Run around / lack of Communication from Chase!

Chase_Is_Killin_Me · 05-19-2009, 11:45 AM

I have a long story, but am going ot try to shorten it as much as possible.

I live in the SF bay area. have a first at around 440K and a second around 80K. We have a fixed rate on the both, but pay interest only on the first for the first 10 years. 6.825%(first), 7.5%(second). My wife was laid off and suddenly it seemed that we were going to be losing our house if we couldn't get some kind of a modification. My wifes brother happens to work for a company that helps people with loan mods so we called him and got the process started. we got all of our info to chase right at the end of Feb. and they said, "hold it till March 4th, that is when the obama plan goes into effect and we will be able to help you"
on march 4th we put in our request and were assigned to Rachel (last name removed so as to not piss her off in case she randomly reads this). she told our agent (for lack of a better term) that we were the ideal candidate for a modification. woo hoo! she said that they were "probably" going to deffer 200-220K and combine the first and second loans into a single loan. Woo Hoo! 50+ days later they had passed our account to a new processor, and we were not getting any answers. finally our agent gets word that "chase has changed programs that we are offering and if you had been in the system 2 weeks ago you would be in good shape, but now we can't do anything for you." the next day it was "we will give your client a 3 month forbearance and then put them in a 5% fixed P+I loan".
this would have actually had us paying more than we are now, but at least we would be paying off interest. "your forbearance letter will arrive in about 7 days"
that friday, we get a letter "Your Workout Has Been Cancelled" the reason given "Financial review indicates sufficient funds to afford the current monthly payments. We are unable to offer a loss mitigation workour at this time" WTF!!!!!
The current payment is 60+% of my GROSS income, the only income since my wife has not been able to find work. not sure what math they used, but my my calculations, I can't afford that LOL. My wife called today (800) 446-8939, and requested a call back rather than wait on hold. the computer called her back and promptly hung up on her. so she called the number back that the call came from. got transferred (hung up on) like 5 times, finally got them to transfer her to a rep named "Cody" that helped her. sort of. Cody told her that our account was now in the hands of a new rep, that it was not cancelled, that we must have gotten the letter in error, and that they were still reviewing it. we just need to be patient. meanwhile they don't all seem to have access to the same info. they tell us that we are not behind on payments, yet, we get calls from the collection group saying that we owe last months payement an a late fee.

ARRRRGH.

we have tried to call Rachel (the original rep) back at her direct line, but she has a message on that phone saying "don't leave a message here, I am not checking it" good times. we have not been able to get in touch with the current rep that is reviewing our case.

/me puts own head through wall.

thanks for listening.

fauve · 05-19-2009, 12:09 PM

We have a similar story. Jumbo loan that they only offered 5% for the remaining life of the loan (25 years). That payment is more than we're paying now by $1K. Then I got a letter just like yours saying we didnt earn enough and the workout has been canceled.

I am now waiting on a call from an executive team analyst who was supposed to get to the bottom of it. You can reach the Executive Team that *** has posted at 800-242-7399 and explain your situation. Talk about mixed messages! It is especially frustrating as there are people on here with jumbo loans owned by Chase (I'm guessing yours is as well) that are being refinanced into 40 year loans starting at 2%! Sure would be nice.....

Chase_Is_Killin_Me · 05-19-2009, 12:14 PM

they have said that we are funded by an "independent investor" but don't tell us who that is. I have no idea. we were also told to "start missing payments" then we will be more likely to work with you. I just don't trust them to not change their mind and just take the house. we love our house and don't want to lose it. I just wish that everyone that you talk to was on the same page rather than everyone telling you something completely different than the last person you talked to.

fauve · 05-19-2009, 12:27 PM

Ask them next time you talk to them if your loan is with REMIC. This is the investor under the "JPM Chase" umbrella. They have told me that REMIC has decided not to modify loans under the Obama Plan and that the lowest interest rate they are willing to offer is 5%. My original loan was an Alt-A interest only loan for 5% for 5 years. My paperwork has always been with Chase. We are due to adjust this August. As it stands now, the LIBOR plus our 2.25 margin will bring our loan for the next year to 4.08% with P&I and our payment will go up by about $600. That will put us north of 50% income. if they were to put us in a 40 year 2% mortgage (I know I'm dreaming), our payment would be right on the money at 31% of gross.

chasepmt2hot-firefighter · 05-19-2009, 01:01 PM

Chase_is_killing_me, I love your name. This is exactly how we feel about the payment, this modification journey and the true unknown. It can't get here quick enough. I just had to tell you, I love the name you selected!

