Franklin Credit Bumps HAMP Servicer Count to 57
Four new servicers joined the Home Affordable Modification Program (HAMP) this week, pushing the total to 57, according the most recent report from the US Treasury Department. HAMP provides cap incentives to participating servicers for modifying loans on the verge of foreclosure. The Trouble Asset Relief Program’s (TARP) transaction report lists the servicers and their cap figures. According to the most recent report from the Treasury, servicers so far offered more than 570,000 HAMP modifications and started more than 360,000 trial modifications. Franklin Credit Management received $27.5m in cap incentives, according to the TARP transaction report. ORNL Federal Credit Union received $2m in incentives. Allstate Mortgage Loans and Investments and Metropolitan National Bank received $250,000 and $280,000 respectively. The new lineup of 57 servicers receives $22.2bn in incentive payments, up from $20.6bn in August. A House committee held a recent hearing to determine if HAMP could reach its target of 3-4m homeowners and start 500,000 modifications by Nov. 1, 2009. In his testimony, Michael Barr, the Treasury assistant secretary for financial institutions, reported that HAMP was on track to reach 4m borrowers over the next three years. Write to Jon Prior.