A Helping Hand For Homeowners
CBS
Transcript
the Obama Administration today officially kicked off its plan to help millions of struggling families stay in their homes a program with two major parts the first is intended to help 3 to four million homeowners on the brink of foreclosure by providing $75 billion in incentives for lenders and homeowners to modify mortgages when the president first previewed the plan two weeks ago he said it will only help people who've acted responsibly it will not reward folks who bought homes they knew from the beginning they would never be able to afford so who's eligible for help under the rules announced today only homeowners who can no longer afford their monthly payments because their interest rate has increased they're bringing in less income due for example to job loss or they're experiencing a hardship such as high medical bills for people who meet one of those requirements the next step is to go to the treasury Department website financial stability. goov and answer some questions including is your home your primary residence and is the amount you owe on your home less than $729,750 questions intended to weed out speculators investors and high income earners those who think they qualify will have to prove it by submitting financial information including tax returns pay stubs credit card balances even a sworn affidavit explaining their financial hardship the second part of the program would help four to 5 million homeowners refinance to lower mortgage rates but only if their home loans are held by by Fanny May or Freddy Mack now this home program needs no approval by Congress it starts now so the White House says if you think you qualify call your mortgage company but they also say please be patient because those phone lines are swamped Katie I'm sure of that chip Reed in Washington at the White House thank you chip