HAMP Helps Homeowners Keep Homes from Foreclosing


Pittsfield, MA -- (SBWIRE) -- 03/13/2014 -- Foreclosure happens to thousands of people each year. The surprising fact is that it can be prevented by accessing any of the plans under the Obama Making Home Affordable program. There’s loan modification through HAMP (Home Affordable Modification Program) and answers to many commonly asked questions. is here to outline and explain the way the MHA plans work, including:

- Facts about Most Lenders
- How HAMP Helps
- Effects of Late Payments
- HAMP Eligibility Requirements

Lenders & Foreclosure Prevention

Here’s a shocking fact: Over 90% of applicants for the HAMP program are denied – if they go through their personal financer. However, if they find a program-affiliated lender, that percentage greatly decreases. It does not profit traditional banks to gain approval for homeowners, because their investment is insured by private mortgage insurance (PMI). If a financer assists a consumer in being approved for HAMP, it is finding an end to the foreclosure process, which is not what the lender wants.

HAMP Assists Homeowners

When the Obama HAMP plan went into effect, thousands of struggling homeowners were unable to meet eligibility requirements. With the changes made to the program in 2012, those folks were ale to receive the help they needed. HAMP stands for Home Affordable Modification Program. The term “modification” simply means that, once a participating lender is found, one’s mortgage had changes made to it so the payment became more affordable. points out that these alterations may include lowering the principal of the mortgage or reducing the interest rate, in addition to others, all designed to help those facing foreclosure keep their homes.

How Late Payments Effect Homeowners

No one starts out with a plan to default on their mortgage, but sometimes, economic changes result in this, leading to serious difficulty for those falling behind. These folks find their credit ratings going down the tubes with each late payment, and they receive notices of collection attempts by creditors. They also run into road blocks when trying to obtain new loans, and they eventually end up contending with a foreclosure procedure. However, because of the HAMP repayment program, many of these homeowners can avoid the foreclosure altogether, keep their houses, and live without the stress of possibly losing their homes.

How to Qualify for HAMP

It is much easier to qualify for mortgage modification through HAMP since changes to the requirements went into effect in 2012. Some of the criteria necessary includes having gotten the original mortgage on or before Jan. 1, 2009; being able to prove a financial hardship; being able to provide employment pay stubs for at least 4 weeks; and the property to have its mortgage modified must not be condemned. Go to HAMP’s website to learn more about these eligibility qualifications.

About was established in 1999 and has been helping consumers access the financial assistance they need since then. Backed by thousands of fiscal experts, the site provides this information quickly and accurately. For a free initial consultation, dial 866-964-9644.