Citigroup (C) Suspends Foreclosures In Gulf Region
Down)
Citigroup Inc.'s (NYSE: C) home mortgage division announced Wednesday that it is suspending the loan foreclosures in areas of the Gulf of Mexico for a period of three months.
The homeowners in areas around the Gulf coast have been severely impacted by the oil that is spilling from the BP PLC (NYSE: BP) owned deep water well that was damaged on April 20. Those facing foreclosure from loans owned by Citigroup will not be forced from their homes during the period of suspension.
"By putting CitiMortgage foreclosures on hold, we aim to ease the burden on residents of the Gulf States so they can concentrate on the most urgent matters facing them," Vikram Pandit, Chief Executive Officer of Citigroup said. “In the midst of this crisis, we will continue to explore ways to help people avoid foreclosure so they and their families can remain in their homes and have one less thing to worry about."
The borrowers in the region with mortgage loans owned by CitiMortgage who meet certain criteria will not face foreclosure penalties from in the three month period from June 17 and September 17.
“We hope that with this suspension we can help ease some of the financial stress for our customers in the affected Gulf region,” said Sanjiv Das, President and Chief Executive Officer of CitiMortgage. “Many of them are facing financial hardship as a result of the spill, and we want to help support them during this very unsettling time,” Mr. Das added.
The company said that CitiMortgage borrowers occupying homes in zip codes within 25 miles of the affected coastal areas will be eligible for the period of leniency.
Shares of Citigroup are down 2 cents in aftermarket movement Wednesday to $3.97.
The homeowners in areas around the Gulf coast have been severely impacted by the oil that is spilling from the BP PLC (NYSE: BP) owned deep water well that was damaged on April 20. Those facing foreclosure from loans owned by Citigroup will not be forced from their homes during the period of suspension.
"By putting CitiMortgage foreclosures on hold, we aim to ease the burden on residents of the Gulf States so they can concentrate on the most urgent matters facing them," Vikram Pandit, Chief Executive Officer of Citigroup said. “In the midst of this crisis, we will continue to explore ways to help people avoid foreclosure so they and their families can remain in their homes and have one less thing to worry about."
The borrowers in the region with mortgage loans owned by CitiMortgage who meet certain criteria will not face foreclosure penalties from in the three month period from June 17 and September 17.
“We hope that with this suspension we can help ease some of the financial stress for our customers in the affected Gulf region,” said Sanjiv Das, President and Chief Executive Officer of CitiMortgage. “Many of them are facing financial hardship as a result of the spill, and we want to help support them during this very unsettling time,” Mr. Das added.
The company said that CitiMortgage borrowers occupying homes in zip codes within 25 miles of the affected coastal areas will be eligible for the period of leniency.
Shares of Citigroup are down 2 cents in aftermarket movement Wednesday to $3.97.
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