trial payments ?????????

[c150000]

hi
could someone tell me if you HAVE to go on the trial payments they offer? while waiting for a mod...
they offered me a payment of 1500.00 vs the 3080.00 iam paying

iam afraid to do that in case iam denied...then i will be in a mess
BUT i read on the guidlines for the new (making homes afforable)
it says anyone who are unable to make 3 payments by the end of the trial period are not eligible..

i have been making a regular payment every month, currently 2 months behind

so do i HAVE to go on that 3 month plan?

thanks cheryl


thanks cheryl

[briknope]

Very good question! I hope someone reading this can provide some insight, because apparently there have been different types of trial mods. In my own case I was offered a trial forebearance agreement, with no mention of Making Home Affordable. No mention of "modification" either. VERY open ended as I read it also. Well, I made 2 payments then said forget it, couldn't afford the new payment at a whopping 100 bucks less than normal. My loan investor is Ginnie Mae which apparently wasn't participating at the time of my application. Like many on here, the frustration level has almost made me throw in the towel. I will keep calling once in a while and ask about the MHA plan and the 31% of gross income thing. Until then I'm saving up money for a rental.

[jakelabry]

I believe the MHA program requires trial payments. Also, the trial payments (I thought) are supposed to be at the 31% of gross income mark. If you are not eligible for MHA and it's the banks/lenders mod program then who knows? In defense of MHA and the trial period - what they are saying (IMO) is that if a homeowner, after interest rate is lowered to 2%, term extended to 40 years, and principal is deferred, can't make the new adjusted payment for three months there really is no point. Remember, historically, 60% of all loan modifications end in redefault. Those are not good odds and who does it benefit to put homeowners in situations destined to fail? Also, even if your interest rate is lowered by MHA to 2% that is only for 5 years and it will return to market rate after that. Nobody can tell you what market rate will be in five years - except that after recession comes inflation which comes with high interest rates. Not a pretty picture.

[CHANLY]

I copied this from the MHA website (makinghomeaffordable.gov) regarding the modified interest rate. I understand that to mean that it will not go up to the rate at that time, it will top off at the rate which was at the time you signed the final modification agreement.
"If the modified rate is below the market rate as determined from the Freddie Mac Primary Mortgage Market Survey rate on the date the modification agreement is prepared, the modified rate will be fixed for a minimum of five years as specified in your modification agreement. Beginning in year six, the rate may increase no more than one percentage point per year until it reaches the market rate at the time the modification agreement is prepared. Your rate can never be higher than the market rate as indicated in your modification agreement. If the modified rate is at or above the market rate at the time the modification agreement is prepared, however, the modified rate is fixed for the life of the loan. "

[snapple candy]

Cheryl,
If they are offering you the MHA or HAMP trial mod, I would take it or if you think the terms are incorrectly figured fight for an adjustment. I was offered a trial mod initially that was not the govt program and I told WAMU to shove it (I had fannie mae loan). I had to demand HAMP program. It wasnt easy but I finally did get it. I am waiting for perm mod terms. If I dont like them, I can still walk away. If the payments are only good for a year or two, I might take it, and then walk away. Yes there is no crystal balls. If you are underwater by a considerable amount, it is 7-10 years to break even. I look at is as paying rent at this point.

[c150000]

thanks again for the reply,

JAKELABRY:so i should go on the trail plan for the hamp..you think?
like i said ive been paying the hole amount of my payment 3078.00
and 2 months behind
i could send in 1500.00 and put the diffrence away if i get denied
thats what the exc resolution guy said to do
but i dont trust them they can demand it all including the 2 months iam
behind if iam denied correct?
of course chase said they will not do that but we all know.
ex resol guy iam working with has not recived my paper work i have sent 3 times so iam kind of leary ......

chase dont tell you what plan your trying for so i will call on monday
the payment she gave was 1500.00 a month so thats right around what you said in my other thread... iam at odds on what to do about the trial payments i really am............

so after 5 years it could go up...there must be a cap on that like CHANLY show in his post?

