By Vicki Needham - 09/29/11 09:08 PM EDT
FHFA’s decision comes in response to an Aug. 1 letter Cummings and 27 other lawmakers sent to FHFA Acting Director Edward DeMarco proposing the yearlong break from payments.
In a Sept. 27 response, DeMarco wrote: “We all share the goal of finding a path forward that leads to jobs for all those seeking employment and stability in our housing system.
“I have concluded that a general program of six months forbearance is an appropriate balance.”
Cummings is scheduled to meet next week with DeMarco to continue discussing this issue, as well as FHFA’s efforts to help homeowners who are current with their loan payments refinance under historically low interest rates.