Citibank Will Bail You Out

As part of its Homeowner Unemployment Assist program, Citigoup said it would lower mortgage payments in some cases to an average of $500 a month for three months, according to the Associated Press. Via the AP: "Unemployed homeowners who may qualify for assistance from Citigroup under the Homeowner Unemployment Assist program include those that are 60 days or more past due on their mortgages or in foreclosure and can pay the reduced amount. Customers must also have a first mortgage loan that is owned and serviced by CitiMortgage Inc. and conforms to government sponsored enterprise limits. The house must also be the customer's primary residence, with homeowners meeting all insurer and guaranty requirements." The newswire service also points out the great lengths the government has gone to bail out the bank, while here's the view from The Swamp, the Chicago Tribune's blog politics blog: "Citigroup has done plenty to put itself in Washington's political doghouse -- from its executives' failure to properly manage the risks the company took on to their decision to purchase a new corporate jet after the company had received billions of dollars in taxpayer assistance. But its announcement today that will give some jobless homeowners whose mortgages are in arrears a big break, will likely go over well on Capitol Hill." Here's the press release. [AP/Swamp]