Citigroup on Monday became the latest major US lender to try to help borrowers stay in their homes, launching a program it said may result in $20bn of mortgage refinancings, reports Reuters. Citi expects in the next six months to reach out to 500,000 borrowers it said may need help to stay current on payments. It also agreed to halt foreclosures for struggling borrowers who live in their homes, have sufficient income to afford lower payments, and are making an effort to work out their problems with the bank. Monday’s changes cover borrowers whose mortgages Citi owns, rather than those it has sold to investors. Citi said it also streamlined procedures to rework delinquent home loans.

This entry was posted by Gwen Robinson on Tuesday, November 11th, 2008 at 5:35 and is filed under Capital markets. Tagged with citi. Edit this entry.