This legislation provides tooks to modify loans and avoid foreclosures by:

A study by the Federal Reserve Bank of Boston indicated that banks were reluctant to modify loans.

Companies that service mortgages will get incentives to modify loans and to help the homeowner stay current.

Mortgage servicers will receive incentives to modify loans and to help the homeowner stay current, though participation by lenders is voluntary.

These companies promise to modify loans and negotiate great terms with lenders only to take homeowners' money and run.

Servicing mortgages well means hiring and training lots of workers to help customers, modify loans, and insure that documents are in order.

Are lenders required to modify loans?

This program helps modify loans with the goal of lowering monthly mortgage payments.

This included the ability to modify loans, lower interest rates, and to help homeowners before they defaulted.

Instead, the government has tried to give banks the incentive to modify loans, and that has hardly made a dent.