Mortgage help for homeowners

The Federal Deposit Insurance Corp. says a new plan could help 1.5 million American households avoid foreclosure.

The agency released details Friday of a revised plan to have the government spend $24.4 billion to guarantee 2.2 million modified loans through the end of next year.

The FDIC says that the government’s backing will make the lending industry more willing to modify loans because taxpayers will absorb half of the losses if the borrower defaults again.

Even if a third of those borrowers default again, 1.5 million homes will still be saved.