WASHINGTON, Feb. 12 (Xinhua) -- The U.S. government and six major mortgage lenders Tuesday offered to throw a lifeline to homeowners who are about to lose their property in a further attempt by the ruling administration to ease the subprime crisis.

    In an initiative called Project Lifeline, people who have fallen behind with their mortgage payments can qualify for a variety of loans, rather than simply subprime mortgages.

    The scheme comes in addition to December's program by the Bush administration and lending industry to freeze interest rates at current levels on subprime loans.

    "This is an important new initiative, targeted to reach not only subprime borrowers, but all 90-day delinquent homeowners nationwide with a step-by-step approach to find individual solutions to individual problems," said Treasury Secretary Henry Paulson.

    Under the new program, six of the nation's largest financial institutions said they will begin contacting homeowners who are 90or more days overdue on their monthly mortgage payments. The homeowners will be given the opportunity to put the foreclosure process on pause for 30 days while the lenders look for a way to make the mortgage more affordable.

    The program is not a solution to the housing crisis but is considered a "pause" in the foreclosure process, giving homeowners an extra 30 days to work out a payment or modification program.

    Some 1.3 million home loans are either seriously delinquent, meaning 90 days or more, or already in foreclosure, according to the Mortgage Bankers Association.

    "No program can bring every struggling borrower into the counseling and evaluation process, and we cannot help those who choose not to honor their obligations," said Paulson. "None of these efforts are a silver bullet that will undo the excesses of the past years."

    Speaking on the overall health of the economy, Paulson insisted that he sees the economy growing, but at a slower pace in the coming quarters.

    The economy remains "fundamentally diverse and resilient," he said.

    Bank of America Corp., Citigroup Inc., Countrywide Financial Corp., JPMorgan Chase & Co., Washington Mutual Inc. and Wells Fargo & Co., who represent 50 percent of the mortgage market in the United States, are participating in the program. The same banks are part of the administration's Hope Now Alliance.

    The White House is also optimistic about the program.

    "No single program will solve all the problems in the housing market, but the president believes these efforts will help us get through this rough patch in our economy," said spokeswoman Dana Perino.

    Meanwhile, Housing and Urban Development Secretary Alphonso Jackson said Project Lifeline "is a valuable response ... for people on the brink of the final steps in foreclosure."

    Yet, critics of the administration would like to see still more action since foreclosure rates continue to rise.

    "Homeowners at risk of foreclosure are floating 50 feet from shore while Project Lifeline throws them a 30-foot rope," said Senator Dick Durbin.

    Senator Chuck Schumer praised the new program but added that the problem was that the administration's effort does not address the fact that more than 30 percent of homeowners who bought in the last two years owe more on their mortgages than their houses are currently worth.

    "Congress is working to give bankruptcy judges the ability to trim borrower debt, but that same option should be available to homeowners before they have to declare bankruptcy. Americans shouldn't have to go to court to get their loan fixed," he said.