Bank of America and JPMorgan Chase & Co. both said their failure to help more borrowers stemmed from the fact that many home owners fail to complete mortgage-relief paperwork.
Jack Schakett, Bank of America’s credit loss mitigation strategies executive, cited “ineffective communications with customers, shortcomings in document maintenance, misunderstandings about program requirements, and the inability to comply by some borrowers.”
Likewise, JPMorgan Chase said only 4,300 home owners have completed the paperwork, although 16,000 have been approved.
“We are facing challenges with borrowers completing documentation or making trial plan payments as agreed,” Molly Sheehan, JPMorgan Chase’s executive in charge of housing policy, said in written testimony.
Source: Associated Press, Alan Zibel (12/07/2009)