My Citi 2nd Mortgage Settlement

[adamgamz]

Hello to everyone here! I've been on this site for about a month now and I'm very thankful for all of the great information found here. Here is my story, I bought my home early 2005 in Orlando Florida, my 2nd mortgage HELOC was 220K however CITI took it upon themselves to reduce my line to 140K about 2 years ago as I had 80K open credit at the time. Well here I am now, my business is down and I'm looking to give the house back to the bank as I'm upside down and hurting, then one day I did a google search and found this forum. I took 2 week of reading on this forum before sending in my package, I sent in all of my finacials as well as a hardship letter, the contact iformation on this site has been really helpful, when I first called into CITI with the 800 number found here the rep asked me "How did you get this number?" And I told him LoanSafe.org. Since then it's been smooth sailing, within a few days of sending in my package I was given an email with a case managers name and phone number, then just days later an appraiser came out, I don't think it's been two weeks since I started the process. I called in today and my case manager said to me that he was sending this to a negotiator today and I should have the name and phone number of that negotiator by Friday, he went on to say we should have a settlement offer NLT 4 weeks from today! WOW, this process has been so smooth thus far, I offered 14K so I'm hoping they accept my offer.

Adam

[Evan Bedard]

Hi Adamgams welcome and thank you for joining.

I called in today and my case manager said to me that he was sending this to a negotiator today and I should have the name and phone number of that negotiator by Friday, he went on to say we should have a settlement offer NLT 4 weeks from today! WOW, this process has been so smooth thus far, I offered 14K so I'm hoping they accept my offer.

I am amazed at the fact your modification is coming along so smoothly. Many people have to wait weeks even months before a negotiator is assigned to their case and a BPO is ordered. I'm sure Cit will accept your settlement offer.

Good luck and keep us posted!

[EWM2009]

Are you going to be keeping the house or giving it up?
CITI flat out told me that they would not settle my 2nd mortgage if I was going to keep the house.
I wish you the best of luck with it.

E

[adamgamz]

I plan to keep the house if they settle it, I am open to moving out to if need be though.

[Evan Bedard]

Are you going to be keeping the house or giving it up?
CITI flat out told me that they would not settle my 2nd mortgage if I was going to keep the house.
I wish you the best of luck with it.

That is weird.. Why would you waste a lot of money trying to settle the mortgage if you are just letting the home foreclose anyway..

[adamgamz]

I can't think of a reason either.

[Evan Bedard]

Next time you call ask to speak with a manager/supervisor and explain to them what the rep told you.

[EWM2009]

Well, I got that answer from a fella in the Executive response team. He said that if the house were being sold in a short sale or if the first was foreclosing, they may accept less than the loan balance in a settlement. But, under no circumstances would they allow someone to settle a second loan for less than owed and remain in the home. Maybe I got bad info. Seems like everytime I call CITI someone has a different story to tell me.
That being said, I also get the feeling that my loan is not past due enough for them to want to settle.
I was told by a rep in the Loss Mittigation department that there is no such thing as a settlement department, but to just fax over an offer to settle to loss mit and "someone" would look at it.
Maybe Adammgamz could shed some light on the particulars of his situation.
I would like to give it a try to settle.

E.

[adamgamz]

Basically I laid it all out, they said a negotiator is going to be assigned to my account by Friday, I already gave them my offer and said in the letter either we settle or I am moving out. I'll keep you guys updated

[timecoloured]

Originally Posted by Evan Bedard

That is weird.. Why would you waste a lot of money trying to settle the mortgage if you are just letting the home foreclose anyway..

Wouldn't that be in order to avoid the second lender getting a judgment against you after the foreclosure?

[Evan Bedard]

But, under no circumstances would they allow someone to settle a second loan for less than owed and remain in the home. Maybe I got bad info. Seems like everytime I call CITI someone has a different story to tell me.
That being said, I also get the feeling that my loan is not past due enough for them to want to settle.
I was told by a rep in the Loss Mittigation department that there is no such thing as a settlement department, but to just fax over an offer to settle to loss mit and "someone" would look at it.
Maybe Adammgamz could shed some light on the particulars of his situation.
I would like to give it a try to settle.

Ya I think Citi is just trying to bs you. I have seen quite a few people here lately able to acheive a settlement on their 2nd lately. you will most likely have to deal with loss mitigation on this because I do not think they have a specific dept for settling mortgages..

[BadBobMo]

CITI flat out told me that they would not settle my 2nd mortgage
This is the bull S_hit that will bring us all down!
They just stop trading on the Stock Market w/CITI @ 10:19 A.M. they are looking for more money so they can tell you to go pound sand!
They are dead man walking!

[adamgamz]

Citi is still trading, you are thinking of CIT finance, thats a totally different company.

So far so good, my latest correspondance:

Thank you for the email. I am waiting on a retail market value analysis to come back in order for me to complete my review. I am expecting it any day now and once I have it back I will be submitting the settlement to management for final approval. As soon as I have an answer I will get you the approval letter. If you need to contact me please feel free to email me for that is usually the best way to get in touch with me due to the high volume of calls. Thank you.fficeffice" />>>

[CroMag]

Board won't let me subscribe to this thread without posting a reply.... So here it is... Look forward to seeing how you end up on this settlement.

Good luck!!

