- Associated Press - Wednesday, August 11, 2010

WASHINGTON (AP) — The Obama administration is providing $3 billion to unemployed homeowners facing foreclosure in the nation’s toughest job markets.

The Treasury Department says it will send $2 billion to 17 states that have unemployment rates higher than the national average for a year. They will use the money for programs to aid unemployed homeowners. Some of those states already have designed such programs.

Another $1 billion will go to a new program being run by the Department of Housing and Urban Development to provide homeowners with emergency zero-interest-rate loans of up to $50,000 for up to two years.

The administration was required to launch the programs by the financial regulatory bill signed by President Obama last month.

 

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