Wamu / Chase gave me an answer - Sorta - Loan Modification Forum

napamac · 08-23-2009, 04:55 PM

After receiving a minimal reduction on our mtg payment and for a 3 month trial period, I attended a local Home Retention Class where I spoke with a Chase Employee . . . who said that BofA owns my loan and what they offered is all that they will consider. I told the agent that all I needed was a stay on my mtg payments until I can gain employment and then I will be back on track. His reply was to contact the Loan Workout Specialist on Monday and see if he will/can assist further.

I guess I got what I expected . . . not much help and a pass off.

art4ari · 08-23-2009, 05:17 PM

Hi Napamac... my investor is also bofa. hey also offer me a trail mod to be ended a the end of august. Keep us posted of any info which is very difficult to squeeze anything out of them. We will do de same. thanks for posting

napamac · 08-23-2009, 06:09 PM

Thanks and will do art4 . . .
I really don't expect much as they only offered me a reduction of $520 per month for 3 months . . . and, as I am unemployed it just does not help.
I need the stay of payments . . .
I will post my conversation with the Loan Workout Specialist tomorrow...
that is if I make contact.

napamac · 08-25-2009, 10:45 AM

After 40 minutes and several phone calls (no such person nor extension - as appears on the letter from WAMU, and many disconnects) I made contact with WAMU Loss Mitigation Dept., to find out that BofA owns the note and WAMU services it . . . The investor BofA is the one who set the payment for the 3 mos trial (52% of income) and I pushed to speak to the Loan Work Out Specialist or Negoitator to lower the payment to 31% of gross income, which in reality, is what one has to qualify at when applying for a loan . . .

Finally after 70 minutes ... I was informed that the offer consisted of a 3% rate, I/O payments, included tax and insurance and that was all they could do . . . and if I could not make the payment, it was suggested that I rent a room or do a short sale! I requested that my payment be only for Principle and/or interest as I have already paid my insurance and taxes.

I told him that I wanted to speak directly with the Specialist or a Loss Mitigation Supervisor. A message was forwarded with my request.

I will let you know what happens . ..

napamac · 08-27-2009, 08:55 AM

On Monday, after several phone calls I was able to reach the Work Out Specialist ... He reworked the numbers (he misread the income) and stated that he could lower the payment further - and would call me back to confirm.
No call back ... but I can understand why with the amount of cases they are responsible for.

This morning I called him again and he called right back ... He was sending out the new proposal by FedX, to wit:

$1,495 per month I/O + Taxes + Insurance (down from $2,074 original agreement offer) for the next 3 months to insure that I can make the payments. Then, if I have made payments as agreed, the tentative plan is as follows:

Fixed as above for 5 years ...
Then 1% increases for the next 5 years (I/O)
Then 11th year forward, to be fixed at 5.125% PITI

Unfortunately, the investor will not reduce the principle to market value and give us a fixed rate going forward!

This part sounds doable ... at least for the first 5 years. But . . .
If, and I say if, we stay in our home and values increase, we can sell and get clean. But, we will still have bad credit ??? And if the market does not pick up within the 5 years we will have to go BK anyway ???
A Biggie "if" here!
And, if we stay, the payments will increase by $300-400 per year, which will bring us right back to where we are now, which will require our income to have increased, which is not likely at age 65 and growing older.

So, I am not sure if it makes sense for the long haul but for the next 5 years it may be a good scenario.

Then there is the 2nd (Original Private Purchase Money) with a private party, who does not appear to be willing to take a settlement (10%) or reduce the 2nd. And as a Realtor, may decide to foreclose, take the property, rent it out and sell when the market gets better . . .
This could be a bigger issue now!
The Realtor Kept saying that the tax results of foreclosure could be worse than the debt itself ...

Does anyone know if California has been extended there tax relief (SB1055) for mortgage foreclosures, to conform with the Feds?

I will keep you all posted when I have read the agreement.

Any input would be appreciated . . .

