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Lenders Help to Alleviate Foreclosures

by Mark D’Alessio

As the home mortgage crisis continues to be front page news, it is important to note that businesses are contributing in positive ways to help prevent as many foreclosures as possible.

Last week, The White House, in conjunction with six lenders, and the HOPE NOW alliance, announced "Project Lifeline", which will pause the foreclosure process for 30 days in an effort to help homeowners work with their lenders with regards to payment options for those willing to seek credit counseling.

Wells Fargo announced that it will donate $1.5 million in grant money to three nonprofit homeowner counseling organizations: NeighborWorks America, the National Foundation for Credit Counseling, and the Housing Partnership Network. Each organization will receive $500,000. These funds will help by providing more mortgage counseling capacity to areas of the country with high foreclosure rates. 

In addition to helping people avoid foreclosure in the here and now, the donations by Wells Fargo will support educating people about their personal finances for the future.  This is widely a subject that Americans need help with, despite being obvious that one’s understanding of personal finance is of great importance. 

Without a doubt, the current mortgage crisis has become an enormous problem for millions of Americans. Donations and leadership by companies like Wells Fargo reinforces the fact that business is part of the solution.

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