Project Lifeline

Project Lifeline was announced On February 12, 2008 by the Secretary of the Treasury Henry Paulson. It is a new initiative by six of the major banks to help homeowners on the verge of foreclosure.

The gist of the plan is that these six banks would contact all homeowners who are 90 days late or more. The banks would offer these homeowners the option of postponing the foreclosure an additional 30 days. They would then use the 30 days to work out a plan with the homeowner to make the mortgage more affordable.

This is good because if nothing else, it gives you an additional 30 days to work on a plan to look for more solutions for avoiding the foreclosure.

The six lenders who are part of the program are:

1. Bank of America
2. Citigroup
3. Countrywide Finance
4. JP Morgan Chase
5. Washington Mutual
6. Wells Fargo