Foreclosures rise despite government "aid"?

Are the Federal programs intended to abate foreclosures working?  Reuters says no!

• Taxpayers pay $700 Billion in Bank Bailouts.  Banks making massive profits and obscene bonuses while they owe taxpayers for their very existence.  So far, it's estimated that taxpayers have lost $117 billion on the program.

 

• Moratoriums on Foreclosures didn't do a thing except ADD INTEREST to the banks final forclosure judgement against the homeowner!

 

• Loan Modification efforts didn't work. In fact, the banks add late fees and interest to the new loan, raising the borrower's principal balance.   I personally "benefited" on a loan modification.  Now, instead of owing $450K on my home, I owe $530K and my home is now upside down.  BOF was kind enough to remove late fees to compensate me for applying $21,000 of my payments to forced flood insurance (which wasn't required) through an insurance company that they owned.  This modification "help" cost me, the homeowern $80K!

 

• Relocation assistance increased from $1500 to $3000 didn't work!  Basically, you get $3000, a 1099 to get taxed on the foreclosure, your credit ruined, no money to buy a new home and the BANK GETS YOUR HOME.

 

• "Delaying" a "portion" of the mortgage payment for unemployed homeowner isn't going to help. So you are unemployed, bank will lower your payment to 31% of your income which is basically unemployment insurance.  They do this for 3-6 months only and ADD THE PAYMENT REDUCTIONS TO YOUR PRINCIPAL!

 

• Now homeowner will get a chance to cut their debt by FHA GIVING THE BANKS MONEY to offset a 2.25% reduction on loans to qualified homeowners and then the FHA will refinance the 97.75% balance (adding closing costs, of course to the reduced loan which will probably make it higher than to start)

It has pretty much been conceded that the deregulation of the banking industry allowed banks to engage in predatory and irresponsible lending practices which has created a financial crisis for millions of American homeowners.

On April 14, 2010, as broke homeowner's are in fear of filing income taxes and worrying how to get the money to pay them, JP Morgan Chase posted a net income of $3.3 billion, just for the first three months of this year.

I wonder why the government "aid" isn't stopping homeowner's from losing their homes.