Would I qualify for a loan mod? - Loan Modification Forum

Sherri · 06-12-2009, 04:10 AM

Greetings!

I'm very happy to have found ths forum and hope you can answer my questions. I'll start w/ filling you in on my story.

I bought my home (my first home) 5 years ago. It's on Maui and yes the cost of homes is quite high out here! Countrywide is my lender, although I guess it's now Bank of America. My house cost 770k and I only had to put 10% down, which I did, and then got a 1st - 620k and second - 73k mortgage. I had to go w/ the cheapest rate to afford it which was 4 7/8% for a 5 yr arm. The 2nd was cheap at first, but turned out to be variable and went up. I eventually put it on 3.9% fixed rate credit card.

(I do have good credit and do not want to wreck it. I have been making all my mortgage payments, but often by way of borrowing money.)

Last year in July/Aug I refied at year 4 because I was told stated income loans were going away and that's what I had to get in and what I needed to stay in. I got one of the last ones - another 5 year arm @ 5.5%, but it cost me a lot in points.

The big crash happened a month later. I'm a self employeed jeweler and it was always a stretch to pay the mortgage payment (was 2500, now 2870) that's just for the first. Since the economic downturn its become downright scary. People have stopped buying much jewelry. I'm now switching to making silver since it's in a lower price range, but I have to sell a lot of it to make the bills. That hasn't quite happened yet. To make ends meet I've taken on a roommate, gotten rid of my health insurance, never go out to eat, don't buy anything unless I absolutely need it, been selling things on craigs list, got a loan from my parents and basically been doing everything I can think of.

My property did come w/ a rental - a cottage - and luckily I've managed to keep it filled although I had to lower the rent this month. I get 1800 from my 2 renters but it's still a struggle to pay the rest of mortgage (1 & 2 ) and all the other house bills.

My home went up to just over 1M a few years back, but now it's down around 750? 800? I'm not sure if I'd get that. Nothing is selling lately. If I did get 750k, after realty commissions I'd have about 25k. (I owe 675k.)

The clincher is that my shop - which was a big build out in the garage - cost 25k to set up. If I sell and rent, what do I do for work? I can't exactly build out a rental. So, I think it's best I try to hang on and ride it out til the market comes back and then sell. Problem is - what if it doesn't come back? Or - how long will it take and can I hold on that long? Can I keep the renters? Will people stop buying jewelry altogether? How bad will it get?

So, my first question is do you think I'd qualify for a loan mod? I know I'm Fannie May, my income has dropped due to the economy, I'm within that 20% debt to equity ratio, my income varies greatly from month to month, but in general - my mortgage is probably 50% to 75% of my income.

2)How do you present your income to them when my sales/ gross is not my net income. I have to pay for gold, silver, gems etc which represent a big part of the sale. Also, can you count renters as income? I think I can w/ the cottage, but not sure about the roomate in the house?

3)Should I put the 2nd mortgage back on my home equity line at Bank of Hawaii where it was- in order for CW/BoA to recognize it as such. Maybe they don't see it as a second if it's on a card.

4)Could my income be so low that they say - you don't qualify because you are not making enough to afford that house - sell it. In other words, do I need to look like I'm not a big risk, that w/ a little modification they can get me to the 31% ratio.

5) I've noticed you can pay a mortgage agent to help you w/ a mod or hire a lawyer - or you can go directly to the lender for free, or go to FICA site and they will rep you, or as I read this forum see a lot of people going to NACA. I don't know what that is and is it in Hawaii? What do you recommend? Is it better to have someone rep you? Will they get a better deal? Who do you recommend?

6) I did call CW awhile back and started asking questions about loan mods. I realized pretty quick I wanted more info before I started playing ball w/ them so I never went any further. One thing they were after was some money - I think 2 or 3 months of mortgage payments - paid up front as part of getting the loan mod. What is this for? Do you recommend paying them this? I don't have money available to do this but could sell IRAs or borrow. Please tell me pros and cons to giving them this money.

I think that's enough questions to start with. Looking forward to your advice.

Sherri

sarge · 06-12-2009, 04:38 AM

Good morning Sherri or should I say Aloha? Welcome to the forum.

