Improving Communications and Getting Results

Improving Communications and Getting Results  The Panel: – Moderator - Deb Oakley, Senior Vice President, Homeownership Preservation, National City – Donna Sheline, Senior Vice President and Director, Homeownership Preservation Office, Chase – Terry Theologidies, Senior Vice President, New Century – Robin Stout-Migala, Senior Delinquency Resolution Manager, Freddie Mac 1 Improving Communications and Getting Results  Purpose of this session is to highlight best practices to improve communications between servicers, consumers, counseling agencies, advocacy groups and mortgage investors - with the stated goal of homeownership retention through cooperative efforts.  The presenters will share some of the best practices their companies currently employ, and share new ideas being discussed in the industry. 2 First Idea: The Pledge for Success The “Pledge” is really a compact between servicers, consumers, mortgage investors, counseling agencies, and advocacy groups.  The Pledge outlines best practices and what can be characterized as “operating principles” that we should use in working with each other. – These principles include being cooperative, fair and forthright, and willing to resolve differences, whenever possible, in an equitable manner. – In addition to the practices that apply to all parties, each party has specific best practices that were developed in response to information gathered at the statewide meetings held earlier this year. 3 The Pledge for Success One of our goals is to obtain support for the Pledge from individuals, companies and groups that work with mortgage consumers. 4 The Homeownership Preservation Office A division of JPMorgan Chase’s Community Development Administration and National Community Relations Homeownership Preservation Office Mission The Homeownership Preservation Office’s (HPO) mission is to ensure that Chase Home Mortgage helps families sustain homeownership by working with community leaders, housing advocates, public officials, investors, and other to develop policies, practices and solutions aimed at homeownership preservation. 1 Homeownership Preservation Office Organization Chart Donna J. Sheline Director, Homeownership Preservation Office Indianapolis IN Gale Blair Sr Admin Assistant Indianapolis IN Bonnie Boards Homeownership Preservation Officer Indianapolis IN Amanda Stark Homeownership Preservation Officer Columbus OH Homeownership Preservation Analyst Jason Griner Columbus Homeownership Preservation Analyst Sarah Monroe Columbus Homeownership Preservation Office Strategies Toll Free Help Line  Foreclosure Prevention Training  Local Foreclosure Prevention Initiatives  National Foreclosure Prevention Initiatives  REO Gifting and Discounted Sale Program 3 Homeownership Preservation Office Strategies Toll Free Help Line – central point of entry for all nonprofit partners/housing advocates. – Customer Advocate – Direct dial: 866.345.4676 – hpo.chase@chase.com – Fax: 614.961.3936 – Dedicated communication avenues for nonprofit/community partners only. 4 Homeownership Preservation Office Strategies  Foreclosure Prevention Training – provides nonprofits, government officials, legal aid attorneys, etc. the basics on the servicer/investor relationship, loss mitigation guidelines and qualification standards. – Have trained over 1,100 community partners. – Facilitated over 35 sessions. – In development: • “Webinar” sessions for smaller and more remote groups. • An advanced session for more experienced counselors that includes more examples and case studies. 5 Homeownership Preservation Office Strategies  Local Foreclosure Prevention Initiatives – Training for nonprofits. – Educational seminars for borrowers. – “Hotline” set up for at-risk borrowers. – Active initiatives include Chicago, Texas, Detroit, Atlanta, Ohio, Denver, Indiana, and New York City. 6 Homeownership Preservation Office Strategies  National Foreclosure Prevention Initiatives – Partnership with NeighborWorks, Homeownership Preservation Foundation and 15 national lender/servicers, Fannie Mae, Freddie Mac as well as the Housing Policy Council. – HPF-established nonprofit toll-free number for borrowers to call directly (“HOPE” hotline). – Contract with Ad Council for Public Awareness Campaign (call to action) targeting April 2007 for distribution. – Initial roll out in Ohio was April 2006. – Includes partnerships at the local level with nonprofit counseling agencies. 7 Homeownership Preservation Office Strategies  REO Gifting and Discounted Sale Program – Available to nonprofits whose mission is to provide affordable housing to LMI borrowers. – Nonprofit must demonstrate the financial ability to rehabilitate the property. 8 Ohio Foreclosure Summit Improving Communications and Getting Results Tuesday, November 14, 2006 Toledo, Ohio Background  Freddie Mac is dedicated to supporting its servicers’ efforts to keep borrowers in homes they can afford and want to keep – Freddie Mac’s Default Management Policies – Borrower Awareness of Workout Options Freddie Mac Best Practices  Servicer Compensation  Servicer Performance Profiles  Continue Loss Mitigation While in Foreclosure  Educate Consumers and Servicers  Advocate Housing Counseling Agencies  Warn About Predatory Loans/Foreclosure Scams  Use Pilot Programs to Test Borrower Contact Vehicles Servicer Best Practices  Collector Compensation  Collections/Loss Mitigation Cross Training  Toll-free number dedicated to intake from counseling agencies  Web sites where homeowners can apply for workout assistance on-line  Counseling Agency – Servicer Cross Training Freddie Mac Outreach  Borrower/Housing Counselor Workout Option Seminars  Media Coverage  Borrower Surveys  Industry Presentations  Training for Housing Counselors Resources  Foreclosure Avoidance Initiative Press Release http://www.freddiemac.com/news/archives/ afford_housing/2006/20060508_foreclosure.html  Borrower Avoiding Foreclosure Information http://www.freddiemac.com/corporate/buyown/english /owning/avoid_foreclosure.html  Roper Borrower Survey http://www.freddiemac.com/news/archives/corporate/ 2005/20051212_ropersurvey.html  CreditSmart® http://www.freddiemac.com/creditsmart/ Resources, cont’d.  Anti-predatory Lending http://www.dontborrowtrouble.com/  Responsible Servicing http://www.freddiemac.com/service/msp/ responsible_practices.html  Predatory Lending – The Ad Council http://www.adcouncil.org/default.aspx?id=25  HUD-approved Housing Counseling Agencies http://www.hud.gov/offices/hsg/sfh/hcc/hcs.cfm Resources, cont’d.  Affordable Best Practices for Housing Counselors http://www.freddiemac.com/learn/counselor/pdfs/ bp_hc.pdf  Alternatives to Foreclosure for Housing Counselors http://www.freddiemac.com/learn/edu/train/  The Learning Center for Counselors http://www.freddiemac.com/learn/counselor/ Questions and Contact Foreclosure Prevention Robin Stout Migala Delinquency Resolution Manager 703-918-8065 robin_stout_migala@FreddieMac.com Fraud Rob Hagberg Fraud Investigations Manager 703-903-3785 Robert_hagberg@freddiemac.com