Title : Government Mortgage Assistance May Lead to Poor Credit Scores
link : Government Mortgage Assistance May Lead to Poor Credit Scores
Government Mortgage Assistance May Lead to Poor Credit Scores

The nearly $75 billion, Making Home Affordable program, introduced by the Obama administration, is effecting homeowners' credit scores. While the program is certainly helping borrowers avoid foreclosure, it may come at the cost of lowering their credit scores. Some homeowners are finding when they enroll for Making Home Affordable's services, during the "trial phase," when required to make at least three payments, their credit drops drastically. This is because when the credit bureaus get wind from the mortgage companies their homeowner is asking for a loan modification, they interpret it as a "danger"-deeming the program's assisted homeowners, as having financial woes.
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