Fannie, Freddy, Citi Suspend Evictions

By:: Peter King | December 18, 2009

Three major lenders have announced that they’re suspending foreclosure evictions over the Christmas season, so foreclosed homeowners won’t have to leave their homes until after the holidays.

Fannie Mae, Freddie Mac and Citigroup have all said they will halt evictions until after the first of the year. Fannie Mae and Freddie Mac said they will suspend evictions from Dec. 19 through Jan. 3; Citigroup will suspend all foreclosure actions and evictions for its borrowers through Jan. 17.

Citigroup says its suspension will provide temporary relief for some 2,000 borrowers who were scheduled for eviction over the coming month and another 2,000 who were to receive foreclosure notices during that time. The moratorium only applies to borrowers who have their loans through Citigroup and not mortgages that are only serviced by the company.

"We hope that with this suspension we can make the holidays a little less stressful for our customers who are going through a very difficult time," said CitiMortgage President Sanjiv Das. "And we will continue to look for meaningful ways to assist our customers experiencing hardship."

Fannie Mae and Freddie Mac did not provide estimates for how many borrowers would get a reprieve from their suspensions; however, the two government-sponsored secondary lenders back approximately 80 percent of all U.S. mortgages.

"We're taking this step in support of struggling families who have unfortunately found themselves facing foreclosure," said Michael J. Williams, President and Chief Executive Officer. "No family should have to face the prospect of being evicted during the holiday season."

Fannie Mae and Freddie Mac provide the underpinnings for the Obama Administration’s Making Home Affordable Program, which seeks to help homeowners avoid foreclosure by modifying the terms on mortgages backed by the two secondary lenders.

The program has been beset by delays; of the approximately 360,000 homeowners who have completed their trial loan modifications under the program, 300,000 are still awaiting decisions on the final status of their modifications, while about 30,000 each have either been approved for permanent loan modification status or rejected by their lenders. A total of 750,000 trial loan modifications have been begun under the program.

Start here to compare mortgage rates from top lenders in our network

Call For Rates

800-419-1494

Speak to a lender now.

We will match calls to our toll free number with our network of lenders.

See Today's Rates

National Rates

Loan Type	Today	+/-
30 yr fixed	3.80
15 yr fixed	3.10
5/1 ARM	2.73

Rates may contain points

Compare Rates »

Browse Mortgage Rates

Featured Guides

Browse our comprehensive guides to popular topics related to mortgage and personal finance.

Mortgage Calculators

Mortgage Loan Directory and Information, Inc or Mortgageloan.com does not offer loans or mortgages. Mortgageloan.com is not a lender or a mortgage broker. Mortgageloan.com is a website that provides information about mortgages and loans and does not offer loans or mortgages directly or indirectly through representatives or agents. We do not engage in direct marketing by phone or email towards consumers. Contact our support if you are suspicious of any fraudulent activities or if you have any questions.

Mortgageloan.com is a news and information service providing editorial content and directory information in the field of mortgages and loans. Mortgageloan.com is not responsible for the accuracy of information or responsible for the accuracy of the rates, APR or loan information posted by brokers, lenders or advertisers.