--Company Implements Enhancements to Help Mortgage Servicers Modify Loans and Homeowners Avoid Foreclosure Under Home Affordable Modification ProgramRALEIGH, N.C., July 1, 2009 /PRNewswire-FirstCall via COMTEX/ -- Genworth Financial, Inc. (NYSE: GNW) said today that its U.S. mortgage insurance business was seeing positive results from the Obama Administration's Home Affordability Refinance Program (HARP).
Genworth implemented the HARP program days after it was announced on March 4th, and early indications are refinancing through the program puts the borrower in an improved financial position. After a HARP refinance, borrowers' interest rates, on average, go down 1.5 points, and borrowers' monthly mortgage payments go down an average of 13.5%.
While working closely with its lender customers to help implement HARP loan programs, Genworth also has supported the "New Servicer" program introduced by Fannie Mae and Freddie Mac since its inception. The program allows borrowers with mortgage insurance to switch from one servicer to another in support of HARP refinances.
In addition to its support for HARP, Genworth and the members of the Mortgage Insurance Companies of America (MICA) have worked closely with the U.S. Treasury, The Housing Policy Council, HopeNow, Servicers, Investors and consumer groups to help facilitate the Administration's Home Affordable Modification Program (HAMP). Among the initiatives put in place to help more borrowers avoid foreclosure are:
Delegation of modification approval authority for Fannie Mae and Freddie
Mac loans, as well as for non-GSE loans that pass the U.S.
Treasury's Net Present Value test.
Development of reporting requirements that align with those of the HAMP
Administrator for all loans with MI.
Direct homeowner outreach by Genworth representatives to maximize the
number of borrowers alerted to the potential HAMP opportunity.
Training by Genworth on HAMP and other workout options to help ensure
that lenders and servicers fully understand the program and other
available workout options.
Further information about Genworth programs in support of the Obama Administration's Making Home Affordable Program is available at www.mortgageinsurance.genworth.com.
About Genworth Financial
Genworth Financial, Inc. (NYSE: GNW) is a leading Fortune 500 global financial security company. Genworth has more than $100 billion in assets and employs approximately 6,000 people with a presence in more than 25 countries. Its products and services help meet the investment, protection, retirement and lifestyle needs of more than 15 million customers. Genworth operates through three segments: Retirement and Protection, U.S. Mortgage Insurance and International. Its products and services are offered through financial intermediaries, advisors, independent distributors and sales specialists. Genworth Financial, which traces its roots back to 1871, became a public company in 2004 and is headquartered in Richmond, Virginia. For more information, visit Genworth.com. From time to time Genworth releases important information via postings on its corporate website. Accordingly, investors and other interested parties are encouraged to enroll to receive automatic email alerts and Really Simple Syndication (RSS) feeds regarding new postings. Enrollment information is found under the "Investors" section of Genworth.com.
SOURCE Genworth Financial, Inc.