Obama Administration Facing New Pressure On Foreclosures
The Obama administration is facing stepped up pressure to provide
more details about its efforts to help struggling homeowners stay in
U.S. Treasury Secretary Timothy Geithner earlier this month said about
half a million American families are now participating in a home loan
modification program initiated by the Obama administration to try to
slow the rate of foreclosures.
"But the measure of success for the Home Affordable Mortgage Program
(HAMP) is not only the number of borrowers who enter the process," said
New York Bank Superintendent Richard Neiman, a member of the
Congressional Oversight Panel (COP) which oversees the government's
Troubled Asset Relief Program (TARP), the $700 billion bailout launched
under the Bush administration.
"The real test is the number of families who complete the trial modification
period and receive sustainable permanent modifications," Neiman said in
a prepared statement released Thursday after Treasury Assistant Secretary
for Financial Stability Herbert Allison testified Thursday before the COP.