ASSOCIATED PRESS SAYS: LENDERS SCRAMBLE TO HELP

Foreclosures are INCREASING.  As a matter of fact, they are the highest level in our history.  Did you know that a number of Mortgage companies would rather modify the terms of the loan than have to foreclose.  In a recent Associated Press article, it was pointed out that "...Lenders have long modified loans for homeowners facing jobloss, illness, divorce or death in the family.  But with many borrowers across the country struggling to keep up with mortgage payments, mortgage companies increasingly are prodding anyone who's having trouble making payments for any reason to give them a call...advocates say that half the people in foreclosure never talk to their banker before losing their house, and many could rework their loans if they only got help."  So who loses in this newest high level foreclosure market?  Both Lender and Borrower.  The article went on to say: "  Homeowners are the obvious losers, but all the financial service companies involved lose too.  The lender loses the steady steam of payments it counted on.  If it sold the loan as part of a securitization, a package of mortgage-backed securities, that investor loses.  Loan servicers, who are usually paid a fraction of the interest on a loan, lose too.  With home values falling in some parts of the country, none of the finance companies want to be stuck owning a house that has depreciated, or worse, a house surrounded by other homes in foreclosure."  If you or a friend are in trouble, there is a helping hand--call The Home Ownership Preservation Foundation--toll free, 24 hours a day at 888-995-4673.  Finally,  there are a lot of "sharks" out there--be mindful of anyone who offers you a quick fix or rushes you into signing something or charges for services.