J.P. Morgan Chase & Co. plans to help as many as 400,000 borrowers by modifying the terms of $70 billion in Option ARMS. 70 billion divided by 400,000 mortgages is $175,000 per mortgage. That’s a lot of help!

While this move by the bank may keep a large number of these borrowers in their homes, the bank is not doing this for charitable reasons. In fact, that JPMorgan Chase is making this move seems to indicate the bank has a negative view of our economic future. If the future were bright, I don’t believe the bank would be so willing to provide assistance to borrowers. No bank, no matter how large, wishes to own 400,000 homes.

Learn more in The Wall Street Journal article, “Massive Effort to Save Mortgages“.