Chase announced today that it will participate in the Michigan State Housing Development Authority’s Hardest Hit Fund to assist unemployed borrowers with their mortgage payments.
Through the program, the company may pay up to half of qualified borrowers’ monthly mortgage payments for up to 12 months, saving them a maximum $9,000.
For example, a borrower who has been making a $1,400 monthly payment for principal, interest, property taxes and homeowners insurance may be eligible to pay only $700 per month, with the state taking care of the difference.
It only applies to mortgages on primary residences, but can be used by both current and delinquent borrowers.
Homeowners who think they may be eligible should contact Chase, who will ask basic eligibility questions and send requests for documentation.
Applications that receive full approval by the 15th of a month will receive benefits the following month.
Approved borrowers will be instructed to send their portion of the next month’s payment to the state, which will add its portion and send the full mortgage payment to Chase.
“We’re pleased to offer one more way to help Michigan homeowners who are struggling with their payments,” said Sarah McClelland, president of Chase in Michigan, in a press release.
“We’ve been working closely with MSHDA on the details so this will work smoothly for homeowners.”
I’m assuming other banks and mortgage lenders will get on board as well…