You will find a lot of info from people all over the country here on this site. CW/BofA people have told many here that they had to be behind a couple of months before they would help. They have even suggested to sell things and take on renters to help pay the mortgage as well as forget about paying the other bills and give them their money. That is their biggest concern, not you.

Here is a link to the NACA website Home Save Program

https://www.naca.com/refinance/refinanceTenStep.jsp

If this is your only property that you own they may be able to help. They are HUD approved and their services are free. You can check if they have any seminars in your state and attend a workshop or set up a phone counseling session. They go over your situation and let you know if they need other documents and will set up other sessions as needed. It could take a little while to get this done but has been worth the effort for many here.

Good luck to you.

Knightfal · 06-12-2009, 04:41 AM

Before paying a lawyer or anyone else. try using NACA, they are a HUD approved agency that may be able to help you modify your loan with CW.

Sherri · 06-12-2009, 12:59 PM

Aloha and thanks for the reply!

I went to NACA site and see that the first thing they need/want is paystubs.
Well I'm self employeed and don't have any paystubs. What I have are sales that get deposited into my business checking account. This account then pays for the materials and services needed to make and sell the product. I use this same account to pay my personal bills including the mortgage. I do not take a salary. So the amount available for my own use varies each month. Especially now since sales are less frequent.

Are any of you familiar w/ how I present the information in this case? I can have my bookeeper supply info from quickbooks, but I'm wondering what exactly they want to see and in what format?

Sherri

sarge · 06-12-2009, 01:08 PM

Sherri,

You can still go through NACA. I think you can use a P&L statement or some others here have used statements and circled income and underlined expenses. Something like that. Someone will come along that is self employed and better explain it. It will still work.

sarge · 06-12-2009, 01:20 PM

Here is a link to another thread that might help.

http://www.loansafe.org/forum/countr...html#post87251

Sherri · 06-12-2009, 01:42 PM

Thank you!

Yes that's what I needed to know. I can circle and underline income and expenses on bank statements and supply P&L.

Now what about the 2nd mortgage that was at Bank of Hawaii as a home equity line and i put on a credit card because it was locked at a lower rate?
Is there any reason I should move it back to the HE line at bank. Would CW/BoA see it as some sort of bad debt if it's on a card and not recognize it as part of the original mortgage?

Sherri

sarge · 06-12-2009, 01:51 PM

That is not seen as bad debt. It is part of your expenses and would be taken as part of the debt to income. NACA counselors go over all those and do a credit check while you have the phone consultation.

Sherri · 06-12-2009, 02:08 PM

Thanks Sarge

What about this 2 or 3 months of payments CW wants you to front them?
What is this for? In case you miss payments? How important is it to come up w/ this money? Does it help you get the mod? What are pros and cons?

Sherri

sarge · 06-12-2009, 02:23 PM

Sherri,

They offered me to put my 2 months of missed payments on to the end of my loan and leave me at the same rate with it set to adjust in 3 years another $500. That's why we said go with NACA. No fees or upfront costs.

Sherri · 06-12-2009, 02:45 PM

I haven't missed any payments, so this money they want is incase I do?
3 mo x 2870 = 8610. That's a lot of money! Do I beg and borrow to supply them w/ this? Does this make a difference in getting the loan mod?

Also, CW told me the loan mod is just for a few years. Some people seem to have gotten 30yr fixed loan mod. What is typical? Or is there nothing typical and it all varies.

Sherri

Sherri · 06-12-2009, 02:47 PM

Sarge,

Ok, I just reread your post. So, you are saying use NACA and they won't be asking for this money. If I go direct with CW/BoA they do - correct?

CW California · 06-12-2009, 02:49 PM

Sherri, that doesn't sound right on a modification if you are current. I wonder if they were trying to refinance your loan with some funds up front to drop the interest. Be careful!

sarge · 06-12-2009, 02:57 PM

Quote:

Originally Posted by CW California

Sherri, that doesn't sound right on a modification if you are current. I wonder if they were trying to refinance your loan with some funds up front to drop the interest. Be careful!

Sherri,

It could be like CW says in the quote. Maybe they are trying to do a refinance. Not sure though because I was never asked for such.

Sherri · 06-12-2009, 03:08 PM

I never made it to an actual loan mod officer. Maybe I got someone who didn't know what she was talking about and was use to dealing w/ people who owed on back payments.

