Federal mortgage plan draws complaints

WASHINGTON (AP) - A House panel is holding a hearing on private sector help for homeowners Wednesday.
  
The hearing comes as the government's own plan is coming under fire. It calls for borrowers to get reduced interest rates or longer loan terms.

But that plan only applies to loans either owned or guaranteed by Fannie Mae and Freddie Mac -- which make up only about 20 percent of delinquent loans.

The chairman of the FDIC says that falls short of the big changes needed to help the millions of homeowners with distressed mortgages.

Joint Economic Committee chairman Senator Charles Schumer says the real problem is loans are being divided up and split among various investors, which makes modifying them tough. He says the new program will only scratch the surface of the mortgage crisis.