Citi to modify $20 billion in mortgages

A new program aimed at homeowners who haven’t defaulted yet could help 130,000 mortgage borrowers stay in their homes.

November 11 2008 - Citigroup says it will expand its foreclosure prevention efforts and try to keep 130,000 troubled borrowers with $20 billion in mortgages in their homes.

The news follows similar initiatives announced earlier this year by IndyMac Bank, which was seized by the Federal Deposit Insurance Corp. last summer, as well as Bank of America and JPMorgan Chase each of which heralded enhanced housing rescue efforts.

Banks are undoubtedly feeling pressured to be more aggressive in aiding home owners, given how many billions of taxpayer dollars have poured into the industry to stem the credit crisis.

Citi to modify $20 billion in home loans
by Les Christie | CNNMoney.com