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Mortgage lenders offer respite from foreclosure
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WASHINGTON At-risk borrowers with all types of mortgages, not just high-cost subprime loans, could be eligible for help under a new plan involving six big home lenders, the Bush administration announced today.
The plan will allow homeowners whose mortgages are 90 days or more past due to suspend foreclosures for 30 days while lenders try to work out more affordable loan terms.
The participants are Bank of America Corp., Citigroup Inc., Countrywide Financial Corp., JPMorgan Chase & Co., Washington Mutual Inc. and Wells Fargo & Co.
These institutions service almost 50 percent of the nation's mortgages.
The project was announced by Treasury Secretary Henry Paulson and Housing and Urban Development Secretary Alphonso Jackson at a joint news conference.
Private economists are forecasting the number of foreclosures could soar this year and next.

