HOLC or Home Owners Loan Corporation was an agency formed as a viable alternative to foreclosure.

The Home Owners Loan Corporation essentially bought mortgages from failed banks during the Great Depression of the 1930s and modified the loan terms to much more reachable ones. They offered easier refinance options to homeowners than the remaining banks, afraid to take on mortgages. It extended the loan repayment period and divided the single lump sum payments into much smaller installments.

Result? The Home Owners Loan Corporation assisted more than one million American families in repaying their mortgage debt and to avoid foreclosure.

Contact your representatives and legislators and ask them about reviving the Home Owners Loan Corporation.

This entry was posted on Friday, March 20th, 2009 at 9:02 pm and is filed under The Economy. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.