The $2 Trillion Stimulus Will Slam the Mortgage Industry–Unless the Fed Comes to the Rescue
CNN Business, Mar. 26, 2020–Matt Egan
The problem is that mortgage servicers, even after granting homeowners forbearance, are still on the hook with investors to continue paying principal and interest on the mortgages. They also must make payments to mortgage insurers, property insurers and local tax authorities. The Mortgage Bankers Association, the industry’s lobby group, said it has held talks with the Fed and the Treasury Department for the past few weeks on this request for help.