Kudo’s to Treasury Secretary Henry Paulson for negotiating an interest rate freeze on certain subprime mortgages. The rate freeze is for five years and was announced by President Bush earlier today. Here is who it applies to (from MSNBC):
This offer would apply only to people living in their homes and who have not missed any payments at the lower rate. It also only would apply to loans taken out between 2005 and this past July 30 and scheduled to rise to higher rates in 2008 and 2009.
If you think you qualify and want to take advantage of it, then you must be proactive:
Also, the aid will only come to those who ask for it, he said. Thousands of borrowers who are falling behind on their payments have been sent letters about the options, and Bush also urged people to call a new hot line: 1-888-995-HOPE.
Also don’t forget about the FHASecure program announced earlier this year. If the rate freeze won’t help you then, the FHA program might.