FAME Renaissance Assistance Corporation has launched a drive to raise $50 million to help home owners who are in foreclosure (and can be extricated) as well as those in pre-foreclosure or delinquent save their homes.
According to Denise Hunter, president and chief operating officer of the corporation, the fund will enable the organization to purchase the troubled loans from banks and refinance them at a five percent fixed interest rate, and FAME will service the loans.
“We hope to launch the program by June or July,” said Hunter admitting that the timetable is ambitious. “We are working to bring pressure to bear on those lending institutions that have taken advantage of the community, and get them to do the right thing,” she added.
“This is character lending, and we’re targeting people who been paying their mortgage for years, and now find themselves having been taken advantage of (i.e. put into subprime loans, when they did not need to be). We just want to save people’s homes.”