March 3, 2009

Citi extends break to unemployed borrowers

U.S. lender CitiMortgage said it would give a break to recently unemployed mortgage holders to keep them in their homes.

The company, which is the lending division for CitiGroup, said it would lower payments to as little as $500 a month for three months for homeowners receiving state unemployment benefits, CNN reported Tuesday.

We're planning to help recently unemployed homeowners by giving them the ability to pay as little as $500 a month on their mortgage, which is effectively less than the price of an average one-bedroom rental nationally, said Sanjiv Das, CitiMortgage's president and chief executive officer.

This is intended to keep the neediest borrowers in their homes, Das said.

We hope to help thousands of customers with this.