I'm filling out the paperwork for NACA. I'll see how that goes.

Sherri

Tess20 · 06-12-2009, 03:28 PM

Sherri,
I spoke to a rep at BOA today about loan modification as is outlined under the govt (Obama) plan. I'd tried to go through Countywide when they were still CW, and got nothing but a run around, so gave up. As a last ditch effort to see if I could get a mod, I thought maybe BOA will be doing things differently, so I called and took one last stab at it.

Luckily I got someone right away, who knew exactly what I was talking about and about the plan to modify/reduce one's principal and monthly payments. SHOCK!!! I was asked how much could we pay each month and told that we may even qualify to pay less than that figure when all's said and done. So, we're back on the bandwagon and will be faxing out financials etc to them...they give us 48 hours from the time we call to do so, but.... to see if we can get a modification that will actually help us stay put. This was the FIRST time in over 4 months of calling, that I actually got someone who KNEW what was what...I'm still gobsmacked!

The first # I called was on my statement and didn't work out well, but the second # I used went through. (866) 653-6183. You'll have to go through an automated voice thing and when it asks you to, in brief summary, to tell them what you're calling about, state, "loan modification", you may get someone in another dept at first, so be sure to ask for a MODIFICATION specialist, and they'll transfer you.

We were told that once the ball was rolling and if we were 'accepted', we'd go through a three month trial period at the new payment. Once we got through that, then our reduced payment would be permanent for the life of the loan.Were told that the time frame between initial contact and review of our 'stuff' for modification, to a final decision is 90 days. Also told that doing this would ding our credit rating, but we figure, so will a foreclosure, so no matter what, it's going to get smacked. Better to be able to stay in the house with a bruised credit rating than out on the street with a bigger bruised credit rating and try to qualify for an apt!!

So, we'll see, in the next 3 mos, if we'll be able to keep our home or not...

I'm just amazed that there was someone there who KNEW about modification and didn't try to sell us a lame refi or come up with some excuse or obnoxious suggestion.

rozuki · 06-12-2009, 05:19 PM

I am very curious to see if it works for you....but for what it's worth, I don't trust anything phone reps at CW/BofA say. I also spoke to people who sounded like they knew what they were talking about in the many months of phone calls and faxing paperwork to CW! I even got 3 ridiculous loan mods fedexed to me in one week from CW......

I went with NACA and 54 days later, I now have the modification approval at 2% for life of the loan...no trial payments or any of that BS....

So be very wary!!!

Tess20 · 06-12-2009, 06:45 PM

The trial period was mentioned on the Making Home Affordable site as well. As I mentioned to the Rep, we've already gone through previous refi attempts/run arounds with CW and that did not get the payments down enough, so the Rep went into modification mode suggesting they may be able to lower principal. Saving us $50 a month ain't going to cut it. When dealing with CW, they did everything possible to stay away from modifications, instead, trying to get us to agree to some insane refi scheme which we nixed.

We'll have to give it a whirl with BOA and see what happens. Not going to hold my breath, but it should be interesting nonetheless. If it works out for us, fantastic. If not, which the suspicious in me says it won't, I'm going to continue packing while we wait the outcome.

sarge · 06-12-2009, 07:11 PM

Tess,

Did you ever finish the process with NACA? I hate to think that you would walk away without trying them.

CW California · 06-12-2009, 08:51 PM

Quote:

Originally Posted by Tess20

The trial period was mentioned on the Making Home Affordable site as well. As I mentioned to the Rep, we've already gone through previous refi attempts/run arounds with CW and that did not get the payments down enough, so the Rep went into modification mode suggesting they may be able to lower principal. Saving us $50 a month ain't going to cut it. When dealing with CW, they did everything possible to stay away from modifications, instead, trying to get us to agree to some insane refi scheme which we nixed.

We'll have to give it a whirl with BOA and see what happens. Not going to hold my breath, but it should be interesting nonetheless. If it works out for us, fantastic. If not, which the suspicious in me says it won't, I'm going to continue packing while we wait the outcome.

If they are sending you the Making Home Affordable modification package, which it doesn't sound like they are, and you are current going into the trial period, they are required to report you current during the trial period. What CW now BofA (same people) has been doing is offering these trial period mods, dinging credit, then offering ridiculous modifications after the three months. These are not the Making Home Affordable Plans.

