How will relief package affect loan modification standards?

The Obama White House is expected to roll out a $50 billion homeowner relief package this week, one that could subsidize lenders who make interest rate cuts on troubled loans. But the big thing to watch is how the package would establish industry standards for modifying loans and also how it might be used to get the financial industry's support to pass a bill allowing bankruptcy judges to modify loans. Both points have been big worries for lenders and servicers, because some of the power in redo

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