A bipartisan group of U.S. Senators, led by Jeff Merkley (D-OR) and Olympia Snowe (R-ME), urged government agencies to take action to prevent foreclosures and help families keep their homes.
The senators made their request in a letter sent to Treasury Secretary Timothy Geithner, Secretary of the Department of Housing and Urban Development Shaun Donovan, Federal Reserve Chairman Ben Bernanke, Securities and Exchange Commission Chairman Sheila Bair, Acting Comptroller of the Currency John Walsh, Acting Director of the Federal Housing Finance Agency Edward DeMarco, Attorney General Eric Holder, and Iowa Attorney General Tom Miller. Joining Senators Merkley and Snowe in signing the letter are Senators Akaka (D-HI), Begich (D-AK), Bingaman (D-NM), Blumenthal (D-CT), Durbin (D-IL), Franken (D-MN), Lautenberg (D-NJ), Leahy (D-VT), Levin (D-MI), Menendez (D-NJ), Reed (D-RI), Schumer (D-NY), Shaheen (D-NH), Tom Udall (D-NM), Whitehouse (D-RI), and Wyden (D-OR). The senators advocated for national regulatory standards that would decrease foreclosures, stabilize the housing market, and help spur job creation.
“We write you today to urge you to establish clear national regulatory standards for the loan servicing industry that eliminate confusion and barriers to mortgage modification and help keep families in their homes,” the senators wrote. “We believe those standards should include establishing a single point of contact, ending the dual track of pursuing foreclosure during the loan modification process, and ensuring an independent third-party review prior to sending a homeowner to foreclosure…
“Each of your organizations plays a role in developing and enforcing these standards, and we urge you to act as quickly as possible to develop and promulgate clear rules of the road to protect families and the economy.”