Help hard to get for troubled home owners

DETROIT (Reuters) - As the housing crisis deepens, major lenders say they will help borrowers avoid foreclosure, but nonprofit groups and others say their actions are not living up to their promises."Some lenders are willing and able to work out loan modifications," said Juanita Bryant, a loss mitigation officer at Michigan Neighborhood Partnership, which covers one of the worst-hit states in the country. "Those lenders are in the minority."Among the people Bryant's group is trying to help is Will Clark, 53, who bought his home in Detroit in 1996. After being diagnosed with diabetes in 2006, and with his savings wiped out by medical bills, he contacted his lender."I wanted to work something out because I couldn't afford the house anymore," Clark said. His lender, JPMorgan Chase & Co unit Chase Home Lending, told him he could try a short sale -- sell the house for less than the outstanding debt and the bank would forgive the rest. Or he could hand over his property to the bank in a process known as deed in lieu of foreclosure. Both would harm his credit rating, but not as badly as foreclosure. Clark found a buyer who offered him $70,000 for his house. But, according to both Clark and MNP, Chase ignored the offer until after the home went into foreclosure. Michigan allows borrowers up to six months to try to regain a foreclosed property, and Chase then said it would accept $80,000. Clark's buyer agreed, but wanted Chase to put it in writing. MNP said the bank refused, and the buyer gave up. SOURCE OF THIS STORY