08-23-2009, 04:55 PM	#1 (permalink)
napamac Member Join Date: May 2009 Posts: 12 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Wamu / Chase gave me an answer - Sorta After receiving a minimal reduction on our mtg payment and for a 3 month trial period, I attended a local Home Retention Class where I spoke with a Chase Employee . . . who said that BofA owns my loan and what they offered is all that they will consider. I told the agent that all I needed was a stay on my mtg payments until I can gain employment and then I will be back on track. His reply was to contact the Loan Workout Specialist on Monday and see if he will/can assist further. I guess I got what I expected . . . not much help and a pass off.

08-23-2009, 05:17 PM	#2 (permalink)
art4ari Senior Member Join Date: Aug 2009 Posts: 206 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Wamu / Chase gave me an answer - Sorta Hi Napamac... my investor is also bofa. hey also offer me a trail mod to be ended a the end of august. Keep us posted of any info which is very difficult to squeeze anything out of them. We will do de same. thanks for posting

08-23-2009, 06:09 PM	#3 (permalink)
napamac Member Join Date: May 2009 Posts: 12 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Wamu / Chase gave me an answer - Sorta Thanks and will do art4 . . . I really don't expect much as they only offered me a reduction of $520 per month for 3 months . . . and, as I am unemployed it just does not help. I need the stay of payments . . . I will post my conversation with the Loan Workout Specialist tomorrow... that is if I make contact.

08-25-2009, 10:45 AM	#4 (permalink)
napamac Member Join Date: May 2009 Posts: 12 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Wamu / Chase gave me an answer - Sorta After 40 minutes and several phone calls (no such person nor extension - as appears on the letter from WAMU, and many disconnects) I made contact with WAMU Loss Mitigation Dept., to find out that BofA owns the note and WAMU services it . . . The investor BofA is the one who set the payment for the 3 mos trial (52% of income) and I pushed to speak to the Loan Work Out Specialist or Negoitator to lower the payment to 31% of gross income, which in reality, is what one has to qualify at when applying for a loan . . . Finally after 70 minutes ... I was informed that the offer consisted of a 3% rate, I/O payments, included tax and insurance and that was all they could do . . . and if I could not make the payment, it was suggested that I rent a room or do a short sale! I requested that my payment be only for Principle and/or interest as I have already paid my insurance and taxes. I told him that I wanted to speak directly with the Specialist or a Loss Mitigation Supervisor. A message was forwarded with my request. I will let you know what happens . ..

08-27-2009, 08:55 AM	#5 (permalink)
napamac Member Join Date: May 2009 Posts: 12 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Wamu / Chase gave me an answer - Sorta On Monday, after several phone calls I was able to reach the Work Out Specialist ... He reworked the numbers (he misread the income) and stated that he could lower the payment further - and would call me back to confirm. No call back ... but I can understand why with the amount of cases they are responsible for. This morning I called him again and he called right back ... He was sending out the new proposal by FedX, to wit: $1,495 per month I/O + Taxes + Insurance (down from $2,074 original agreement offer) for the next 3 months to insure that I can make the payments. Then, if I have made payments as agreed, the tentative plan is as follows: Fixed as above for 5 years ... Then 1% increases for the next 5 years (I/O) Then 11th year forward, to be fixed at 5.125% PITI Unfortunately, the investor will not reduce the principle to market value and give us a fixed rate going forward! This part sounds doable ... at least for the first 5 years. But . . . If, and I say if, we stay in our home and values increase, we can sell and get clean. But, we will still have bad credit ??? And if the market does not pick up within the 5 years we will have to go BK anyway ??? A Biggie "if" here! And, if we stay, the payments will increase by $300-400 per year, which will bring us right back to where we are now, which will require our income to have increased, which is not likely at age 65 and growing older. So, I am not sure if it makes sense for the long haul but for the next 5 years it may be a good scenario. Then there is the 2nd (Original Private Purchase Money) with a private party, who does not appear to be willing to take a settlement (10%) or reduce the 2nd. And as a Realtor, may decide to foreclose, take the property, rent it out and sell when the market gets better . . . This could be a bigger issue now! The Realtor Kept saying that the tax results of foreclosure could be worse than the debt itself ... Does anyone know if California has been extended there tax relief (SB1055) for mortgage foreclosures, to conform with the Feds? I will keep you all posted when I have read the agreement. Any input would be appreciated . . .

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