Tess20 · 06-12-2009, 08:57 PM

Quote:

Originally Posted by sarge

Tess,

Did you ever finish the process with NACA? I hate to think that you would walk away without trying them.

I couldn't get the info to them online. I kept getting a msg there was a problem (I was scanning the info and trying to send the file online to them - wasn't working) and when I'd call the telephone # listed for help, I got an automated msg that said something like, "Sorry you're having trouble. Goodbye" then get disconnected, so I kinda gave up on them too after several tries.

I can see why so many of us just give up. It's almost not worth the chest pains to have to go through this rigamarole and get nowhere.

So, no we never even got to step one with NACA, we just started packing.

Tess20 · 06-12-2009, 09:02 PM

Quote:

Originally Posted by CW California

If they are sending you the Making Home Affordable modification package, which it doesn't sound like they are, and you are current going into the trial period, they are required to report you current during the trial period. What CW now BofA (same people) has been doing is offering these trial period mods, dinging credit, then offering ridiculous modifications after the three months. These are not the Making Home Affordable Plans.

We are presently current, and have not yet submitted any financial stuff to them yet. What we were told is that they report to the credit agencies a "slow pay" whatever that means, but will still affect our rating. The rep did call it the Making Home Affordable Plan when we were talking but one never knows anymore with these companies.

SillyWorld · 06-12-2009, 09:46 PM

Quote:

Originally Posted by Tess20

I couldn't get the info to them online. I kept getting a msg there was a problem (I was scanning the info and trying to send the file online to them - wasn't working) and when I'd call the telephone # listed for help, I got an automated msg that said something like, "Sorry you're having trouble. Goodbye" then get disconnected, so I kinda gave up on them too after several tries.

I can see why so many of us just give up. It's almost not worth the chest pains to have to go through this rigamarole and get nowhere.

So, no we never even got to step one with NACA, we just started packing.

With NACA you need to make sure your FAX is set to no color, and if you are on one of those Fiber Optic or internet phones the fax may not send, I wouldd suggest to go to a friends house and fax on a old fashioned DSL line

sarge · 06-13-2009, 05:32 AM

Tess,

You should take the docs to a friends house like SillyWorld suggested or OfficeMax,Staples or somewhere. You gotta give it a shot. Don't give up until you have no other option.

rozuki · 06-13-2009, 05:48 AM

Quote:

Originally Posted by sarge

Tess,

You should take the docs to a friends house like SillyWorld suggested or OfficeMax,Staples or somewhere. You gotta give it a shot. Don't give up until you have no other option.

I agree with Sarge and SillyWorld....don't give up on NACA yet! If you can't fax from your home go to Kinko's or Staples.

I scanned my docs as pdf's and uploaded them. Scanned everything in as b/w text. Make sure you are not scanning your docs as color graphics....

Good Luck!

