Approved and denied. The Citi Rollercoaster

[Hellhammer43]

Hi this story is not unlike others on this site but the more posts about it the better. We applied for HAMP online and were told to call 1 866 272 4749 to provide more info. When we called they asked for the same information over again and then informed me we didnt qualify due to having too much equity in our house.

The next morning I was contacted by Dana who asked for all the same information then after being put on hold for a few min. She came back on and said you are approved. Your new payment is 1041.98 your new interest rate is 3.125% she then asked do I want to proceed. I said yes. I then asked if I should pay my regular payment due on the 1st of Nov. SHE SAID DO NOT PAY OR I MAY HAVE TO MAKE TWO PAYMENTS. Wait for the paper work then pay the modified amount.
After 2 weeks of waiting i called 10/30 to find out once again if I should make my payment as it is due. Christopher stated that I was not approved and should not have been told to stop making payments. He stated once again that the reason was due to too much equity in the account. He was to call me back and never did.

Today I called and spoke with Beatrice who at first said oh yes you were approved at the rate and payment stated before. She then said I want to run this by my supervisor. She came back on the line and said you DEFINITELY are NOT approved. After asking why she said she didn't have access to that information. I told her others there did and she told me that was untrue. When I asked if there was a dispute process she told me there wasn't. When I asked if I could contact Fannie Mae she said No. She stated " The computer program is tied directly into the government. We have no access to the results other than approved or denied and it wont share your personal information with us. Thats good because you dont want other people having your personal information." She also stated that the program can approve you and give a new payment and interest rate even though you dont qualify.

For anyone dealing with this back and forth, as a game just try mentioning any knowledge of the program. They insantly go from nice and sweet to trying to get you off the phone. I am never rude, condescinding or un-professional.

Any advice from others is GREATLY appreciated. Sorry for the long post

[MyHAMP]

So they run an NPV-test over the phone in minutes? Truely amazing..

[caldwellb02]

It's baloney. Call again. I don't know the Citi phone numbers, but this forum must have some people up their food chain you can call.

Also - we have got to get this message out to everyone. The banks are screwing with us big time. Sign the petition on this site. Send faxes to your senators and congressment. File complaints with the attorney general of your state. This is absolutely criminal and has got to stop!!!!!

[Needanewjob]

I see a lot of mods fail due to having equity. It's crap cause what can you do with the equity?? I think this will change.. If your not on the trial now, try again next month. Guidelines change all the time.. But here are a few options.... Call and ask what the property value is, sometimes the property values are incorrect. If you have anything that shows the property value is, fax this in to the research dept.. 866-272-4749 will provide this fax number...

Also you can fill out the workable solutions package, update your hardship as being turned down for hamp due to equity... Fax that package in, yes all the same information. Try and get a negotiator assigned to your account, who may be able to look at your situation on a more individual basis and work out something like a trad modification (must be freddie or fannie)... Will take at least 30 days to get someone assigned to your account, which is a long time, but hopefully the guidelines improve by then..

[Hellhammer43]

I should have said as well, Citi customer service lists my LTV as 86.9%. Value 322,845 and principal balance of aprox 280,000. When I tried to confirm these numbers with loss mitigation I was told they don't have that information. I will definately try again thank you for the advise!!!!!

F.Y.I Needanewjob is absolutly correct about the guidelines changing. Nov. 1st all freddie mac servicers are required to use their approval program. Maybe that will help some????

[Needanewjob]

Originally Posted by Hellhammer43

I should have said as well, Citi customer service lists my LTV as 86.9%. Value 322,845 and principal balance of aprox 280,000. When I tried to confirm these numbers with loss mitigation I was told they don't have that information. I will definately try again thank you for the advise!!!!!

F.Y.I Needanewjob is absolutly correct about the guidelines changing. Nov. 1st all freddie mac servicers are required to use their approval program. Maybe that will help some????

It will help.. Keep at it, you will get on the program.. Do you think the 322,845 is accurate?? That's probably why it failed the tool.. You'll be fine.. The process is such a mess anyway it might be better to get on the trial period later, assuming the process gets better. I know that is a big assumption but it can't get much worse, right?

[Hellhammer43]

The 322,845 is accurate. When I called loss mitigation back they said Citi had my Broker Price Opinion value as 358,000 but the guy i talked to said basically what you said in your last post that even lowering it to 322,845 wont make a difference it will still fail. Im thinking about trying for the home affordable refinance option or a traditional modification as well. Any thoughts on those options. I don't think a traditional refinance will be an option due to my wife losing her job.

[Needanewjob]

Originally Posted by Hellhammer43

The 322,845 is accurate. When I called loss mitigation back they said Citi had my Broker Price Opinion value as 358,000 but the guy i talked to said basically what you said in your last post that even lowering it to 322,845 wont make a difference it will still fail. Im thinking about trying for the home affordable refinance option or a traditional modification as well. Any thoughts on those options. I don't think a traditional refinance will be an option due to my wife losing her job.

If the only thing keeping you from that mod is property value, then traditional modification may be the best option.

home affordable refinance is for people that are current on there loan, good payment history, fannie or freddie investor, and finally it's for people that have negative equity... The idea for the Home affordable refinance is to give people a chance to refinance even though they have negative equity... Wouldn't work for you, LTV must exceed 125 percent...

Regular refinance: I'd guess debt to income ratio would be a problem since you are having a hardship...

Go with Trad or wait for things to change.

[Sunbeam]

I agree with Needanewjob....go with a traditional mod...there seems to be a lot more flexibility with it. Get in touch with Freddie as they are you investor and tell them you need their help to get the ball rolling....Good Luck

[flagirl4444]

Actually, the HARP is for LTV up to 125%, not to exceed 125%. You do have to qualify the same as with any traditional refinance as far as credit and income, but the LTV can be up to 125%.

[Hellhammer43]

This is in regards to the harp from the govt. website.
Tally to date 4 yes
4 no
I'm calling back in a few minutes to get a new answer.

The program is available to
homeowners with a first loan, owned or guaranteed
by Fannie Mae or Freddie Mac, that is 80-125% of the
value of the home.
Making Home Affordable - Asked and Answered

[langlang]

Originally Posted by flagirl4444

Actually, the HARP is for LTV up to 125%, not to exceed 125%. You do have to qualify the same as with any traditional refinance as far as credit and income, but the LTV can be up to 125%.

That's sort of harsh. So you have to have LTV of 101 to 125% basically.

I can understand why the program is for those without equity, but I wonder where the 125% cap is from. Depending on where and when you bought, your LTV could be >125% and that is totally out of your control.

Maybe the government figures that for those loans, a regular in-house mod would seem to be already financially prudent for the bank.

[Hellhammer43]

Update
I called Citi again and was told that previous reps were wrong in saying that I was denied due to too much equity. This time they said it was due to not enough income. The lady I was dealing with went over my numbers again and then said I did qualify. This time she gave me a new interest rate, payment amount and an approval number also she gave me a start date of 12/1/2009. She said the paperwork would be here 2-3 weeks. The strange part is I called back a week later to find out about paying my regular Nov. payment. I have never been late but my pay check fell a little late in the month this time. When I called to make my usual payment the lady on the phone said dont pay my normal payment and wait till Dec. to pay the modified amount. She said the computer qualified me because I showed up as delinquent (even though it was only 3 days past due). So now i will be 30 days past due when I make the modified payment in Dec. Does this sound odd to anyone else?