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Gov’t mortgage plan aids 7 percent of borrowers

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WASHINGTON (AP) — The Obama administration’s mortgage relief plan provided help to only 7 percent of borrowers who signed up last year, another black mark for the struggling program.

About 900,000 borrowers have enrolled in the $75 billion program since it launched in March, the Treasury Department says.

But as of last month, only about 66,500 homeowners had received permanent loan modifications, which reduce borrowers’ interest rates to as low as 2 percent for five years.

Another 46,000 have been approved and are awaiting a borrower’s signature. The Treasury Department has been stepping up pressure on the 102 mortgage companies that are participating in the program to do a better job.