Can an individual use charity to pay off their mortgage?

My intial question was grammatically incorrect and poorlly stated. I want to establish a charity which pays off other peoples' mortgages. Basically I collect money and give it to the bank then the bank hands the note over to the individual. They own there house free and clear. I was thinking a website where individuals could post their own story and "angels" could donate part or all of the funds needed. Would I even have to "collect" the money? Could it be routed directly to an account that has been set up with the bank or title company ahead of time?
This is a very,very rough idea any thoughts/suggestions/responses are appreciated.

You may want to start by looking at the operations of non profits such as Nehemiah Corp, which gives housing downpayment to qualified individuals http://www.nehemiahcorp.org

What you are thinking is a complex operation. You need expert advice from lawyers, accountants -- especially as that type of operation would always merit the close eagle look of the IRS. You don't want to cross the line as to what you can do as a non profit/charity and what you can't as stipulated by your 501C3 certification.

My suggestion is to research your idea more. Talk to informed people. Talk to lawyers familiar with handling of charities and non profits. Even Nehemiah Corp. is fighting for its very survival with the IRS right now because the IRS thinks they are overstepping the line as to what a charity can do, with some media even calling it a scam.

I especially urge you to read the Washington Post article below

IRS Ruling Imperils 'Gift Fund' Charities For Home Buyers
http://www.washingtonpost.com/wp-dyn/con...
http://www.pewroundtable.org/news/articl...

It sounds like a nice idea. Start local so you can see if the people are in real need plus people enjoy seeing the fruits of their donations. Get a lawyer to review your idea & have him set up the non-profit organization. Maybe you could present this idea to your city or other establish non-profit org. & volunteer to oversee the mission.

I can see that there could be a lot of abuse of this idea so be careful.