Can Citi force escrow if mod refused?

[riddlemethisbatman]

We've been working with CitiMortgage since March 2009. I was told almost immediately that we qualified and by May I was told the terms they were proposing. So, since that time, we have been waiting for the paperwork and been in regular contact with them.

Well, CitiMortgage has failed to put the terms in writing and wanted us to simply jump in the pool before making sure there was water in it. Well, Friday we found out that they had set us up for the loan mod even though we would not agree to "unknown" terms. The amount showing as our monthly payment on our online Citi mortgage account is over double the amount of our regular payment. We were told to disregard this, as it was in error.

Finally on Friday by phone, we discovered we had a deadline which we were not even aware existed. Well, we had already made our regular mortgage payment and were told we needed to pay extra by debit card, right then, to meet the loan mod amount. We don't have a debit card. I told Christopher that we would not agree to a loan mod without it being in writing. He got angry and ended up calling me a liar and stating that we had been dragging our feet!!! You've got to be kidding me!

We have always paid our own taxes and insurance timely. While we understood, unhappily, that an escrow account was required for a loan modification, we were never advised that it would be required simply for having applied until Christopher (Executive Division) told us Friday. Citi had our insurance company send back our regular homeowner's insurance payment 2 months ago and paid it themselves (we did not agree to this).

Can they force this escrow account upon us? I am afraid we are about to be chewed up and spit out. Their offer sounded too good to be true. I guess it was since they refused to put it in writing.

Any advice on the escrow or loan mod process?

[davephx]

Likewise started in March was told approved May 1st but never told any amount or paperwork just be patient calling back every few weeks and all I got was foreclosure notice till reset up in July, no paperwork till late last week - Trial mod agreement after made 3 payments.

For HAMP escrow is required.

If the offer is gross income x 31% for piti on first it is probably true.

I have talked to many trying to be helpful mod folks with never any problems reaching via 866-272-4749 vs Executive Dept. They need more folks getting out the documents and getting mods underwritten. But the front line people have been .. trying.... to be very helpful.

They are too backlogged to put in writing. You are suppose to get the Trial mod Agreement immediately although that requirement has been waived by latest directives. But I still got it last week (from July starting trial again).

[BadBobMo]

My lender also paid a full year of my home insurance (I went on line to pay it myself) and it was all ready paid. They had me skip the payment for Oct. and put my payment @ 31% for Nov., Dec., and Jan. But I'm still not 100% sure if I'am on the HAMP "Trail Period".
P.S. Taxe's were all ready paid through escrow.
What doe's everyone think?

[davephx]

Back in July when back on HAMP (never knew I was as of May with no amounts) the first payment was due 30 days after trial was effective.

But now reports you need to pay first payment immediately.