CHANLY: i have fannie mae ,,,,, there must be a cap on the intrest i would think

SNAPPLE: they dont tell me what plan iam going for so i must find out
exc resolution is heplfull but they dont tell you much,,
i was told if i except the trial payments i can not back out and go back to my reg payments
they dont give you any info at all...........take the trial payment or dont
thats what she said keep in mind ive been waiting since nov 08
file was closed wont say why i must now re send everything,,, to ex resolution dept................this has been a nighmare!!!

cheryl

[c150000]

briknope
why didnt the offer you a trial mod...........you need to call again and again

cheryl

[shade]

Get a trial mod - demand a HAMP trial period. If you get approved then fine. The 2 months you are past due will be rolled into the permanent mod. Good thing now is when you are approved the final mods are going to start coming easier at least when you have a freddie or fannie backed loan.
Chase cant decide on those anymore for perm mods. Once the 3 trial payments are made the loan goes right to freddie or fannie to approve for final mod. Chase is given the ability to choose who goes into the trial mod which is the hard part.
If you are given a trial mod you will be sent paperwork and make sure to verify it says HAMP on it.

[snapple candy]

Cheryl,
Send them the new application (HAMP program) and make sure all documentation is in it (I know its a hassle but you gotta jump thru the hoops). If you get that trial payment, where it is cut in half from your original payment, and that is affordable and acceptable in the long run to you, then go for it. In general, you will get a very low interest rate for 2-5 years (depends on your situation) and then it could go up 1% per year till it caps out at about 5.25% for the lifetime of the loan. Not many have achieved perm mod terms yet to really know what is going to be offered after trial program.

Until I had the official "Home Affordable program" paperwork in had, then I wouldnt believe a thing Chase says. Make sure from Exec. office that this is what in fact you are being offered verbally.

[c150000]

thanks for the reply

they offered that payment amount 1500.00 but wouldnt say what plan it was for,,, or any details thats why i didnt take it yet


iam afraid if denied i will be put in a mess,,,

i have been trying to figure what my income is and 31% and all that stuff
just makes me dizzy!

i do not think i will be approved for hamp because i dont have income tax
filled this is my first year filling.. and i have rentals and some say they only count 75% of that,,,
i just dont know what to do

cheryl

[c150000]

ok snapple
i did the numbers if they only take 75% of rental then work income
31% would be 1384.00 a month i owe 283.000
take away 684.00 tax and insurance = 700.00
mortage calculator says at 2% 40 years is 857.00

so i dont qualify for that by $157.00

so apply anyways? this is what i mean, it makes me crazy

cheryl

[snapple candy]

Cheryl,
Well I suggest you get your taxes done right away cuz that might prove problematic for you if you dont.
I wouldnt get caught up in figuring the 31% stuff at this point. But when they do figure the 31% that includes the taxes and insurance as a general rule. It sounds like $1500 a month is about right.
They way I see it, the 2% rate will only be for 1-5 years and then start to adjust upward. It is doubtful (but possible) that 40 years at 2% will be achieved. AGain until more perm mods start rolling in, will we see what types of terms will be applied.
The biggest thing I see is that you need to know if they are offering HAMP program. Find that out and then move on to the rest of the requirements. Until you know "WHAT" you are dealing with, you wont know the "HOW" of what to do next.
Is your loan owned by Fannie MAE of Freddie MAC or is an "in-house" chase/wamu backed loan? Knowing these 2 things will help you know how to proceed so take a breath and dont let it overwhelm you. One step at a time.

[Do not want to lose it]

Hi,
I have a first with Chase EMC for $248,000 @6.75 fixed. My income is not enough to support that anymore do to the economy.
I have finished a trail payment period where I paid 1200. a month in 2 biweekly payments of 600. That ended with my last 600. payment on August 1.
What should I expect from Chase now?
has anyone come to this point yet?
Thanks so much for being here. I am in Ma.
They said my value was $249,00 in Jan.

[c150000]

snapple
thanks i will not let them get to me

i do have fannie mae

i cant file income tax until years end, my ex filled all rental on his
indv income tax all these years we are no longer together this year will be the first year for me to file

i have check ALL hamp guidelines and it says i dnot need income tax for rental income
3rd party ok like bank statements are ok
here i copied it for you to see

Income and Asset Validation:

The borrower’s income will be verified by requiring a signed Form 4506-T (Request for Transcript of Tax Return) and obtaining the most recent tax return on file for each borrower on the note. For wage earners, the two most recent pay stubs for each wage earner on the note will also be required. For self-employed borrowers or for non-wage income, the borrower’s income will be verified by obtaining other third party documents that provide reasonably reliable evidence of income. Borrowers must also represent and warrant that they do not have sufficient liquid assets to make their monthly mortgage payments.

