
Maintaining Your HAMP Repayments and Preparing For A Better Financial Future
The primary focus of HAMP and the way that more manageable payment sums are reached is by lowering interest rates. Those who are in receipt of Tier 1 interest rates will have a low repayment percentage of 2 percent. Note this figure may increase gradually, but it will never surpass the original market rate when the loan modification was agreed. The whole purpose of lowering interest rates is to make mortgage payments easier for homeowners to maintain, so they can build themselves and their families a better financial future. How Will a Tier 1 Modification Affect My Mortgage Repayments?
Generally speaking, the lowest rate of interest will be maintained for five years and then rates will increase in small increments in subsequent years, according to MakingHomeAffordable.gov. This will ...