I think we need to think about who we are rewarding and who we are hurting . While the intentions of the Making Home Affordable Mortgage Program ( HAMP) is supposed to be help homeowners who have fallen behind in their mortgage the number of people being helped is below the estimates. Originally it was thought that the program would help 9 million people faced with foreclosure and clearly this is not the case.

With unemployment rising in some areas modifying loans will not work. Yet the other day a client of mine said she received a call from the bank and has decided to pursue a loan modification with them even though she is unemployed.

I think the public does not understand that banks are under pressure to modify more loans and by attempting to modify more loans they get paid two ways. The get money from the homeowner and money from the federal government for servicing and modifying the loan.

Someone needs to tell the truth and let people know that if they default on the new loan they will have to pay the consequences. If a homeowner defaults on the new loan the bank can accelerate the foreclosure process.