FHA to help homeowners before they get in trouble

The Federal Housing Administration has announced a new plan that may allow borrowers to seek relief even if they haven't missed a mortgage payment yet.

There are three criteria under which you can request assistance. The first is job loss. The second is a dramatic reduction in income, while the third is defined as a "life change," however amorphous that may be.

Remember, you can only petition for relief from the FHA if you have an FHA loan. You may receive either a reduced interest rate or a temporary moratorium on payments.

Clark wants to do a preemptive strike against the Clark Stinks posts that are likely to come, complaining that this is just another way to reward those who can't meet obligations. This is not a charity effort. The FHA is doing this because it's cheaper to taxpayers to keep a borrower in their home than to go through the foreclosure process.

The consumer champ recently went on a foreclosure tour of abandoned homes that were all boarded up. It's shocking what happens to a really good street where most homeowners are keeping up their properties when you get a few foreclosures next to you.

Visit HUD.gov for more information about this FHA program.