[snapple candy]

Ok, that is good.

well I am assuming you are being offered HAMP program since you are fannie mae backed. If you are not then you should demand it. I did and i finally got it. Mine was fannie mae as well. It helps to know the guidelines. Good luck Cheryl!

[Liz Medrano]

Snapple candy-

Did you get the final mod? Or are you completing the trial? Thank you.

[c150000]

hello
well today i called chase, i was put on the trial payments 1620.00 a month ect
it is the hamp program, that at first she said i dint qualify for on and on
then she said oh i see, property value went down and your fannie mae ( i had already told her that)
for any mod be it chase reg,mod hamp, you HAVE to go onthe plan
so i was forced to do it for any help, i was struggling to pay my reg amount while waiting for a mod to not get denied and owe in the end anyways ...well why didnt anyone tell me that 6 months ago including the exc res deptment!!! iam so mad!
so waiting for hamp packet
my worry AGain is in the end even if i put away the say 1000.00 more i was paying
and pay the 1620.00 for the 3 months in the end i will owe them including the 2 months iam behind... balance be $4700.00 if iam denied for any mod
i was also told on top of your trial payment you can pay more if you want...so it wont add up and add up in the end....so he told me trial payments are 1620.00 but i can send in reg payment of 3080.00 if i want!! whats that about!
like to see if i did where that would end up.. think i will hold on to that $ until the end just in case

if that happens, will they give me time to pay the 4700.00 or will they forclose

i wonder with others that are reciveing forclosure notices while on the plan..
what they owe with behind payments ect...and balances addind up only making that trial payment...

cheryl

[snapple candy]

cheryl,
they are just trying to scare you...dont buy into the scare tactics.

Liz, I just completed the trial and waiting for final modification.....who knows how long that will take.

[c150000]

snapple
it is scary, that i have been dealing with this for months and months like you
but iam in this mess because chase wouldnt spread my shortage by a mistake...raised my payment 550.00 to 3080.00 a month for 2 years
i have been struggling for 2 years with this payment

and i was making my very last payment on the shortage this month
then my payment would go down to 2600.00 nect month

but iam behind almost 2 months
and can not get current..
and iam in a balloon mortgage like i told you and need to get out of that nightmare

now iam so worried this trial payment thing will just in the end be a total mess!!
sorry for being so negitive but my god they can do what ever that want

cheryl

[snapple candy]

Yeah, I know Cheryl this is scary. Iwent thru one year of hell with WAMU diking me around and it was very stressful for me. After so many months of it being stressful, i finally just said fk it. I keep fighting but I am so underwater, and have been so jacked around that I really have removed myself emotionally.
We are pretty much screwed however you look at. If you just accept that and expect the worse, it easier to deal with it. All you can do is go with the flow and see where it takes you and fight like hell for your rights. There is little we can control in all this. Yes they will do what they want but I dont make it easy for them. If I go down, I go down kicking and screaming. If I lose the house, well I just pick myself up and keep moving forward. No house is worth such misery. I do have some faith in a higher power that things will work out as they should. If that means I dont keep this place, well then I take another path and make other choices that support me in bettering my life and my childrens lifes in another way. If you give up trying to control this and holding on to your house, it becomes easier. Expect and prepare for the worst and if it is good, then you can be happy and not any more disappointed.Facing the reality of this thing might all apart is not easy but better to be in reality than in denial. mHope that helps. Hang on, this is a roller coaster ride for sure!

[c150000]

snapple
i have read your post from long ago and i understand
thanks for the kind words, iam a fighter too. but not being stable really
can get to me.

i have to try and focus on other things in my life i know,
i couldnt imagine going through this with kids and all

its really only me,,going it alone, and i do ask myself why do i want this
place i should just sell............ it seems if i do that i have failed....

cheryl