More Servicers Bring HAMP List to 99
The US Treasury Department added 11 new servicers to the Home Affordable Modification Program (HAMP), pushing the total number of participants to 99, according to the latest Troubled Asset Relief Program (TARP) transaction report. Under HAMP, the Treasury allocates capped incentives to servicers for the modification of loans on the verge of foreclosure. Currently, the 99 servicers could receive a potential $27.4bn in capped incentives, but the Treasury plans to spend $50bn on the program. Of the new servicers, Ohio-based First Federal Savings and Loan Association of Lakewood received the highest cap at $3.4m. Park View Federal Savings Bank, also based in Ohio, receives a $760,000 cap. The third highest belongs to Indiana-based Horizon Bank, which receives a $700,000 cap. Hartford Savings Bank, based in Wisconsin, receives a $630,000 cap. The Illinois-based Citizens 1st National Bank receives a $620,000 cap. Verity Credit Union, based in Seattle, Washington, receives a $600,000 capped incentive. Also based in Seattle, Sound Community Bank receives a $440,000 cap. Glenview State Bank, in Illinois, receives a $370,000 capped incentive, and HomeStar Bank & Financial Services, also based in Illinois, gets a $310,000 cap. Golden Plains Credit Union, in Kansas, receives a $170,000 capped incentive, and the Bryn Mawr Trust Co., based in Pennsylvania, receives a $150,000. Earlier in December, the Treasury reported 30,000 permanent modifications through HAMP, but the Treasury anticipates 375,000 permanent workouts by the end of the year. Write to Jon Prior.