FDIC to Restructure IndyMac Loans

IndyMac Federal Bank will implement a program to help delinquent borrowers modify their mortgages, the Federal Deposit Insurance Corp. said Wednesday.

The program will help the Pasadena, Calif.-based mortgage lender and thrift, seized by federal regulators in July after its capital levels became inadequate, turn distressed mortgages into performing loans in hopes to avoid foreclosures, according to the FDIC's Web site.

The modification plan, which will initially help more than 4,000 borrowers, will also maximize value for the FDIC and improve returns for IndyMac's creditors and investors in securitized mortgages, the FDIC said. ...