The economy today seems to be a subject wrought with much speculation. Where we're headed is anyone's guess. Every other day we hear that "we've seen the worst of it" or "we've hit bottom." The economists don't agree on much other than that we haven't hit bottom yet, and that it could be another year or two before we do.

Government has done little to help the "little guy.' Corporate giants such as banks, insurance companies, and auto makers have all received their bailouts. In some cases more than once. A token tax break does little to help the guy struggling to pay his mortgage, car payment, credit cards, utilities, and then put food on the table for his family.

Our government pretends to help by initiating loan modification programs. It's just too bad that most of these programs are buried with more applications than they can adequately address. They just aren't adequately staffed to handle the demand, and unfortunately most aren't properly educated to deal with all the mortgage related issues that come up in the process. In most cases, they're just gathering financial information and forwarding it to the mortgage company with a request for a loan modification.

This process is way too docile and that just doesn't work when working with a bank. It's utterly pointless. Just do a search on Google to see how ineffective and disappointing these solutions have been in getting results and financial relief for homeowners.

The other alternative presented to a distressed homeowner is to pay a third party company to help them approach their mortgage company to complete a loan mod. This is a better option then entrusting their home with a government employee that until a couple of months ago was working at the Department of Parks and Recreation, but usually considerably more expensive. These programs range in cost from $2000 to $3000, demand that they be paid in full up front, and in many cases come with no guarantee of success.

Mortgage companies would urge their borrowers to do none of the above, and simply allow them to do the loan modification. This is the same company that put their borrower in an untenable loan to begin with, and now that the borrower has fallen behind—and now that the mortgage company is trying to collect on a debt—would have the borrower believe that they will make everything alright because they have their borrower's best interest at heart.

The good news is that there is a better alternative. You can work with a nationwide credit organization that provides loan modifications for less than $200, and provides a success guarantee. They can provide a total solution for their members that include helping them re-build their credit afterward the loan mod. Bottom-line, do your research and find someone that guarantees their results without charging an 'arm and a leg' -they're out there.