Chase Still Leading the Way in Helping Families with Mortgage Modifications

More than 227,700 modifications offered since April 6--the most in the industry

Chase announced today that it has approved more than 227,000 trial mortgage modifications for struggling homeowners since April 6, when it began processing trial modifications through President Obama's Making Home Affordable program. Specifically, Chase has offered more than 139,000 trial modifications using the Administration's program, the most modifications of any servicer in the industry, according to a report released by the U.S. Treasury Department on August 4. Chase has approved an additional 88,300 trial modifications through its own modification program.

Since 2007, Chase has continued to expand its comprehensive plan to keep families in their homes, helping prevent 725,000 foreclosures - including the more than 227,700 trial modifications -- for Chase, WaMu and EMC customers.

Chase has approved the trial modifications under:

The Making Home Affordable Program: Chase first determines whether struggling homeowners qualify for this government program. 25 percent of eligible Chase borrowers have made their first modified payment under this plan, among the best take-up rates in the industry.

For borrowers facing financial hardship, the program seeks to reduce mortgage payments for principal, interest, property taxes and hazard insurance to 31 percent of their gross income, usually by reducing the interest rate or extending the length of the loan.

Chase started taking steps to implement the Making Home Affordable Program before initial details were announced in early March and began processing trial loan modifications April 6 even as the government continues to make additional key decisions about the program and communicate them to mortgage servicers.

Chase's Modification Program: This program is used for loans that do not qualify for the Making Home Affordable Program.

Both modification programs require the borrower to make three modified payments in full and on time and to submit additional documentation, including income verification, so that the modifications can become permanent.

Chase generally stops foreclosure while reviewing a mortgage for modification. If a loan does not qualify for a Making Home Affordable or a Chase modification, it is referred to the loss mitigation department, which will consider more traditional plans as well as short sales and deeds in lieu of foreclosure.

Since January 1, Chase has:

• Added 1,700 loan counselors, bringing the total to 4,200.
• Hired 3,700 additional mortgage operations employees to handle the unprecedented volume generated by the troubled economy and housing market.
• Opened 27 Chase Homeownership Centers - three more than originally planned -- where struggling borrowers around the country can meet face to face with trained counselors. More than 42,000 borrowers have met with counselors at the centers.

For more information, visit https://www.chase.com/chf/mortgage/keeping-your-home.