Hope Now Streamlines Foreclosure Policies

Loan servicers participating in the Hope Now alliance have agreed to a uniform approach to loan modifications, repayment plans, partial claims, and forbearance to make foreclosure relief more readily available to troubled homeowners. Faith Schwartz, executive director of Hope Now, said the new guidelines "will greatly expedite the process of preventing foreclosures." The guidelines establish a streamlined timeline to be used by each Hope Now mortgage servicer and encourage servicers to make free, independent credit counseling services available to borrowers. The servicers have agreed to fully implement the uniform approach to foreclosure prevention within 60 days. The agreement also includes guidance for dealing with second mortgages and short-sales.