06-12-2009, 04:10 AM	#1 (permalink)
Sherri Member Join Date: Jun 2009 Posts: 17 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Would I qualify for a loan mod? Greetings! I'm very happy to have found ths forum and hope you can answer my questions. I'll start w/ filling you in on my story. I bought my home (my first home) 5 years ago. It's on Maui and yes the cost of homes is quite high out here! Countrywide is my lender, although I guess it's now Bank of America. My house cost 770k and I only had to put 10% down, which I did, and then got a 1st - 620k and second - 73k mortgage. I had to go w/ the cheapest rate to afford it which was 4 7/8% for a 5 yr arm. The 2nd was cheap at first, but turned out to be variable and went up. I eventually put it on 3.9% fixed rate credit card. (I do have good credit and do not want to wreck it. I have been making all my mortgage payments, but often by way of borrowing money.) Last year in July/Aug I refied at year 4 because I was told stated income loans were going away and that's what I had to get in and what I needed to stay in. I got one of the last ones - another 5 year arm @ 5.5%, but it cost me a lot in points. The big crash happened a month later. I'm a self employeed jeweler and it was always a stretch to pay the mortgage payment (was 2500, now 2870) that's just for the first. Since the economic downturn its become downright scary. People have stopped buying much jewelry. I'm now switching to making silver since it's in a lower price range, but I have to sell a lot of it to make the bills. That hasn't quite happened yet. To make ends meet I've taken on a roommate, gotten rid of my health insurance, never go out to eat, don't buy anything unless I absolutely need it, been selling things on craigs list, got a loan from my parents and basically been doing everything I can think of. My property did come w/ a rental - a cottage - and luckily I've managed to keep it filled although I had to lower the rent this month. I get 1800 from my 2 renters but it's still a struggle to pay the rest of mortgage (1 & 2 ) and all the other house bills. My home went up to just over 1M a few years back, but now it's down around 750? 800? I'm not sure if I'd get that. Nothing is selling lately. If I did get 750k, after realty commissions I'd have about 25k. (I owe 675k.) The clincher is that my shop - which was a big build out in the garage - cost 25k to set up. If I sell and rent, what do I do for work? I can't exactly build out a rental. So, I think it's best I try to hang on and ride it out til the market comes back and then sell. Problem is - what if it doesn't come back? Or - how long will it take and can I hold on that long? Can I keep the renters? Will people stop buying jewelry altogether? How bad will it get? So, my first question is do you think I'd qualify for a loan mod? I know I'm Fannie May, my income has dropped due to the economy, I'm within that 20% debt to equity ratio, my income varies greatly from month to month, but in general - my mortgage is probably 50% to 75% of my income. 2)How do you present your income to them when my sales/ gross is not my net income. I have to pay for gold, silver, gems etc which represent a big part of the sale. Also, can you count renters as income? I think I can w/ the cottage, but not sure about the roomate in the house? 3)Should I put the 2nd mortgage back on my home equity line at Bank of Hawaii where it was- in order for CW/BoA to recognize it as such. Maybe they don't see it as a second if it's on a card. 4)Could my income be so low that they say - you don't qualify because you are not making enough to afford that house - sell it. In other words, do I need to look like I'm not a big risk, that w/ a little modification they can get me to the 31% ratio. 5) I've noticed you can pay a mortgage agent to help you w/ a mod or hire a lawyer - or you can go directly to the lender for free, or go to FICA site and they will rep you, or as I read this forum see a lot of people going to NACA. I don't know what that is and is it in Hawaii? What do you recommend? Is it better to have someone rep you? Will they get a better deal? Who do you recommend? 6) I did call CW awhile back and started asking questions about loan mods. I realized pretty quick I wanted more info before I started playing ball w/ them so I never went any further. One thing they were after was some money - I think 2 or 3 months of mortgage payments - paid up front as part of getting the loan mod. What is this for? Do you recommend paying them this? I don't have money available to do this but could sell IRAs or borrow. Please tell me pros and cons to giving them this money. I think that's enough questions to start with. Looking forward to your advice. Sherri

06-12-2009, 04:38 AM	#2 (permalink)
sarge Senior Member Join Date: Mar 2009 Location: Coastal NC Posts: 307 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Would I qualify for a loan mod? Good morning Sherri or should I say Aloha? Welcome to the forum. You will find a lot of info from people all over the country here on this site. CW/BofA people have told many here that they had to be behind a couple of months before they would help. They have even suggested to sell things and take on renters to help pay the mortgage as well as forget about paying the other bills and give them their money. That is their biggest concern, not you. Here is a link to the NACA website Home Save Program https://www.naca.com/refinance/refinanceTenStep.jsp If this is your only property that you own they may be able to help. They are HUD approved and their services are free. You can check if they have any seminars in your state and attend a workshop or set up a phone counseling session. They go over your situation and let you know if they need other documents and will set up other sessions as needed. It could take a little while to get this done but has been worth the effort for many here. Good luck to you.

06-12-2009, 04:41 AM	#3 (permalink)
Knightfal Senior Member Join Date: Feb 2009 Location: PA Posts: 37 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Would I qualify for a loan mod? Before paying a lawyer or anyone else. try using NACA, they are a HUD approved agency that may be able to help you modify your loan with CW.

