The new program will offer an interest rate reduction of 2.5% on existing mortgages for a period of two years. Surviving spouses of military personnel who died while on active duty may also be eligible for the program. The offer is part of the Citi Homeowner Assistance Program, which features a number of initiatives to help borrowers in hardship. Borrowers do not have to be delinquent or facing imminent default to participate in the program, and there are no fees to participate.
"At CitiMortgage, we are committed to helping serve the needs of current and former members of the armed forces," said Sanjiv Das, CEO of CitiMortgage. "We recognize that wounded or disabled veterans may be having financial difficulties in this challenging economic environment, and they warrant our heightened consideration. If they do not qualify for other assistance programs that are available, we are offering this program as another potential form of support."
Iraq and Afghanistan Veterans of America (IAVA) Founder and Executive Director, Paul Rieckhoff, said, "IAVA applauds Citi for its new Disabled Veterans Mortgage Relief Program. This program is a solid step towards helping our wounded warriors and their families who have sacrificed so much for our country. Foreclosure and unemployment have hit military families particularly hard in this economic crisis. IAVA and our 200,000 members nationwide welcome this initiative to support our community and we hope to see Citi's continued leadership in this space."
About the Citi Disabled Veterans Mortgage Relief Program
Homeowners are first evaluated for eligibility for a permanent mortgage modification. Those ineligible for a permanent loan modification may then be considered for the Disabled Veterans Mortgage Relief Program. CitiMortgage will bring qualifying clients' loans current if they are delinquent by waiving outstanding late fees and forbearing all past due amounts and other uncollected fees.
CitiMortgage is including a notice about the program in its May 2011 mortgage statements. The company is also targeting an email campaign about the new program to its client base. Interested veterans should contact CitiMortgage directly for full details by calling (800) 283-7918.
Citi has a long-standing commitment to complying with the Service-members Civil Relief Act and the protections available to military personnel.
CitiMortgage Series of Initiatives to Help Homeowners
Below are some of the programs Citi has implemented since the economic crisis began in order to assist at-risk borrowers in finding loss mitigation solutions tailored to meet their needs. Since January 2007, Citi has helped more than 1.1 million homeowners in their efforts to avoid potential foreclosure on mortgages totaling more than $135 billion.
To see the most recent comprehensive report about Citi's foreclosure prevention efforts, please go to: Citi U.S. Consumer Mortgage Lending Data and Servicing Foreclosure Prevention Efforts, Fourth Quarter 2010.
For further information please call 1-800-283-7918 visit www.citimortgage.com.
About Citi - Citi, the leading global financial services company, has approximately 200 million customer accounts and does business in more than 160 countries and jurisdictions. Through Citicorp and Citi Holdings, Citi provides consumers, corporations, governments and institutions with a broad range of financial products and services, including consumer banking and credit, corporate and investment banking, securities brokerage, transaction services, and wealth management. Additional information may be found at www.citigroup.com