Help!?!?!? What to do now? We've been denied...

[EffingChase]

So here's a brief history of our situation. We paid 325k for our house in 2007. Our builder is now selling them for 260k. We wanted to refi to a lower rate, but couldn't because we were underwater. Then the Obama plan came out and we had options. So, we called Chase about the Home Affordable Refi program. They sent us paperwork (that said Modification on it) and told us that was the only paperwork available. So we sign it and then they send us the mod program and again we question why it says mod and they again say that it is the only paperwork available because both programs are so new. We also asked about the credit reporting paragraph that stated that we would be reported as late during the "modification trial period." Again, were assured multiple times that because we were never late to begin with that we would not be reported as late during the process.

So, a couple months goes by and we're making our trial payments of about half of our mortgage. Then I notice that we're being reported late on our credit reports. I contact Chase immediately and they tell us that is a mistake and they are trying to fix it. Then the deluge...all my other creditors start lowering my limit to just above the balance or canceling cards altogether. Now at this point we have no credit and our credit score went from 750 to the 500s. We now appear to be irresponsible debtors who are maxed out on all cards and never pay their mortgage.

So a few more months go by and we keep making trial payments all the while being strung along by the Executive Resolution Group who assure us that everything is fine and that we just need to wait (7 trial payments!!!). Then the bomb drops last night. You were denied. Sorry, there is nothing we can do for you. Not to mention that NOW we are 11,000 behind because of these trial payments and NOW we are showing up as late on our credit reports. So, after all the guarantees that everything would work out fine and that our modification (which we never wanted in the first place) would come through and that our credit would be repaired to what it was before this miserable process, we are left high and dry. Pay the amount that you owe, we won't fix your credit. Too bad. So sad. HOW IN THE HELL can they do this?

What should i do now? I am looking for lawyers in the Chicago area to help me fight this because this is ridiculous. They are the ones that mislead us and screwed us. We were on time and we simply looking to lower our interest rate. Anyone have any ideas or any advice? Chase says that there is nothing more that they can do... Please Help!!!

[booggs28]

Originally Posted by EffingChase

So here's a brief history of our situation. We paid 325k for our house in 2007. Our builder is now selling them for 260k. We wanted to refi to a lower rate, but couldn't because we were underwater. Then the Obama plan came out and we had options. So, we called Chase about the Home Affordable Refi program. They sent us paperwork (that said Modification on it) and told us that was the only paperwork available. So we sign it and then they send us the mod program and again we question why it says mod and they again say that it is the only paperwork available because both programs are so new. We also asked about the credit reporting paragraph that stated that we would be reported as late during the "modification trial period." Again, were assured multiple times that because we were never late to begin with that we would not be reported as late during the process.

So, a couple months goes by and we're making our trial payments of about half of our mortgage. Then I notice that we're being reported late on our credit reports. I contact Chase immediately and they tell us that is a mistake and they are trying to fix it. Then the deluge...all my other creditors start lowering my limit to just above the balance or canceling cards altogether. Now at this point we have no credit and our credit score went from 750 to the 500s. We now appear to be irresponsible debtors who are maxed out on all cards and never pay their mortgage.

So a few more months go by and we keep making trial payments all the while being strung along by the Executive Resolution Group who assure us that everything is fine and that we just need to wait (7 trial payments!!!). Then the bomb drops last night. You were denied. Sorry, there is nothing we can do for you. Not to mention that NOW we are 11,000 behind because of these trial payments and NOW we are showing up as late on our credit reports. So, after all the guarantees that everything would work out fine and that our modification (which we never wanted in the first place) would come through and that our credit would be repaired to what it was before this miserable process, we are left high and dry. Pay the amount that you owe, we won't fix your credit. Too bad. So sad. HOW IN THE HELL can they do this?

What should i do now? I am looking for lawyers in the Chicago area to help me fight this because this is ridiculous. They are the ones that mislead us and screwed us. We were on time and we simply looking to lower our interest rate. Anyone have any ideas or any advice? Chase says that there is nothing more that they can do... Please Help!!!

Unfortunately, Chase and all the other banks are free to proceed anyway they see fit when it comes to Loan Modifications. They as many other banks have their own "in house" programs that put their clients into instead of the HAMP. In regards to your credit score, what you were told was a lie in the beginning and Chase knows that. As far as legal proceedings with that lie, who knows if you would have a "leg" to stand on in that matter as they have crafted their paperwork tailored to saving their back and not yours.

contacting a lawyer who may be able to help negotiate another loan modification may work. That being said, it is hard to determine at this point what Chase will do next.

