The HAMP program is very good for what it was designed to do. But it is the servicers implementation that is the problem.

Desperate Home Owners Petition Congress For Help
http://www.petition2congress.com/2/2564/

Many servicers are finding any excuse they can to foreclose instead of modify because the servicers make more money by foreclosing. It is the investor (often Fannie or Freddie i.e. taxpayers) that lose. The servicers get fees for foreclosing, managing the property owned and reselling it .

Many lawyers, consumer groups and recently a Congressional Oversight Committee has pointed out the servicer problems.

“We believe all servicers must do more to reach struggling homeowners faster,” Treasury spokeswoman Meg Reilly said.”

REACHING homeowners is NOT THE ISSUE. It is easy to get on trials but they often are required for 6 months instead of 3 per the HAMP directives. The issue is being able to get final modifications as often the directives are not followed and additional requirements are being imposed by servicers and lenders.

Most servicers, and Fannie and Freddie as investors are backlogged for many months since there is to much “reaching” going on to get more in the pipeline they can't process. Its getting the modification approved that is the huge problem.

It is common to have to resend the same documents many times as the servicers either intentionally lose them or are just too overwhelmed. Than they claim they aren't getting the documents that have been mailed or faxed repeatedly.

If you are denied, often for reasons not part of the requirements, they can foreclose and sell without notice immediately. That power to sell is even in the Trial Agreement Document.