By Alan M. White
A distressed homeowner’s chances of being offered a meaningful loan restructuring, as opposed to demands for increased payments to make up past defaults, depends a lot on which mortgage servicing company they happen to be dealing with. As my own research and a recent Credit Suisse report have shown, there is absolutely no consistency in the approach servicers are taking to either the number or the kind of loan modifications they offer. In fact, only two servicers are doing significant numbers of principal reduction mods. This means, among other things, that most servicers could be doing much more.
