Little poll can you tell me what you have been offered or denied & if you have PMI? - Loan Modification Forum

Jillian118 · 09-25-2009, 03:42 PM

Hi all,

I am curious in doing my research to see if having PMI is screwing you. Basically my theory is that if you are paying PMI, in some cases it is making it more favorable for the banks to foreclose then to work with you on a loan mod as the insurance money they get offsets a lot of the foreclosure costs.

Please post as to whether you have been denied, trial, or whatever and if you currently have pmi.

I currently do not and so far have been offered squat & supposedly in underwriting...

caldwellb02 · 09-25-2009, 03:51 PM

Sorry - what is PMI?

Jillian118 · 09-25-2009, 03:55 PM

PMI is mortgage insurance that is usually paid by YOU for the lender. If you don't have a certain amount down, or say an FHA, they require it. Basically YOU are paying an insurance premium for the lender. So if you default, the insurance pays the lender.

My thinking is that this insurance money they get from an insurance premium you pay for may possibly be working against people in the modification process.

Do not want to lose it · 09-25-2009, 04:00 PM

Private Mortgage Insurance.
You would have had to purchase it if you put less than 20% down on the house when you bought it. The bank giving you the mortgage would have required it. If you bought the house and PMI and had been paying your mortgage for awhile and the equity went up and you had 20% equity in the property after awhile, it would or could have been canceled if you had informed the bank.

caldwellb02 · 09-25-2009, 04:01 PM

Okay I checked. Next to "PMI" at the wamu/chase online site it says "N" for me. But it also says if you put less than 20% down, which I did, you are required to pay this insurance. Sooooo. Do we assume the "n" means "no?" or do I dig further. Everytime I think I know about this stuff something like this comes up and reminds me what a novice I am!!

Jillian118 · 09-25-2009, 04:10 PM

If you don't meet certain criteria, the lender requires it, so Im betting you have it.

Do not want to lose it · 09-25-2009, 04:11 PM

I have owned my home for 17 years. At one time (worth $416,000 at last refi, now Chases site says it is worth $222,000, I owe $249,000) I had a lot of equity. I do not have PMI. I was denied for insufficient income.They tried to put me on a repayment plan @ 55% of my monthly gross.

Jillian118 · 09-25-2009, 04:15 PM

I have owned mine for 5, I also do not have PMI. But when I crunch the numbers I am 146K under water & a foreclosure would cost them (i have read) between 50K - 100K in fees etc..

(Not sure if that is including the monthly they wouldnt be getting which would be around 24K) then they are going to have to sell my home & right now it is worth 289K

And add to that no insurance money to recoup??

litehouse01 · 09-25-2009, 05:37 PM

I was approved for trial MHA modification in July... no PMI & interest only loan

J&D in Socal · 09-25-2009, 08:16 PM

We were denied by the "Investor" (no PMI)

love40love · 09-25-2009, 09:08 PM

Litehouse01,

Did you receive a final modification for the MHA program? Or are you still making trial payments? If you did can you share details of your story,

thank you!!

diana0806 · 09-26-2009, 05:06 AM

I have pmi. Contacted by pmi last year. They did not want to pay chase. They told me if chase does not give you a fair loan mod. They would step in. And tell chase what is fair. They would take my financials and put it in to chase. But as long as chase keeps lines of communicating with you they would stay on the sidelines. The supervisor told me they did not want to pay out if chase does not treat consumer correctly. I still have number just in case. We will prevail!!!!!!

rachel_p · 09-26-2009, 08:16 AM

We paid zero down and we do not have PMI.

