Citigroup to allow jobless to cut mortgage payments

**Jason** · 03-03-2009, 06:52 AM

NEW YORK (Reuters) - Citigroup Inc said on Tuesday it will allow some newly unemployed homeowners to temporarily reduce payments on their mortgages.

The bank will lower payments for three months to an average of $500 per month for certain borrowers who lost their jobs and are at least 60 days delinquent. It plans to work case-by-case with borrowers who are still unemployed after that time.

While Citigroup said thousands of borrowers may be eligible, the program is likely to make only a small dent in the ranks of distressed borrowers as unemployment rises and housing prices extend their declines.

Citigroup's program is limited to people who have mortgages that are owned and serviced by CitiMortgage, and excludes the 4.3 million mortgages that Citigroup services but does not own. Qualified borrowers must live in their homes, and in general must have loans no larger than $417,500.

http://www.reuters.com/article/newsO...5222YW20090303

03-03-2009, 06:52 AM	#1 (permalink)
Jason Faugh a ballagh Join Date: Dec 2001 Location: Pasco, FL Posts: 8,477 OS: Windows Vista My System Blog Entries: 2	Citigroup to allow jobless to cut mortgage payments NEW YORK (Reuters) - Citigroup Inc said on Tuesday it will allow some newly unemployed homeowners to temporarily reduce payments on their mortgages. The bank will lower payments for three months to an average of $500 per month for certain borrowers who lost their jobs and are at least 60 days delinquent. It plans to work case-by-case with borrowers who are still unemployed after that time. While Citigroup said thousands of borrowers may be eligible, the program is likely to make only a small dent in the ranks of distressed borrowers as unemployment rises and housing prices extend their declines. Citigroup's program is limited to people who have mortgages that are owned and serviced by CitiMortgage, and excludes the 4.3 million mortgages that Citigroup services but does not own. Qualified borrowers must live in their homes, and in general must have loans no larger than $417,500. http://www.reuters.com/article/newsO...5222YW20090303 __________________ Posting Tips \| Advice for New People \| Common Fixes \| Agus na damnaithe fágtha gan focal Glaoigh ormsa i measc na naomh