Conservatorship opens door to meaningful loan modifications that could prevent foreclosures


Center for Responsible Lending
September 9, 2008

Today Martin Eakes, CEO of Self Help and the Center for Responsible Lending, issued the following statement in response to the government's decision to take control of Fannie Mae and Freddie Mac:

"Avoiding foreclosures that don't need to happen is our country's best hope for economic recovery.  Now that Fannie Mae and Freddie Mac have the full backing of the U.S. government, they have the flexibility required to implement mortgage modifications quickly, systematically and fairly.  The need for meaningful, large-scale modifications is urgent; preventing foreclosures should be the test by which we measure the government's response to the housing crisis." 

For more information: Kathleen Day at (202) 349-1871 or kathleen.day@responsiblelending.org; Sharon Reuss at (919) 313-8527 or sharon.reuss@responsiblelending.org; or Ginna Green at (510) 379-5513 or ginna.green@responsiblelending.org.

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About the Center for Responsible Lending

The Center for Responsible Lending is a nonprofit, nonpartisan research and policy organization dedicated to protecting homeownership and family wealth by working to eliminate abusive financial practices. CRL is affiliated with Self-Help, one of the nation's largest community development financial institutions.