litehouse01 · 09-26-2009, 08:38 AM

love40love....I was approved for the MHA Trial Modification on 1st(fannie mae owned) and 2nd mortgage(chase owned) and have just made 3rd payment on both....I was told yesterday they (Chase) are behind and to make the 4th payments when they are do if I don't then I get kicked off the program so I will be making the 4th Trial payments next..however the 2nd mortgage(chase owned) is ahead that is with the underwriter and thats where it will sit until the 1st is modified they will not modify the 2nd without the 1st being modified first...will keep you posted

nativelasvegan · 09-26-2009, 09:12 AM

No PMI. Put 20% down.
Fannie mae loan, serviced by BAC.
Started mod process in March.
7/21 negotiator verbally confirmed we are approved for "nationwide modification program" and told me the new terms of the loan, documents would be sent out fedex.
9/16 - told BAC can no longer make payments (current until this time). BAC sent repayment agreement, we will not sign repayment agreement, inappropriate remedy for our situation pursuant to fannie mae servicing guidelines.
9/25-no documents yet. No one knows when they will be prepared and/or delivered to us......

Marie T · 09-26-2009, 12:28 PM

No PMI since I put plenty down. WAMU loan, no investor, now owned by Chase. No second or HELOC, have owned house for more than ten years, and now owe about $150,000 plus more than it is worth!

Was denied first time for insufficient income then resubmitted end of August and they came back with a three month trial plan with a payment that is about $700 more than original payment. Chase could not tell me if this trial payment will increase, decrease, or stay the same....does not matter because I cannot afford a payment that is $700 more than my original payment when our income is 50% less than when we bought the home.

I do not know what the trial payment includes as they will not tell me if insurance, taxes, and HOA are part of trial payment. Right now I'm praying that NACA comes through for me.

caldwellb02 · 09-26-2009, 12:32 PM

Me too Marie. My hopes are on NACA. Though today I am putting together another of the same faxes to loss mit. I don't want to close any doors, gotta admit. Today it feels though like I'm moving through molasses. Can't fix my thoughts on this. Luckily don't have to fax till Monday (why send it into a potential Saturday pile?).

Marie T · 09-26-2009, 12:34 PM

correction: not a big deal but my second submission was end of July and Chase called about August 10th to say they were FedExing trial plan. Trial plan was FedExed by Chase on Sept 7, I received Sept 9. Trial plan letter was dated August 8th and said that I had to send back signed agreement and 1st trial payment by Sept 1st.

I cannot for the life of me figure out how it takes a month to send a letter!

caldwellb02 · 09-26-2009, 12:57 PM

the website says I'm a "conventional loan with no MI." I wonder why no PMI. Hmm. Not that I WANT to pay any more of course. I can't find anything in any of my docs that say I'm paying it, but i DID NOT put 20% down....

09-25-2009, 03:42 PM	#1 (permalink)
Jillian118 Senior Member Join Date: Jun 2009 Posts: 294 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Little poll can you tell me what you have been offered or denied & if you have PMI? Hi all, I am curious in doing my research to see if having PMI is screwing you. Basically my theory is that if you are paying PMI, in some cases it is making it more favorable for the banks to foreclose then to work with you on a loan mod as the insurance money they get offsets a lot of the foreclosure costs. Please post as to whether you have been denied, trial, or whatever and if you currently have pmi. I currently do not and so far have been offered squat & supposedly in underwriting...

09-25-2009, 03:51 PM	#2 (permalink)
caldwellb02 Senior Member Join Date: Nov 2008 Location: Northern CA Posts: 1,785 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Little poll can you tell me what you have been offered or denied & if you have PMI? Sorry - what is PMI?

09-25-2009, 03:55 PM	#3 (permalink)
Jillian118 Senior Member Join Date: Jun 2009 Posts: 294 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Little poll can you tell me what you have been offered or denied & if you have PMI? PMI is mortgage insurance that is usually paid by YOU for the lender. If you don't have a certain amount down, or say an FHA, they require it. Basically YOU are paying an insurance premium for the lender. So if you default, the insurance pays the lender. My thinking is that this insurance money they get from an insurance premium you pay for may possibly be working against people in the modification process.