snapple candy · 05-19-2009, 01:24 PM

I agree firefighter. Love the name.
As some of you know I have been going thru this hell for almost 12 months now. Has WAMU renige on terms, turned down a bogus loan mod, filed complaint with OCC,demanded they review under Obama plan (its fannie mae loan), faxed in new application on April 10, served foreclosure notice of sale on the 15th. I have been calling and calling chases exec offices, to supervisors, wamu exec offices, you name it trying to find out status of mod. Chase Exec supervisor left message yesterday stating it will be assigned to negotiator..except that is what they been telling me for weeks. Well, i talked to a local non-profit helping people and they called their contacts at WAMU and were told my file incomplete. The non-profit faxed me some additional paperwork but nothing really beyond Chase/WAMU application packet so I have no clue was is incomplete. Funny that a non-profit help group can get this info when high level execs at WAMU offices cannot. Talk about a run around...more like a cluster fk.

Chase_Is_Killin_Me · 05-19-2009, 01:43 PM

Oh, forgot to mention, we paid 550K for the house, current value (according to Zillow.com) ........306K. if they don't work with me they are going to lose 240K-ish. makes no sense business wise. I was just listening to a podcast of "This American Life" that was very interesting. basically said that many banks are servicing the large first but actually did hte small second themselves. So in my case, while they are only servicing 440K, they are out of pocket for the 70+K of the second. if they mod the second basically goes away, and they lose that off the top. since they are more concerned with their 70K than they are with someone elses 440K, they don't do the mod. this is apperantly why so many people with a first and a second are having so much trouble getting help. So be it I guess. eventually they will make up their minds ot help or they will deal with the bigger loss. I will be first in line to buy the house when it goes on foreclosure sale

snapple candy · 05-23-2009, 09:18 AM

Glad you are able to be in that line if foreclosure occurs. Unfortunately, many of us not able. My first and 2nd with WAMU too although 2nd is only 30K but they have also delayed my modification a year now with delinquent payments adding up to 23K and building every month. In the end if I do achieve a mod, they will want to tack this delinquent amount (at the higher interest rate) on to the back end of the loan. It will probably be up to 30K by the time it is ever achieved.
Interesting concept on the banks and 2nds. It makes sense although if they let it foreclose they get $0 anyways unless they want to seek judgment on you for it. I still suspect that they recoup their losses with mortgage insurance anyways so no incentive for them to modify and takes a loss.

Marie T · 05-24-2009, 12:59 PM

It seemed that when I spoke with Chase, they were surprized I only had a first so I hope that makes this easier. As far as standing in line to buy your house back at foreclosure, would that even be doable? I heard of a someone's brother buying his brother's house at a foreclosure sale but if you were trying to buy back your own house wouldn't they make you pay all the legal fees and all? I think my house would go for about $200,000 less at a foreclosure sale than what I owe on it but the deal with that is that the bank might buy it back first then sit on it for 4 years like they did the house across the street. When that house finally did sell, it sold for $350,000 less than what was owed but sometimes I think the bank likes to be able to say that they have the house as an asset. Maybe as Snapple Candy says, the mortgage insurance covers it but what about people like me - I don't have MI because I put down 20% but my house is now worth less than what I owe?

Chase_Is_Killin_Me · 06-04-2009, 04:25 PM

UPDATE:
Out of the blue we got a forbearance letter in the mail. no payments due for June/July/August. Seems to only be for the first and not the second, but it is still a substancial savings. we called and they said that they are still planning a mod, but not until the end of hte forbearance.

causiously optomistic.....

CIKM

dnathan · 06-19-2009, 02:36 PM

Hey, awesome news. I think I can safely say we're all pullin for you.

Chase_Is_Killin_Me · 09-18-2009, 11:53 AM

So, 7+months later, we did our 3 months of forbearance and have FINALLY been assigned an underwriter. they claim that it will be 2 weeks from that point (2 days ago) so the end is supposedly in sight. the Wife has not been able to find work and we are in trouble if we don't get a favorable deal. this has been rough.

snapple candy · 09-19-2009, 09:53 AM

Chase is killin me,

Are they going to consider you for HAMP program now? If only an in-house mod:

Have you ever faxed in the "official" HAMP application off the Chase web site?

Yah know I started with a 4 mth forbearance also with Chase. They tried to give me in-house mod with unacceptable terms. I had to really push hard to get HAMP trial. They tried to say I didnt qualify for it. I finally got one. But not until after I rejected their mod and they served me a Notice of Sale.

caldwellb02 · 09-19-2009, 11:02 AM

How many months were you all in default before they started the forebearance? I just became one month in default and they are calling me at least twice a day and I say the exact same thing to everyone. My total loan payments (1st and 2nd) are 69% of my gross. They called my on my second today - yeah, I could pay that ($565), but it is the first ($1740 and an ARM) that will foreclose on me. Not the second. At least not just yet, especially since the house is worth less than the first. So I tell them over and over the same story. I tell them I've seen this coming (that's why I started this in Jan). They won't accept partial payments, so they get nothing. At least for now.

snapple candy · 09-19-2009, 11:14 AM

I was in default 4 mths but I immediately started out (WAMU) by filing their borrowers assistance form and calling them all the time. I ended up going 1 year with no payments before I got HAMP trial. I am 100K underwater.

