Loan Modification Forum - LoanSafe.org - View Single Post - Injured, subprime, and falling behind! HELP!

D and J · 05-24-2009, 09:27 PM

Hello,

Back at the end of 2008, I had a debilitating accident. I was placed on disability and lost my job. I am recovering but I could not make my house payments during this time. I received a Special Forbearance from CW which expired on May 11th. At that time, I intended to apply for a loan modification to "add back in" the amount I owed and hopefully lower my interest rate. My loan is a Subprime B and C Type loan at 7.375% and according to everyone, I should qualify. My daughter (who is on title with me) is working full time now and between her income and my disability checks, we are making nearly what I had been making on my own when I qualified for the loan in the first place. Starting in June, we are officially financially back on our feet enough to make our payments again... although it's still hand to mouth with no savings.

So, here are my questions:

1. If our income together is what it was before my accident when I qualified for the loan originally, will that disqualify us from a loan mod?

2. The oh-so-helpful people at CW have told me that because I am 5 months behind (forbearance) they can foreclose on my house even while I am still being considered for a loan modification. Is this true? It doesn't make sense to me.

3. Finally, because I had been injured and lost my income, I am behind in my property taxes. Here's the dilemma. I can either begin making my mortgage payments to CW/BoA again immediately or I can pay my taxes. Because I live in a city with Mello Roos, the city is now threatening foreclosure because I am behind in the tax payments! Grrrr! Since I really want to just have my missed payments reworked into the loan and I'd like to start making my payments at the (hopefully) lower interest rate anyway, how important is it to make payments during the loan modification process, especially early on? I just applied three weeks ago but I am trying to save my home on two fronts, now. I will do whatever is necessary but I can only do so much.

My feeling is, I have the documented income so they should want to work with me. I hope this is true. Any advice you could offer would be greatly appreciated!

05-24-2009, 09:27 PM	#14 (permalink)
D and J Member Join Date: Jan 2009 Posts: 19 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	To pay (and when to pay) CW during loan mod process? Hello, Back at the end of 2008, I had a debilitating accident. I was placed on disability and lost my job. I am recovering but I could not make my house payments during this time. I received a Special Forbearance from CW which expired on May 11th. At that time, I intended to apply for a loan modification to "add back in" the amount I owed and hopefully lower my interest rate. My loan is a Subprime B and C Type loan at 7.375% and according to everyone, I should qualify. My daughter (who is on title with me) is working full time now and between her income and my disability checks, we are making nearly what I had been making on my own when I qualified for the loan in the first place. Starting in June, we are officially financially back on our feet enough to make our payments again... although it's still hand to mouth with no savings. So, here are my questions: 1. If our income together is what it was before my accident when I qualified for the loan originally, will that disqualify us from a loan mod? 2. The oh-so-helpful people at CW have told me that because I am 5 months behind (forbearance) they can foreclose on my house even while I am still being considered for a loan modification. Is this true? It doesn't make sense to me. 3. Finally, because I had been injured and lost my income, I am behind in my property taxes. Here's the dilemma. I can either begin making my mortgage payments to CW/BoA again immediately or I can pay my taxes. Because I live in a city with Mello Roos, the city is now threatening foreclosure because I am behind in the tax payments! Grrrr! Since I really want to just have my missed payments reworked into the loan and I'd like to start making my payments at the (hopefully) lower interest rate anyway, how important is it to make payments during the loan modification process, especially early on? I just applied three weeks ago but I am trying to save my home on two fronts, now. I will do whatever is necessary but I can only do so much. My feeling is, I have the documented income so they should want to work with me. I hope this is true. Any advice you could offer would be greatly appreciated!