Kucinich Blisters JP Morgan Chase’s Home Finance CEO
WASHINGTON - Congressman Dennis Kucinich (D-OH) today continued his relentless efforts on behalf of Cleveland area homeowners during a hearing examining the efficacy of the Administration's centerpiece program to assist borrowers seeking modifications of their mortgages. The hearing included witnesses from the largest mortgage lenders and servicers, and Kucinich identified Chase Home Finance, Inc. as being decried by constituents as particularly difficult to work with. He relayed his concerns directly to the Chase CEO that Chase "is especially slow to process paperwork", "denies loan modifications without supplying a reason" and "leaves borrowers facing foreclosures in limbo."
At the Oversight and Government Reform hearing, Kucinich questioned the sincerity of Chase Home Finance, Inc.'s efforts to work with borrowers to reduce their monthly payments and help them stay in their homes. He asked, "Why are you denying loan modifications to my constituents in light of the fact that we have a federal program that pays you to modify the terms of the mortgages and compensates you for many of your costs?"
"If you know there is demand and you are getting incentives from the taxpayers, I wonder how hard you are really trying. ... Your explanation doesn't cut it," added Kucinich.
Following this questioning, Kucinich secured a promise from David Lowman, Chase Home Finance, Inc. CEO, to work with Congressman Kucinich to address the concerns of homeowners in Northeast Ohio. If you are facing a problem with a home foreclosure modification program, please call our office at (216) 228-8850.
Kucinich has been at the forefront of addressing issues related to the foreclosure crisis, holding ten Congressional hearings on the subject, including two field hearings in Ohio. Following Treasury's initial announcement of the Hardest Hit Fund--which excluded Ohio--Kucinich rallied the Ohio delegation and succeeded in securing $172 million for Ohio in a second round of funding. Further, Kucinich brought Assistant Secretary for Financial Stability, Herb Allison, to Cleveland to witness the foreclosure crisis and to hear from statewide housing experts.
He is currently working with U.S. Department of Housing and Urban Development (HUD) to reinstate a program that would allow the HUD to sell low-value, HUD-owned homes (less than $20,000) to the City of Cleveland at a reduced rate and expand it to the Cuyahoga County Land Reutilization Corporation (a.k.a. "land bank") to combat blight in our community.