As part of  the Obama administation's $75 billion foreclosure relief effort, the treasury department is planning to rate mortage companies. The July report will include measurements on how each company is handling borrowers. More than 100 companies participate in the program, which is designed to help up to 4 million borrowers avoid foreclosure, however many companies are not responding to the needs of responsible and increasingly desperate homeowners.  

The program is designed to lower borrowers' monthly payments by reducing mortgage rates, and extending loan terms to as long as 40 years. Mortgage companies get taxpayer incentives to reduce borrowers' monthly payments. Homeowners have to complete at least three months of payments to qualify for permanent loan modifications.

If mortgage companies dont comply with the program's rules incentives will be withheld and the government will demand repayment.

Around 231,000 homeowners have completed this process so far, about 20 percent of the 1.2 million borrowers who started the program over the past year and the number of dropouts is rising.