GMAC RFC Rolls Out New Loss Mitigation Technique Allowing Loan Modifications to Cover Delinquencies
April 11, 2003
GMAC Residential Funding Corp. last month introduced a new loss mitigation technique that will be used for certain delinquent loans serviced by its Homecomings Financial servicing unit. According to a market comment released by Fitch Ratings this week, RFC’s new servicing tool allows for the capitalization of unpaid interest and other delinquent amounts as an alternative to foreclosure. Although the tool