be gainfully employed again to pay my share to my community. Cant we help each other when a downturn happens? Why must we only help the banks keep their profits high and screw the people??

[breakingpoint]

Bankers and their crisis (plus bonuses) vs Home Owners an their crisis (and affordable housing)

In the US some peolpl are more equal than others.

[Kassandra]

I have a friend who's got a child...and a husband and they make $300.00 a year too much to qualify for state aid...even food stamps. When they got that assessment the husband sat down and cried.

This is what's gonna happen all over the country in every "program to help struggling citizens'" who were victimized by these scams, while we give the farm to the banks and now, it looks like, the insurance industry.

[scooperss]

But POTUS is so good looking! And he's the smartest man!

And I'm sure he has a super dooper secret plan up his sleeve!

[SonofSolomon]

Unfortunaly, this is nothing new. This didn't start with Obama. every assistance program has a cut off point. Its just unfortunate your friends didn't meet the threshold.

[formerprosecutor]

Do you KNOW what the standard is? I do, you have to be below poverty level for ANY assistance; heat, FS, etc
for a family of four , now FOUR, you have to have less than 18k a year. gross
which is about 13 dollars a day for food shelter clothing

Imagine
and apply it pragmatically

[teddyr]

The BANKS are the problem. We have been going through this whole debacle and it is disgusting. They work you in circles until you are ready to give up. That's what they want.
Our house was bought at, what we thought, was the end of the balloon in Las Vegas. No one knew that the economy and the prices of homes were going to dip to the ground. We had a normal mortgage. Full credit check, no crazy arms, a growing business etc. And bingo. October things became untenable financially. We were not asking for a free ride. All we wanted was a modification to lower our payments to handle our present condition. We received evasive runarounds. Denials based on nothing explained. When we asked for reasons, we got ("according to the requirements of the lender") The money taken by the taxpayers is not helping the public. These BANKS are scam artists.

[BabblingBrooks]

Millions don't qualify? How can THAT BE?

[SonofSolomon]

Because there are about 300+ million people living in America.

[drec1500Madrid]

dont you understand...the moment these plans were announced those banks sat around large mahogany tables figuring out how to scam everyone...they have it down to a science.

[AnnfromCA]

His program was nothing more than an announcement. There was no real program in place. These stories simply make me ill.

[tre]

Eileen Ulery's problem is, she's responsible. She lives within her means, makes her payments on time, every time, and has a sense of personal responsibility. It's a case of bad things happening to good people.

Duh One's plan is designed to help irresponsible people who got loans they couldn't repay to buy homes they had no business buying and have absolutely no sense of personal responsibility.

[power1]

Obama's mortgage plan is almost as useless as his stimulus package.