09-25-2009, 04:00 PM	#4 (permalink)
Do not want to lose it Senior Member Join Date: Aug 2009 Location: Americas Hometown Posts: 66 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Little poll can you tell me what you have been offered or denied & if you have PMI? Private Mortgage Insurance. You would have had to purchase it if you put less than 20% down on the house when you bought it. The bank giving you the mortgage would have required it. If you bought the house and PMI and had been paying your mortgage for awhile and the equity went up and you had 20% equity in the property after awhile, it would or could have been canceled if you had informed the bank.

09-25-2009, 04:01 PM	#5 (permalink)
caldwellb02 Senior Member Join Date: Nov 2008 Location: Northern CA Posts: 1,785 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Little poll can you tell me what you have been offered or denied & if you have PMI? Okay I checked. Next to "PMI" at the wamu/chase online site it says "N" for me. But it also says if you put less than 20% down, which I did, you are required to pay this insurance. Sooooo. Do we assume the "n" means "no?" or do I dig further. Everytime I think I know about this stuff something like this comes up and reminds me what a novice I am!!

09-25-2009, 04:10 PM	#6 (permalink)
Jillian118 Senior Member Join Date: Jun 2009 Posts: 294 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Little poll can you tell me what you have been offered or denied & if you have PMI? If you don't meet certain criteria, the lender requires it, so Im betting you have it.

09-25-2009, 04:11 PM	#7 (permalink)
Do not want to lose it Senior Member Join Date: Aug 2009 Location: Americas Hometown Posts: 66 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Little poll can you tell me what you have been offered or denied & if you have PMI? I have owned my home for 17 years. At one time (worth $416,000 at last refi, now Chases site says it is worth $222,000, I owe $249,000) I had a lot of equity. I do not have PMI. I was denied for insufficient income.They tried to put me on a repayment plan @ 55% of my monthly gross.

09-25-2009, 04:15 PM	#8 (permalink)
Jillian118 Senior Member Join Date: Jun 2009 Posts: 294 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Little poll can you tell me what you have been offered or denied & if you have PMI? I have owned mine for 5, I also do not have PMI. But when I crunch the numbers I am 146K under water & a foreclosure would cost them (i have read) between 50K - 100K in fees etc.. (Not sure if that is including the monthly they wouldnt be getting which would be around 24K) then they are going to have to sell my home & right now it is worth 289K And add to that no insurance money to recoup??

09-25-2009, 05:37 PM	#9 (permalink)
litehouse01 Senior Member Join Date: Sep 2009 Posts: 497 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Little poll can you tell me what you have been offered or denied & if you have PMI? I was approved for trial MHA modification in July... no PMI & interest only loan

09-25-2009, 08:16 PM	#10 (permalink)
J&D in Socal Member Join Date: Aug 2009 Posts: 11 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Little poll can you tell me what you have been offered or denied & if you have PMI? We were denied by the "Investor" (no PMI)

09-25-2009, 09:08 PM	#11 (permalink)
love40love Member Join Date: Apr 2009 Posts: 17 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Little poll can you tell me what you have been offered or denied & if you have PMI? Litehouse01, Did you receive a final modification for the MHA program? Or are you still making trial payments? If you did can you share details of your story, thank you!!

09-26-2009, 05:06 AM	#12 (permalink)
diana0806 Senior Member Join Date: Aug 2008 Posts: 193 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Little poll can you tell me what you have been offered or denied & if you have PMI? I have pmi. Contacted by pmi last year. They did not want to pay chase. They told me if chase does not give you a fair loan mod. They would step in. And tell chase what is fair. They would take my financials and put it in to chase. But as long as chase keeps lines of communicating with you they would stay on the sidelines. The supervisor told me they did not want to pay out if chase does not treat consumer correctly. I still have number just in case. We will prevail!!!!!!

