Fifth Third Mortgage Co., a subsidiary of Fifth Third Bank, has converted nearly 77% of its trial Home Affordable Modification Program (HAMP) loans into permanent modifications – more than double the national average of 35% reported by the U.S. Treasury Department for October.
Fifth Third uses HAMP on its Fannie Mae- and Freddie Mac-owned mortgages, per the government-sponsored enterprises' guidelines.
‘The past several months have seen a lot of negative information about the mortgage industry, particularly along the foreclosure front,’ says Steve Alonso, executive vice president of consumer lending, mortgage and business banking for Fifth Third Bank. ‘Fifth Third Bank is committed to helping keep our customers in their homes, and we are continuing to work hard converting eligible customers into the government's HAMP program.’
Fifth Third uses a separate loss mitigation program for bank-owned loans. The ‘You Have Options’ program is tailored to each customer's specific financial situation, allowing the bank to offer term and rate adjustments, Fifth Third says. The bank has additionally created a borrower-facing website to help homeowners navigate the paperwork that is required under HAMP.
SOURCE: Fifth Third Bank