“ During the 80s farm crisis, young farmers who had purchased land for farming at high prices suddenly saw the price of their crops drop together with a tumble in the price of land. It was a debt crisis not far removed to what is happening today when the borrowers who have lost their jobs are now finding the value of their properties to be less than the loan due amount. ”
“Congress introduced in the bankruptcy code a new chapter. It permitted the judges dealing with bankruptcy to go ahead with modification of loans inclusive of partial waiving of principal. This prevented many farmers and their families from being evicted.”
这一次，政府一开始有一个：HAMP.
“But only 300,000 borrowers out of a targeted 4 million have benefited from it. The general opinion is that it is not working. The main reason for this is that the servicers did not have the infrastructure to handle the mega influx of applications for modification. Secondly it is difficult to demarcate eligibility because many owners with big loan mortgages have suddenly found their incomes have gone down drastically.”
