Quote:
Originally Posted by panther  I just heard from NACA and BofA offered a modification that is 100 bucks higher than my previous payment. What should I do? I don't understand why? |
You would need to post more details about your current loan and the modification offer for someone to be able to give you an answer, but it could depend on alot of factors that would make your payment higher for example, what type of loan did you have before the modifcation? If it was an interest only loan then when you take into account that you will be now paying interest and principal even with a lower interest rate that could make your payment higher. Any time you get a modification, the lender will add the interest portion of any past due payments into the loan therefore making your loan balance higher this could also account for a higher payment. Also if you did not have an escrow account prior to the modification the lender could now be requiring you to have one on your loan this would also increase your payments.