Any Suggestions working with Citimortgage?

[jonahstephenson]

I have a "pending" modification with citimortgage, problem is that it has been "at the investor" for almost 5 weeks.

Mysituation is this, I bought my house may of last year when myself and many others (including my lender) thought the bottom of the falling prices had taken place. I paid 260,000 for a house that had been on the market for 2 years and was listed at one point for 325,000. It is in established neighborhood surrounded by million dollar houses, everyone figured this was a no-brainer. Anyway, I didnt have much to put down, but rather than sign another year lease of rent somewhere I bought with 3% down and a 30 year fixed at 7.25% (high because of the small down payment). Anyway, at that time I was makeing 80k a year and could afford it, but since febuary my employer has decreased my salary 3 times and I know make Half that and am only getting by paying the mortgage by depleting my savings. Not to mention that I am paying a mortgage of 260,000 on a house now worth less than 180,000. So I went to Citimortgage and asked for help.

The front end of the process went VERY fast. Withen 3 weeks they had all my documents, had done an appraisal and submitted my info to the "investor". Now I call my contact person every week (and I am very nice on the phone), only to hear that there is no new information for me at this time....

Is this a stall proceedure? They have to have seen in my paystubbs and W2's that there is no way I can continue to make this payment. I have been instructed by friends in the same situation to just stop paying it and Citi will take me serious and expedite the modification, but that sounds scary to me.

I dont want to loose all my savings to try and save my house, and up loosing it and being broke if nothing happens. Can anyone relate to this or offer suggestions??

Jonah

[Evan Bedard]

Hi jonahstephenson,


Welcome and thank you for joining the forum.


Once you modification is with the investor you should have an answer quite quickly. Maybe try to call Citi and request to speak with a manager/supervisor to find out what the status in on your case..

[jonahstephenson]

Thank you for the response. I do call my contact there, only to here there is no new news. I am current with my payments, so probably not at the top of thier list. I am just curious to know if I should continue to scratch and dig out my payment every month or let one slide and see if I get more of a response from them.

As I mentioned I have gotten advice that they will expedite my files once I become delinquent, but its scary to take that chance.

[Evan Bedard]

True in some cases being deliquent may expedite your mod, but its not guaranteed what so ever. It may take more time if you are current but it is definetely possible. If you can make it then do, but if you cannot then don't but it will definetely take a big toll on your credit..

[jonahstephenson]

Again, thank you so much for yor advice. Have you heard this same situation? I also dont want to take the hit to my credit, but I dont want to have my savings completey gone before they help me, or decide not to. What is the average time you have been hearing from once the loan gets to the "investor" to having some kind of responce from the contact person.

I just am not seeing the benifit for them to process my modification when I continue to pay my full payment.... the old get the most for as long as possible

[Moe Bedard]

Hey jonah!

Unfortunately those that are closest to foreclosure get help usually the fastest. Think of this like an emergency room with millions of people coming for help daily. Some have severed jugular veins and the doctors will work on them first, some will have minor scrapes and burns, they will be helped towards the last and people who have no injuries will be pushed back till the end.

When you pay your mortgage, you are not considered an indefinite risk, only a possible risk. However, I have seen many loan modification go through when the borrower was not late and I have seen a lot more not go through.

Making the payment is really a judgment call on your behalf and a risk either way. I would do the Ben Franklin and weight the positive and negatives to make your decision.

I wish you the best and please keep us posted!

[jonahstephenson]

Thanks Moe,

Can you clear up one other issue for me? I have heard that if you can document/prove that you were in process of modification you can disbute the credit burue on missed/late payments during that time. Is this true?

Doing the Ben Franklin is where I have been for about a month watching my savings go. I believe the reward is worth the risk, but wish it didnt have to come to that.

Thank you so much for you and your site!

[Moe Bedard]

My pleasure!

Can you clear up one other issue for me? I have heard that if you can document/prove that you were in process of modification you can dispute the credit burue on missed/late payments during that time. Is this true?

I have heard of that, but have not seen ANY evidence that it is true. Keep in mind that I have seen a lot of loan modifications and have researched this prob ally more than anyone in the world. So, I would say that there is a high probability that it is BS.

Is it better to have a savings and messed up credit? Especially when you will most likely run out of savings and that is most likely when you'll get help?? Think about what I am saying here.

[jonahstephenson]

Originally Posted by Moe Bedard

Is it better to have a savings and messed up credit? Especially when you will most likely run out of savings and that is most likely when you'll get help?? Think about what I am saying here.

I think I got it... Again, this site is amazing and if not the solution to problems at least a source of reliefe from them.

Thanks again for your time!!!

Jonah

[Moe Bedard]

No problemo Jonah.

Thanks so much for the accolades. I created this site out of my love to help people unconditionally and I have been blessed because of that. So have thousands of other homeowners and it feels great to read words like the ones you typed above. It makes it ALL worth it!

Please keep us abreast of your situation and if you get stressed out or you have questions for other members, feel free to chime in at any time. Hope for the best, plan for the worst and in the end, you did all you could do.

Keep up the good fight!

[jonahstephenson]

Just an update.... I got "the call" from citi mortgage today that I have been approved for the HAM and that I will be starting my trial period before my August payment is due. I am so excited I cant barley contain my self. My payment is going from 2002/month to 1218/month. Its going to save my house!!!!

The leason here is to be patient and positive. Thanks to everyone here that listened and offered advice!