July 21, 2015
OCC Newsletter Focuses on Increasing Sustainable Loan Modifications and Reducing Foreclosures
WASHINGTON — The Office of the Comptroller of the Currency (OCC) today published the latest edition of its Community Developments Investments electronic newsletter entitled “Hardest Hit Fund: State Programs to Improve Loan Modification Sustainability and Stabilize Communities.”
“There is no single solution for increasing sustainable loan modifications and reducing foreclosures,” said Comptroller of the Currency Thomas J. Curry. “This newsletter highlights one of the major federal initiatives – the Hardest Hit Fund – and features some of the collaborative programs that have allowed state housing finance agencies to implement solutions tailored to each area’s situation.”
The newsletter provide examples of how state housing finance agencies are implementing the Hardest Hit Fund program, such as by funding programs that provide principal reduction in conjunction with a loan modification, temporary mortgage assistance for unemployed borrowers, assistance to facilitate short sales, or funds to pay off second liens. It also describes efforts to address low-value abandoned properties in a way that complements the work being done by the state housing finance agencies. There is also a review of how foreclosure prevention and community stabilization activities may qualify for consideration in a bank’s Community Reinvestment Act examination.
This edition of Community Developments Investments is part of a group of resources available to national banks and federal savings associations interested in foreclosure prevention and neighborhood stabilization. These resources can be accessed on the OCC’s Web site at www.occ.gov.