It Is A Welfare Measure: Harp 2.0 Loan?

When the recession stuck there was no one left untouched. The big guns in the finance sector suffered huge losses and the Government had to come out with relief packages. But for some time the average man on monthly salary who had taken home loans found themselves cornered on losing the jobs and unable to make the mortgage repayment. Only after the situation eased somewhat, could the Federal Government did come out with HARP in March 2009. As a measure of improvement harp 2.0 loan was envisaged in late 2011 and is in the process of implementation.




Even the basic eligibility requirements of harp 2 are formidable lot and those in dire need of refinancing to save their homes may not meet them. There are more requirements which the ordinary person cannot understand and will require help from professionals who specialize on the subject with considerable experience in getting the applications processed.

It is hoped that the predicament of many of the home owners who may not qualify to apply for harp 2.0 loan will receive the attention of Federal Government and rectify the situation. Even in the present state the scheme is expected to cover mortgages totaling about 1000 Billion dollars. Unfortunately people home owners who are facing foreclosure proceedings have not been covered in any of the clauses in the new scheme.

It is claimed that neither HARP nor harp 2 was enacted for the benefit of home owners facing foreclosures. However, such people also need help and it is genuine concern of all concerned that future modifications will include them also, making the scheme all embracing with the benefits reaching every sufferer who has been made to pay a heavy price for no fault of his. A Government concerned with the welfare of people can be expected to take into account all the pitfalls in the present scheme and correct them.