ARI SHAPIRO, Host:
NPR's Tamara Keith reports.
TAMARA KEITH: Dan Frahm is a spokesman for Bank of America home loans.
DAN FRAHM: Without principal reduction, they may not be able to recover from that situation, and foreclosure would be their only option. So in this case, we think principal reduction applied here puts us down a path to help them keep their home.
KEITH: John Taylor, president of the National Community Reinvestment Coalition, says the bank has the right idea, but he'd like to see a whole lot more of it.
JOHN TAYLOR: It's a good thing for some of the military people who qualify, but there are a lot more others who would benefit from a principal write down. So hopefully, this is the beginning of moving in that direction.
KEITH: Tamara Keith, NPR News, Washington.
NPR transcripts are created on a rush deadline by Verb8tm, Inc., an NPR contractor, and produced using a proprietary transcription process developed with NPR. This text may not be in its final form and may be updated or revised in the future. Accuracy and availability may vary. The authoritative record of NPR’s programming is the audio record.