Citigroup (NYSE: C) Joins Bank Of America (NYSE: BAC), JP Morgan (NYSE: JPM), Wells Fargo (NYSE: WFC) In Second Loan Relief Program

Citigroup Inc. (NYSE: C) announced Thursday that it is joining the second-lien program, which is part of the government’s Home Affordable Mortgage Program, in an effort to keep more borrowers in their homes.

The announcement by Citigroup is the latest of big bank names as Bank of America (NYSE: BAC), JP Morgan Chase (NYSE: JPM) and Well Fargo (NYSE: WFC) have all previously said they would join the program.

The second-lien program, known as 2MP, focuses exclusively on borrowers’ second loan, generally referred to as “piggy back” loans.  These loans were often taken out by borrowers to use as down payments so they would essentially get into a home with no money down.

However, the loans have placed a bit of a drag on modification efforts on primary loans since lenders who hold the second mortgages were given veto rights to modifications on a borrower’s primary loan.   Now that second loans will be eligible for modification the hope is that these lenders will be less likely to veto changes to primary loans.

Citigroup has generally been early to join the government’s modification programs, being one of the first big banks to sign up for the Home Affordable Mortgage Program when it first launched.

“It is our priority and commitment at Citi to help homeowners in need,” said Vikram Pandit, Chief Executive Officer of Citigroup. “The 2MP program will further improve the affordability on mortgages and help families facing financial distress stay in their homes.”

Citigroup has helped more than 825,000 families avoid foreclosure since 2007, according to the bank’s website.