WASHINGTON - (06/01/06) -- Department of Housing and UrbanDevelopment Secretary Alphonso Jackson traveled to New Orleans'French Quarter this week to announce a bailout plan that will allowthe state of Louisiana to use Community Development Block Grantfunds to provide up to $150,000 to uninsured homeowners to repairhomes badly damaged or destroyed by hurricanes Katrina and Rita.The 'Road Home Program' will be as much of a bailout for creditunions, banks and other mortgage lenders, which hold the mortgageson all of the damaged properties. So far, Congress has appropriated$4.2 billion of the estimated $8.8 billion required to fund theprogram, meaning lawmakers will be asked as part of an emergencyfunding bill to provide the remaining $4.6 billion needed. Underthe program, the funds, minus insurance settlements and othergrants, will go to homeowners whose primary residences weredestroyed or severally damaged, or to relocate out of state. Theborrower can sell the home to the state for 60% of its pre-stormvalue, minus insurance proceeds and other federal disaster repairfunds. If the borrower decides to sell, the lender may be asked towrite-off a portion of the debt. To participate in the program,homeowners must have at least $5,300 of uninsured damages fromhurricanes Katrina or Rita.
-
House Republicans overcame internal divisions to narrowly pass President Trump's tax and spending package Thursday afternoon. The measure would cut the Consumer Financial Protection Bureau's funding level, among other provisions.
9h ago -
A new partnership with Google Cloud will let the Spanish bank offer Gemini to all staff after a successful ChatGPT deployment.
9h ago -
Atlanta-based CoastalSouth's initial public offering prices at $21.50 a share; Valley National Bancorp announces Lyndsey Sloan will succeed Gary Michael as general counsel; Webster Financial Corporation taps a new chief risk officer and appoints a new board member; and more in this week's banking news roundup.
10h ago -
Capital One closed the deal to buy the credit card provider in May and as part of the review process, decided to exit its home equity lending business.
10h ago -
In a rare move for a credit union, the Seattle institution has snapped up the 13-member team that created EarnUp's AI Advisor product.
10h ago -
The Federal Reserve has banned a Wyoming bank employee from the banking industry for embezzling more than $30,000 from a charity.
July 3