By Courtney Sherwood – And nobody — not the loan servicers on the front lines, not the U.S. Treasury which designed this program, not the officials charged with keeping it on track — seems to have a solution.

Some question effectiveness

Moe Bedard, who runs, a California-based information clearing house and community forum, says mortgage modifications moved more quickly before the federal government intervened. He has worked with thousands of struggling borrowers since 2007.

The major loan servicers, which had been placing homeowners into their own modification plans, are now required to first consider all eligible mortgages for the federal Home Affordable Modification Program before they consider an in-house option.

The federal program’s rules have been updated an average of twice a month since it launched, leaving servicers scrambling to adjust to the latest guidelines.

Read more: Home loan limbo – Portland Business Journal

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