On Friday, President Obama announced new help for people
who can't make their payments by requiring
lenders to temporarily slash or eliminate payments for
many borrowers who are unemployed.
See THIS page for how it all works
That means your payment would be no more than 31% of your
income. If your only income is unemployment, your payment
would be 31% of your unemployment check.
Obama also wants to help borrowers who owe more than their
house or condo is worth by asking lenders to cut your loan
balance and refinance you into an FHA loan.
="">Q. How many people will the plan help?
A. It's designed to help all borrowers who are in trouble. This
could reach up to 12 million Americans who can't pay because
they lost a job or their house is worth less than they owe.
Q. How does this plan work?
A. If you don't have a job, you can get a 3-6 month break on
making payments. If you owe more than your house is worth,
your bank will get an incentive to reduce your balance.
Q. I don't have a job. Do I qualify?
A. You need to live in your home, owe less than $729,750
and be on unemployment.