Foreclosures Remain Low at SECU because of Mortgage Assistance Program Efforts!

Leigh Brady, Senior Vice President
Education Services, SECU
919-807-8344, fax: 919-807-8348

Foreclosures Remain Low at SECU because of Mortgage Assistance Program Efforts!

Raleigh, NC, October 20/ Business Wire — Six one hundredths of one percent – .06% – it’s a low number which makes a big difference for State Employees’ Credit Union (SECU) members.  Why?  It’s the minimal increase the Credit Union has experienced in the number of foreclosures compared to total mortgage loans over the past five years.  Even as the economy in North Carolina and the US continues to suffer, SECU has managed to keep member foreclosures low due to its member-friendly Mortgage Assistance Program (MAP) – an initiative that has already helped over 7,000 North Carolina families remain in their homes!  And, just for the record, SECU originates and services all its mortgage loans, so the paperwork is accurate, the transfers of ownership are properly recorded, and the payment processing and recordkeeping is timely.  SECU members expect the Credit Union not only to always “Do the Right Thing,” they expect SECU to “Do the Thing Right” too!

Implemented in early 2009, MAP was created to assist members facing job loss or a reduction in work hours, providing foreclosure prevention options which include mortgage extensions, modifications, refinances and partial payment alternatives.  Budgeting, financial counseling and overall debt restructuring are also included as part of the comprehensive MAP initiative.  Proof of the program’s success was noted as early as year-end 2009, when just 179 SECU foreclosures were filed for the year out of 121,625 loans in the Credit Union mortgage portfolio.  The overall SECU foreclosure ratio is less than two tenths of 1% of mortgages outstanding.  The low foreclosure trend at SECU also continues in the current year, as staff members remain committed to helping members develop workout plans for any delinquent mortgages.

Mark Pearce, former Chief Deputy Commissioner of Banks in NC and recently announced Director of the FDIC’s newly-created Division of Depositor and Consumer Protection, spearheaded North Carolina’s home foreclosure prevention efforts that have helped more than 14,000 homeowners in the State since October 2008.  SECU was an early participant in the NC foreclosure prevention effort through its financial support of the Fight NC Foreclosure media campaign.  This support of the media campaign, combined with the Credit Union’s aggressive Mortgage Assistance Program initiative, garnered the following remarks from the current Director of the State Home Foreclosure Prevention Project in North Carolina, Will Corbett.  Mr. Corbett remarks, “SECU’s generous support has enabled us to inform homeowners of free resources to provide them with options to avoid foreclosure.”

Spencer Scarboro, Senior Vice President of Mortgage Lending, adds, “State Employees’ Credit Union always strives to put the interests of its members first.  MAP is an excellent example of putting this member-focused approach into practice.  Foreclosure is never a quick answer at our Credit Union.  “Bad things” do happen to good people!  That’s why SECU is committed to exhausting every possible option to keep members in their homes and foreclosures at a minimum.  It is the right thing to do for the member – prudent and compassionate – and the financially responsible course for their credit union cooperative.”

About SECU

SECU is a non-profit financial cooperative owned by its members.  SECU has been providing the employees of the State of North Carolina and their families with consumer financial services for more than 70 years.  Currently serving 1.6 million members, SECU provides services through 233 branch offices, over 1,000 ATMs, 24/7 call centers and a website—

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