09-26-2009, 08:16 AM	#13 (permalink)
rachel_p Senior Member Join Date: Aug 2009 Posts: 277 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Little poll can you tell me what you have been offered or denied & if you have PMI? We paid zero down and we do not have PMI.

09-26-2009, 08:38 AM	#14 (permalink)
litehouse01 Senior Member Join Date: Sep 2009 Posts: 497 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Little poll can you tell me what you have been offered or denied & if you have PMI? love40love....I was approved for the MHA Trial Modification on 1st(fannie mae owned) and 2nd mortgage(chase owned) and have just made 3rd payment on both....I was told yesterday they (Chase) are behind and to make the 4th payments when they are do if I don't then I get kicked off the program so I will be making the 4th Trial payments next..however the 2nd mortgage(chase owned) is ahead that is with the underwriter and thats where it will sit until the 1st is modified they will not modify the 2nd without the 1st being modified first...will keep you posted

09-26-2009, 09:12 AM	#15 (permalink)
nativelasvegan Senior Member Join Date: Sep 2009 Location: Near Austin, TX Posts: 790 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Little poll can you tell me what you have been offered or denied & if you have PMI? No PMI. Put 20% down. Fannie mae loan, serviced by BAC. Started mod process in March. 7/21 negotiator verbally confirmed we are approved for "nationwide modification program" and told me the new terms of the loan, documents would be sent out fedex. 9/16 - told BAC can no longer make payments (current until this time). BAC sent repayment agreement, we will not sign repayment agreement, inappropriate remedy for our situation pursuant to fannie mae servicing guidelines. 9/25-no documents yet. No one knows when they will be prepared and/or delivered to us......

09-26-2009, 12:28 PM	#16 (permalink)
Marie T Senior Member Join Date: Apr 2009 Posts: 490 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Little poll can you tell me what you have been offered or denied & if you have PMI? No PMI since I put plenty down. WAMU loan, no investor, now owned by Chase. No second or HELOC, have owned house for more than ten years, and now owe about $150,000 plus more than it is worth! Was denied first time for insufficient income then resubmitted end of August and they came back with a three month trial plan with a payment that is about $700 more than original payment. Chase could not tell me if this trial payment will increase, decrease, or stay the same....does not matter because I cannot afford a payment that is $700 more than my original payment when our income is 50% less than when we bought the home. I do not know what the trial payment includes as they will not tell me if insurance, taxes, and HOA are part of trial payment. Right now I'm praying that NACA comes through for me.

09-26-2009, 12:32 PM	#17 (permalink)
caldwellb02 Senior Member Join Date: Nov 2008 Location: Northern CA Posts: 1,785 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Little poll can you tell me what you have been offered or denied & if you have PMI? Me too Marie. My hopes are on NACA. Though today I am putting together another of the same faxes to loss mit. I don't want to close any doors, gotta admit. Today it feels though like I'm moving through molasses. Can't fix my thoughts on this. Luckily don't have to fax till Monday (why send it into a potential Saturday pile?).

09-26-2009, 12:34 PM	#18 (permalink)
Marie T Senior Member Join Date: Apr 2009 Posts: 490 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Little poll can you tell me what you have been offered or denied & if you have PMI? correction: not a big deal but my second submission was end of July and Chase called about August 10th to say they were FedExing trial plan. Trial plan was FedExed by Chase on Sept 7, I received Sept 9. Trial plan letter was dated August 8th and said that I had to send back signed agreement and 1st trial payment by Sept 1st. I cannot for the life of me figure out how it takes a month to send a letter!

09-26-2009, 12:57 PM	#19 (permalink)
caldwellb02 Senior Member Join Date: Nov 2008 Location: Northern CA Posts: 1,785 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Little poll can you tell me what you have been offered or denied & if you have PMI? the website says I'm a "conventional loan with no MI." I wonder why no PMI. Hmm. Not that I WANT to pay any more of course. I can't find anything in any of my docs that say I'm paying it, but i DID NOT put 20% down....

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