Freddie Mac is now paying their loan servicers double the amount they were previously paying, this is only if the servicers are able to help a homeowner avoid foreclosure. Many critics have thought that the loan servicers were not going the extra mile to workout repayment plans, loan modifications, or short sales because they weren’t being compensated accordingly.

Compensation for each service has now been double by Freddi Mac; loan servicers now receive $2,200 for short sales, loan modifications have been increased to $800, and repayment plans are up to $500. In addition Mac is offering small bonuses for loan servicers who reach out to homeowners in trouble.

This entry was posted on Friday, August 1st, 2008 at 6:12 pm and is filed under Foreclosure. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.