06-12-2009, 12:59 PM	#4 (permalink)
Sherri Member Join Date: Jun 2009 Posts: 17 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Would I qualify for a loan mod? Aloha and thanks for the reply! I went to NACA site and see that the first thing they need/want is paystubs. Well I'm self employeed and don't have any paystubs. What I have are sales that get deposited into my business checking account. This account then pays for the materials and services needed to make and sell the product. I use this same account to pay my personal bills including the mortgage. I do not take a salary. So the amount available for my own use varies each month. Especially now since sales are less frequent. Are any of you familiar w/ how I present the information in this case? I can have my bookeeper supply info from quickbooks, but I'm wondering what exactly they want to see and in what format? Sherri

06-12-2009, 01:08 PM	#5 (permalink)
sarge Senior Member Join Date: Mar 2009 Location: Coastal NC Posts: 307 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Would I qualify for a loan mod? Sherri, You can still go through NACA. I think you can use a P&L statement or some others here have used statements and circled income and underlined expenses. Something like that. Someone will come along that is self employed and better explain it. It will still work.

06-12-2009, 01:20 PM	#6 (permalink)
sarge Senior Member Join Date: Mar 2009 Location: Coastal NC Posts: 307 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Would I qualify for a loan mod? Here is a link to another thread that might help. http://www.loansafe.org/forum/countr...html#post87251

06-12-2009, 01:42 PM	#7 (permalink)
Sherri Member Join Date: Jun 2009 Posts: 17 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Would I qualify for a loan mod? Thank you! Yes that's what I needed to know. I can circle and underline income and expenses on bank statements and supply P&L. Now what about the 2nd mortgage that was at Bank of Hawaii as a home equity line and i put on a credit card because it was locked at a lower rate? Is there any reason I should move it back to the HE line at bank. Would CW/BoA see it as some sort of bad debt if it's on a card and not recognize it as part of the original mortgage? Sherri

06-12-2009, 01:51 PM	#8 (permalink)
sarge Senior Member Join Date: Mar 2009 Location: Coastal NC Posts: 307 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Would I qualify for a loan mod? That is not seen as bad debt. It is part of your expenses and would be taken as part of the debt to income. NACA counselors go over all those and do a credit check while you have the phone consultation.

06-12-2009, 02:08 PM	#9 (permalink)
Sherri Member Join Date: Jun 2009 Posts: 17 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Would I qualify for a loan mod? Thanks Sarge What about this 2 or 3 months of payments CW wants you to front them? What is this for? In case you miss payments? How important is it to come up w/ this money? Does it help you get the mod? What are pros and cons? Sherri

06-12-2009, 02:23 PM	#10 (permalink)
sarge Senior Member Join Date: Mar 2009 Location: Coastal NC Posts: 307 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Would I qualify for a loan mod? Sherri, They offered me to put my 2 months of missed payments on to the end of my loan and leave me at the same rate with it set to adjust in 3 years another $500. That's why we said go with NACA. No fees or upfront costs.

06-12-2009, 02:45 PM	#11 (permalink)
Sherri Member Join Date: Jun 2009 Posts: 17 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Would I qualify for a loan mod? I haven't missed any payments, so this money they want is incase I do? 3 mo x 2870 = 8610. That's a lot of money! Do I beg and borrow to supply them w/ this? Does this make a difference in getting the loan mod? Also, CW told me the loan mod is just for a few years. Some people seem to have gotten 30yr fixed loan mod. What is typical? Or is there nothing typical and it all varies. Sherri

06-12-2009, 02:47 PM	#12 (permalink)
Sherri Member Join Date: Jun 2009 Posts: 17 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Would I qualify for a loan mod? Sarge, Ok, I just reread your post. So, you are saying use NACA and they won't be asking for this money. If I go direct with CW/BoA they do - correct?

06-12-2009, 02:49 PM	#13 (permalink)
CW California Senior Member Join Date: Feb 2009 Location: SoCal Posts: 1,127 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Would I qualify for a loan mod? Sherri, that doesn't sound right on a modification if you are current. I wonder if they were trying to refinance your loan with some funds up front to drop the interest. Be careful!

