Title: Subprime mess leaves homeowners behind on payments

" Program the sub prime messes left many homeowners behind on payments. And on the brink of losing everything one Massachusetts woman is a prime example of the troubled people are facing. -- against Scott Young -- Somerville with tonight's top story Scott."

" Well Christian we -- a very interesting woman tonight who is in danger of losing her home I should point out. That she didn't have -- Fannie or Freddie mortgage agreement she had a different bank nonetheless she wanted to a system that for her simply didn't work. Jacobs considers herself a productive middle class -- the good job universe. An elderly mother the divorce he owns a large three family home in Somerville Massachusetts. At least right now sort of what's the worst case thing. -- Give up all her tenants are happy and pay their rent. But Julius fallen into one of the many cracks forming across the country in the mortgage crisis. She's behind daughter mortgage because the adjustable rate she was told would remain low did not. She started with a adjustable rate of five point 5% and a payment of 3400 dollars a month. At that time she qualified for a fixed rate. But wanted to save money -- rate went up to eight point 7% eating increased her monthly payment of 5700 dollars. That's two when he 200 more than she had been paying. She applied for that fixed rate she could've gotten in the beginning but was turned down even though her credit rating had not changed."

" It was a scam you know that's how I see it and -- People have reasons. To -- and these adjustable rate mortgages whatever was going on their lifestyle whether -- Watson Jaaber. You know can't keep up the bills college tuition."

" She's not in foreclosure yet but her situation is not unusual. The state has seen more than 10000 foreclosures this year summer aware Judy lives has seen 46 foreclosures so far this year up a whopping 70% over the same period last year religious leaders and community activists from the -- met with and asked congressman Barney Frank. As well as the Obama transition team to consider the kind of plan put forth by the FDIC. When he took over indymac in California."

" They sent out letters saying we're ready to renegotiate your mortgage contact us with your income and we'll move on and they've done 5000. -- 5000 homeowners considered the gold standard the plan allows borrowers to reduce their payments no more than 31% of their monthly income. Proponents estimate the plan would cost 44 billion and save millions of homes Paulson has already said no but Obama is list. He's -- spoken -- generally that it felt not enough has been. Done so for now people like Judy Jacobs who has a job with good security. -- stuff. There's a lot of other fellows. Company said well not really considering. The middle class."

" No I should also tell you that proponents of that 24 billion dollar federal plan say it would help much more. Then homeowners who are close to being foreclosed on because -- a homeowner is foreclosed on. Other homes in that neighborhood. Are devalued by. -- a lot of people Scott reporting summer well thank you."