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Tuesday, January 8, 2008

Paulson to Lenders: Help All ARM Borrowers

From Realtor Magazine Online, Daily Real Estate News January 8, 2008

Treasury Secretary Henry Paulson yesterday urged the mortgage industry to expedite refinancing or freeze interest rates for all adjustable-rate mortgage holders.

In a speech to the New York Society of Securities Analysts, Paulson suggested the home-loan industry should use a "systematic approach for adjustable-rate mortgages other than subprime if it will benefit home owners and investors."

The response to Paulson’s suggestion was not instantly negative.

"To the extent that servicers can develop and apply systematic approaches to assist them in their efforts to identify appropriate loss mitigation outcomes for adjustable rate mortgages other than subprime, we support those efforts," George Miller, the group's executive director, said in a statement.

Source: The Wall Street Journal, Michael M. Phillips (01/08/08)

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