Chase_Is_Killin_Me · 09-21-2009, 08:23 AM

Oh, I would love to be 100K under water. when the county re-assessed my prop value in july, they put our house at 275K. we paid 550K. good times. exactly 50%. I was not in default before they did the deferment, but we are not making any more payments until they give us our mod.

Chase_Is_Killin_Me · 09-21-2009, 08:25 AM

@Snapple Candy, we have not done anything on the HAMP program. this is the first that I have heard about it, I will look into it this morning. it is an entirely in-house mod. Chase has our first and our second.

Chase_Is_Killin_Me · 09-21-2009, 09:14 AM

I don't see a link on Chase's page for HAMP, is it listed under something else? what is the exact verbiage of the link?
Thanks again!

snapple candy · 09-21-2009, 09:37 AM

Check the link on the right on chase.com:

HELP FOR HOMEOWNERS
Details on President Obama's Plan and options to help you keep your home.

Then click on the RELATED LINKS re: President Obama's Housing Plan

https://www.chase.com/chf/mortgage/h...ome-affordable

It is the Making Home Affordable Program.Also check out govt. web site by doing going of the the same.

snapple candy · 09-21-2009, 11:49 AM

CIKM,
I hope you were able to follow the links to Chase page for HAMP and that it was helpful. Do you know if your first with Chase is a fannie mae or freddie mac loan?

I am assuming Chase gave your forbearance to see if your hardship "is temporary" in nature. Maybe its an in-house owned loan too. Nevertheless, I suggest moving forward with the paperwork for HAMP (if you qualify) and ask them why you were not considered for it. They arent exactly forthcoming about offering it and tried to do an in-house mod with me too which I rejected. Also treid to say I didnt qualify for HAMP program too but I did and had to push for it. Really depends on the terms offered and whether you are comfortable with the payment offered in the in-house mod. HAMP program payment is 31-38% of your gross.

SwillerAlesbane · 09-21-2009, 01:52 PM

I have the answer:

Default, live in the house as long as you can while saving money.

Rent. Save money.

Buy in 3 years as a 1st time homebuyer through the FHA.

3% down, and you will be back in a home that cost less!!!!

Where is our revolution? It will not be televised.

franklyspeaking · 09-21-2009, 04:23 PM

when you all say you did your 3 months of forebearance are you talking about making no payments or trial payments or reduced payments?

Chase_Is_Killin_Me · 09-22-2009, 08:26 AM

I had no payments for 3 months. of course then I got home yesterday and there was a letter in my mailbox from Chase saying "you haven't made a payment in 3 months. this is a notice of intent to forclose. send up $10K (approx) or you WILL lose your house."
I called the collections # on the letter they said "oh, just disregard that since you are in the process of a mod."
No one at chase talks to anyone else. that is the infuriating part of it all.

Snapple, I talked to the Rep from the company that is helping us with our mod (yes, I know that everyone says to steer clear of these companies, that it is a waste of money and that the bank will work directly with you, but they wouldn't when I tried and I didn't have the time to hassle them, so I am paying someone to do it for me.) and we are actually going through the MHA program. Chase is saying up to 3 weeks from the date it was assigned to an underwriter (9/16) so we should have an answer in the next week or so.

SBBLUEWATER1 · 09-22-2009, 09:20 AM

Chase Is Killing Me -
Be prepared for a long wait before you get an answer from Chase. We already finished our 3 trial mod payments and were told our final loan mod was done. Now we are told we have to wait 60 to 90 days more before they even tell us if we are going to get a permanent mod whne they already said it was done. Chase just gets as much money as they can and stretches you out for as long as possible. I have not seen once post yet on this board from anyone that has gotten a permanent loan mod from Chase under the MHA program. There may be some out there and there may be more to come, but just be prepared for a long, long wait. I really doubt Chase will start performing until they get quite a bit more pressure from the White House.

Chase_Is_Killin_Me · 09-22-2009, 09:40 AM

SBBLUEWATER1, have you been continuing to make your payments along the way? I am curious because you say that they are dragging it out to get as much money as possible in the meantime. I got a call today from their collection dept. and told them that they would not see any money on first or second until they finish the mod. hopefully this will be a "fire under their butt" but I am not holding my breath. thanks for your post.