Hope Now Expands Membership and Services.

Washington -- Hope Now, the national alliance created by the mortgage industry, investors and nonprofits to maximize outreach assistance to foreclosure-risk homeowners, continues to expand membership, which currently includes over 20 servicers who represent 90% of the subprime market.

Among the new additions are Carrington Mortgage Services, IndyMac Bank, Litton Loan Servicing, Merrill Lynch: Home Loan Services/Wilshire, Morgan Stanley/Saxon and Ocwen Loan Servicing.

"We want to have a truly broad and effective alliance," said Hope Now executive director Faith Schwartz.

One of the most effective ways the alliance has assisted borrowers is through letters and its hotline.

In January, the nation's largest mortgage servicers sent at-risk mortgage borrowers the third round of Hope Now letters, which "encourage homeowners who may be experiencing difficulty paying their mortgage to call the Homeowner's HOPE Hotline for immediate help. These letters encourage homeowners to call their mortgage company, or the hotline to discuss their workout options.

"We have already seen from the preceding two rounds of letters that this is working," Ms. Schwartz said. "This is a top priority for all involved in Hope Now."

In 2007, Hope Now sent a total of about 500,000 letters. In November alone, approximately 233,000 letters were sent to at-risk homeowners. Back in November over 16% of these borrowers - and far more than the normal 2%-3% response rate - responded by contacting their servicer. The January mailing is the third round of letters. A total of 250,000 letters were mailed out in December.