06-12-2009, 03:08 PM	#15 (permalink)
Sherri Member Join Date: Jun 2009 Posts: 17 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Would I qualify for a loan mod? I never made it to an actual loan mod officer. Maybe I got someone who didn't know what she was talking about and was use to dealing w/ people who owed on back payments. I'm filling out the paperwork for NACA. I'll see how that goes. Sherri

06-12-2009, 03:28 PM	#16 (permalink)
Tess20 Senior Member Join Date: Apr 2009 Posts: 47 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Would I qualify for a loan mod? Sherri, I spoke to a rep at BOA today about loan modification as is outlined under the govt (Obama) plan. I'd tried to go through Countywide when they were still CW, and got nothing but a run around, so gave up. As a last ditch effort to see if I could get a mod, I thought maybe BOA will be doing things differently, so I called and took one last stab at it. Luckily I got someone right away, who knew exactly what I was talking about and about the plan to modify/reduce one's principal and monthly payments. SHOCK!!! I was asked how much could we pay each month and told that we may even qualify to pay less than that figure when all's said and done. So, we're back on the bandwagon and will be faxing out financials etc to them...they give us 48 hours from the time we call to do so, but.... to see if we can get a modification that will actually help us stay put. This was the FIRST time in over 4 months of calling, that I actually got someone who KNEW what was what...I'm still gobsmacked! The first # I called was on my statement and didn't work out well, but the second # I used went through. (866) 653-6183. You'll have to go through an automated voice thing and when it asks you to, in brief summary, to tell them what you're calling about, state, "loan modification", you may get someone in another dept at first, so be sure to ask for a MODIFICATION specialist, and they'll transfer you. We were told that once the ball was rolling and if we were 'accepted', we'd go through a three month trial period at the new payment. Once we got through that, then our reduced payment would be permanent for the life of the loan.Were told that the time frame between initial contact and review of our 'stuff' for modification, to a final decision is 90 days. Also told that doing this would ding our credit rating, but we figure, so will a foreclosure, so no matter what, it's going to get smacked. Better to be able to stay in the house with a bruised credit rating than out on the street with a bigger bruised credit rating and try to qualify for an apt!! So, we'll see, in the next 3 mos, if we'll be able to keep our home or not... I'm just amazed that there was someone there who KNEW about modification and didn't try to sell us a lame refi or come up with some excuse or obnoxious suggestion.

06-12-2009, 05:19 PM	#17 (permalink)
rozuki Senior Member Join Date: Mar 2009 Location: Long Island NY Posts: 356 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Would I qualify for a loan mod? I am very curious to see if it works for you....but for what it's worth, I don't trust anything phone reps at CW/BofA say. I also spoke to people who sounded like they knew what they were talking about in the many months of phone calls and faxing paperwork to CW! I even got 3 ridiculous loan mods fedexed to me in one week from CW...... I went with NACA and 54 days later, I now have the modification approval at 2% for life of the loan...no trial payments or any of that BS.... So be very wary!!!

06-12-2009, 06:45 PM	#18 (permalink)
Tess20 Senior Member Join Date: Apr 2009 Posts: 47 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Would I qualify for a loan mod? The trial period was mentioned on the Making Home Affordable site as well. As I mentioned to the Rep, we've already gone through previous refi attempts/run arounds with CW and that did not get the payments down enough, so the Rep went into modification mode suggesting they may be able to lower principal. Saving us $50 a month ain't going to cut it. When dealing with CW, they did everything possible to stay away from modifications, instead, trying to get us to agree to some insane refi scheme which we nixed. We'll have to give it a whirl with BOA and see what happens. Not going to hold my breath, but it should be interesting nonetheless. If it works out for us, fantastic. If not, which the suspicious in me says it won't, I'm going to continue packing while we wait the outcome.

06-12-2009, 07:11 PM	#19 (permalink)
sarge Senior Member Join Date: Mar 2009 Location: Coastal NC Posts: 307 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Would I qualify for a loan mod? Tess, Did you ever finish the process with NACA? I hate to think that you would walk away without trying them.

06-13-2009, 05:32 AM	#24 (permalink)
sarge Senior Member Join Date: Mar 2009 Location: Coastal NC Posts: 307 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Would I qualify for a loan mod? Tess, You should take the docs to a friends house like SillyWorld suggested or OfficeMax,Staples or somewhere. You gotta give it a shot. Don't give up until you have no other option.

Thread Tools
Show Printable Version Email this Page
Display Modes
Linear Mode Switch to Hybrid Mode Switch to Threaded Mode