You do have the option to contact NACA and see if they can assist you.

[exhausted girlfriend]

Wow, that is an outrage!! It sounds like it is time to hold Chase ransom by withholding payments and retaining a lawyer. They have already ruined your credit!

[Illinois Tinner]

I gave up LONG ago on worrying about our credit. I am just wanting to save my home.

I have read MANY, MANY people doing these "trial" payments only to be denied in the end. I do not think it right for anyone to send in a payment when there is nothing in writing to protect the consumer.
As Booggs28 said...The mortgage companies are putting as many protections as they can to protect themselves with seemingly NO REGARD to the consumers they are serving. As another person here said in another thread....."Chase and other mortage companies seem to be simply trying to get more money out of the people knowing full well that they are going to deny the trial mod in the end. I contacted my state representative two days ago and just got a letter today stating they had assigned someone to help. Unfortunately, they said to expect I will be waiting 30-60 days before receiving a reponse.

I wish you the best of luck!

[SwillerAlesbane]

People are probably getting tired of my posts that sound like a Mantra now.

1. Default on the payments...don't send a dime.

2. Be prepared to wait 90 days before someone besides collections calls you in order to work out a "deal".

3. If Chase really doesn't want to work with you, they will send a NOD. A pre-cursor for foreclosure proceedings.

4. If Chase still doesn't work with you and you receive a SALE DATE (Auction Date) for your home, have your attorney file a bankruptcy, and then Chase can deal with the court, the sale date will be HALTED.

There are ways within the law to STICK it to their backsides. If enough of the THOUSANDS of people who read this follow that guideline, you will see Chase change their attitude. Either that, or cry to the US Treasury and FED (both corrupt organizations) and everyone (including you and I) will end up paying. How do you like your elected officials now? Anyone thinking of becoming non-partisan?

[c150000]

effingchase
love that name!

anyways give us more info..... you said you were not late going in?
were you paying over 31% of your income for morgtage?
who holds your loan ? chase, freddir or fannie?
did they offer anything else after the denial?
repayment plan ect to get you current?
do you have copied of what you singed?


i cant give much advice without more info....

[litehouse01]

I agree with Swiller.........I think in the long run the only way to save our homes is thru Bankruptcy........thats what my back up plan is Bankruptcy and I am not one bit ashamed to do that either.........bottom line is to save my home

[antel]

Hi...I'm sorry but I just want to know how exactly can you save your house when you file for bankruptcy.What happens to all the payments you owe to chase?

[briknope]

I would like to know also how a bankruptcy would be the sure fire fix also or backup plan as stated above. It may halt the foreclosure but only temporarily until they get the stay lifted and foreclose anyway. Then one would have a BK and a foreclosure on their credit.

[briknope]

Back to the original subject, the mortgage was current and the homeowner was upset about the fact of the home being upside down or underwater. What appears to me is these people were swindled mostly by Obama with his fancy promises and speaches during the election and soon after being sworn in. People here on this site are STILL convinced Chase and the Gov. will help people in need!! This is business folks! I 100% agree with Swiller...don't pay a dime and wait for their response. If you can't afford the home you live in now, then stop buying it. I cannot afford mine at the current payment. Either Chase works with me or I move to something cheaper. If the lender decides its better to foreclose over modify, then fine, move out. If you have equity, sell. If you can afford the place and like living there, pay for it.

[davephx]

Gee, don't blame Obama for everything!

The HAMP program is excellent for its purpose and the Admin/Treasury is doing all it can to shame servicers into making mods even though Congress granted no enforcement authority.

Also we don't know why the denial or for sure if it was HAMP. But we know for those current it is very hard to get a modification. BKK doesn't solve the problem only delays the sale maybe 30 days.

Under HAMP only get mods if 1st is over 31% of gross income, pass the NPV Test which is hard if not in default etc. But the servicers are coming up with all sorts of weird stuff to deny but we don't know in this case from info if legitimate or not.

Yes until Nov 1st the trials are reported as partial payments and will hurt credit score. After 11.1 new coding but don't really know the effect yet.

[SwillerAlesbane]

Originally Posted by briknope

People here on this site are STILL convinced Chase and the Gov. will help people in need!! This is business folks! I 100% agree with Swiller...don't pay a dime and wait for their response. If you can't afford the home you live in now, then stop buying it. I cannot afford mine at the current payment. Either Chase works with me or I move to something cheaper. If the lender decides its better to foreclose over modify, then fine, move out. If you have equity, sell. If you can afford the place and like living there, pay for it.

This is awesome and I want to quote it at another site where they tell me to "go f@#$ myself" because of my views