Lenders are being more careful about how they issue lines of credit and also how they call the loan.  Lenders are also being careful about how they call in the loan fearing that by doing so they will drive borrowers into foreclosure, which can be very expensive.

The lenders are maintaining the lien on the property hoping that when the property is sold that they might receive some of the money.  In the meantime, lenders are accepting fewer home-equity loans and lines of credit and are lowering the credit limit on risky borrowers.  More...