Loan Modifications can be done directly by home owners with their lenders. The challenge is objectivity, tenacity and enough knowledge of law and consumer rights to be a suitable advocate. Generally speaking, approximately 85-90% of all homeowners who do their own Loan Modifications, or try to, fail. Additionally, unscrupulous companies that work in this area also fail, often because they never took action or did the work necessary.
A lot of lenders play the right and wrong game--homeowner is wrong and bank is right. We won't help you if you aren't in default, and won't help you if you default on purpose. This is a catch 22. The situation is a dilemma, not a problem as such. As long as the factions inside the banks, made up of people just like you and I, continue believing that the homeowner and even more the investor is responsible for the mortgage mess, little of substance is going to be done to address the roots of this situation and all the problem loans which caused it.
A bias 3rd party can play the law, use attorneys or threaten to, and even use the BK card as a lever to get the banks to do the right thing. Even then, it is not fool proof.