[lemaudit]

I'm not sure why anyone is considering paying a 2nd at all. I was told "you knew the risks of your home losing value when you took the loan - so pay up."

I answered "and you knew the risks of offering or buying a unsecured loan. Guess what? It's not worth anything."

[EWM2009]

The banks act like they have all of the leverage when negotiating these upside down loans. They are truly delusional.

E.

[lemaudit]

if the second is held by a different bank they're even more S.O.L. - there's absolutely nothing they can do. They could foreclose, but the first bank would get the payout. They played the system and used us to do it. I offered a settlement to my second to not completely screw my credit. They laughed at me and wanted it all. I told the guy if he could get it it was all his. "Sorry you bought a bad loan, but it's not coming out of me." Casinos don't give you money because you hit on 19 and busted. They wee as stupid as they've been accusing us of being.
And as far as Credit scores and bankruptcy - remember when divorces were soooo unpopular? Now everyone's doing it.

[BadBobMo]

The banks act like they have all of the leverage when negotiating these upside down loans. They are truly delusional.

EWM2009 are they delusional, not so much here's why, So the 2MP program is pretty much dead because of them. They know you are low on funds and that you will have to be unsecured on you home value to do a strip-down which will cost approx. $5,000-$6,000 (BK-13) dollars on your part to file. So the lenders have made the call to leave that ball in your court for now. Now if both of you loans are with the same lender guess what, sure we can help you with that 2nd! Look if they can get everyone to keep paying for their note's that are only worth 1/2 of what people paid for them, they are way ahead of the game.
It's All Greed!
Fight On!

[Social Apocalypse]

LOL LEMAUDIT! So true.
We are having a very interesting experience with Citi. Just got a call today from a new person (NOT "Hubert") and she asked me to call. She gave a number and an extension (those are the ONLY kind I return, unless the extension is really long, then I don't) Her name is "Mary". When I called back this afternoon, she wasn't there, the person who answered the phone said she would be back on Monday. I said, "well, should I call on Monday, or can you help me?" She said, "Well, she's a top manager, so if I were you, I would wait and talk with her, because she obviously has something important to talk to you about."

WEIRD.

It just never ends. Anyone dealt with "Mary" before or received a call like this?

[adamgamz]

Here is the current status!

Adam,fficeffice" />>>
>>
I turned the file in for final review and approval this morning. I am waiting on managements decision. I would say if they approve the settlement amount that you will probably have till 11/20/09 to get it in. As soon as I have their final decision I will forward you what they approved for the settlement offer.>>

[Hope1234]

Hi Folks,

I want to share my settlement experience with the good people on this web site. The bottom line is CitiMortgage is extremely unsymathetic and are LIARS.

I have been reading the forums for many months and haved gained direction and hope for my situation. Two months ago, I submitted paperwork for a modification my first loan and for a short settlement for my second mortgage. A settlement is the best option for me because I no longer live in the home.

I am divorced but remain on good terms with my ex-husband. He pays over 45% of his income for the first mortgage. He lives in the home. I pay 30% for the second mortgage with CitiMortgage. I do not live in the home. I am living with a freind at the moment (can't afford to rent an apartment) We remain current on the mortgages, but desperately need helpful intervention.

I heard back on the 10% settlement offer I made to CitiMortgage. It was to low. They were looking for a 35% settlement offer of $48,000 I was told. I doubled my offer to 20% fully expecting to begin a negotiation process. Instead, the 20% offer was rejected. They increased the amount they would settle for to 67% or $85,000, no lower!

I was shocked! Why had the settlement offer I was given double in price overnight? The Manager of my account had made this decision. I was transferred to his line and spoke with him. I explained my hardship and pleaded with him to accept $48,000. I had to scrape together all my savings and borrow money from friends, but could pay the amount in cash in less than the required 10 days. His heartless reply was "I'm giving you options. You can pay the $85,000, do a short sale or foreclose on the property. I thought the purpose of the "Making Homes Affordable Program" was to help homeowners KEEP their homes?

I have been deceived by CitiMortgage. The practice of quoting two completely different settlement offers is deceptive. To have my offer made with goodwill flatly rejected is another blow.

I called the Executive Response number in hopes of continuing the negotiation with an objective party. The representative called into the settlement office and talked to another manager, who also stood firm at $85,000! He said there was nothing more he could do. Although the person was compassionate and patient, he offered no workable solution for me.

I have given up hope but if anyone can offer help in resolving my situation, please respond. Your feedback is appreciated.

[adamgamz]

WOOOOOHOOOOOOOOOOOOOOO!!!!!!!!!!!!!!!!!!!!!!!!!!!! !!!!!!!!!!!!!!!!!!! I just got my letter!!!!! $15,000.00 or 10% whichever is greater!!! I just settled 140K for 15K!!!!

THANK YOU LOANSAFE.ORG You guys are the best!!!! I'm sooo happy right now!!!!!!!!!!!!!!!!

[Hope1234]

Congratulations on your settlement! I wish you the best.

[EWM2009]

Are you keeping the house?

[adamgamz]

YES!! I'm wiring the money tomorrow, then I'm down to a 290K 1st mortgage! Yes I am keeping my home 100% That wasn't an issue at all. It never even came up.

This whole process was lightning fast, 10/26 - Nov 11th, just over 2 weeks from start to finish!