Archive for the ‘Money’ tag
Freddie Mac Doubles Financial Incentives to Servicers Who Help Borrowers Avoid Foreclosure
Freddie Mac today told mortgage servicers it was
doubling the amount of money it pays for each workout
that keeps a delinquent borrower with a Freddie Mac-owned mortgage out of
foreclosure.
Freddie Mac also announced it will start reimbursing servicers for the
cost of door-to-door outreach programs, give servicers more time to
negotiate workouts in states with fast foreclosure processes, and make
administrative changes intended to streamline the workout process.
Regulators Hasten to Assure Depositors that their Money is Secure as IndyMac is put into Receivership
Federal regulators and Bush Administration officials spent the weekend
reassuring bank depositors nationwide that their
deposits are secure and, as the ads say, insured by the Federal Deposit
Insurance Corporation (FDIC).
The public information campaign was launched to quiet fears that were
stoked by the failure of California-based IndyMac late
Friday. IndyMac, with total assets of $32 billion, became the third
largest bank to fail in U.S. history and its collapse is expected to
cost the bank insurance fund between $4 billion and $8 billion.
Regulators fear that depositors concern about their money will
spread to other banks hard-hit by the mortgage
crisis…
IndyMac Faces Bank "Run"
After announcing on Monday that it would shutter its mortgage lending
operations but continue business as a retail bank,
IndyMac was hit on Tuesday by a potentially fatal blow
to that part of its business as well.
Bank depositors rushed to withdraw money from the
bank…