FDIC to modify troubled IndyMac mortgages : US Business

WASHINGTON (Reuters) - Thousands of homeowners with distressed mortgage loans linked to failed lender IndyMac may soon be able to avoid foreclosure under a program announced on Wednesday by U.S. banking regulators.

The Federal Deposit Insurance Corp, which seized Pasadena, California-based IndyMac on July 11, said 4,000 mortgage modification proposals were going out this week and it hoped to send out 25,000 modification notices over the next few weeks.

"Our goal is to get the greatest recovery possible on loans in default or in danger of default, while helping troubled borrowers remain in their homes," FDIC Chairman Sheila Bair said in a statement.

(Reporting by Karey Wutkowski; Editing by Tim Dobbyn)

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