Questions for the experts on my MHA Mod.

[taylor44]

A little background:
I was late on 2 payments.
Freddie Mac is the owner.
I hired a person to take care of my docs to be sent to BoA for a Mod. before I was late.
BoA received my docs 3-30-09.
On 6-13-09 I received a Fed Ex from Home Retention Div. Broomfield CO.
It was MHA Mod. trial program from BoA.
All docs requested were sent immediately.
All 3 trial payments were on time.
All additional docs requested were sent many times.
My trial period was over 9-12-09 as all payments were made.
On 9-21-09 BoA calls requesting more docs. I sent them immediately.
They acknowledged receipt of all docs sent.
On 9-30-09 BoA calls requesting more docs that they already had several times.

Yesterday I went to the Freddie Mac site to read about the MHA Mod Program.
Here is what Freddie Mac says:
"If you are eligible, your lender WILL offer you a three month trial period at a new mortgage payment amount" Please note: I had to be eligible because I received the MHA trial program.
"To successfully complete this trial period, you will need to make three monthly payments on time at the new payment amount" Please note: All payments were on time.
Trial period successfully completed 9-12-09
"Once you've successfully completed the three month trial period, your mortgage lender WILL permanently modify your mortgage"

This indicates to me that my Mod is done, or am I missing something?
Thanks

[ama125]

I know that any documents you've sent in cannot be more than 90 days old at the time when the modification is to be made permanent (and there are lots of issues around getting the permanent mod). Is the info you are/have submitted the same info as sent previously or is it the newest, most current, data available? There has also been talk recently of a kind of glitch with Freddie and Fannie actually approving permanent HAMP mods. I would not assume yours is permanent until you have paperwork stating to that effect. If you have not done so already, call BofA to see what is going on. Many people are being asked to make additional monthly trial payments as things are going so slowly. Good luck!

[davephx]

The directives are not being followed and their is no enforcement provision.

You are at the mercy of the banks for the permanent mod - that is the huge problem we all face even if made timely the 3 payments they can find something wrong in the final documentation they don't like deny you and not ever tell you why.

That is the mess we are in. A very good HAMP program is falling apart nationally because servicers seem to be doing all they can to make it fail and not to mods. THere are some good exceptions but again the issue is there is no way to enforce the directives coming from Fannie/Freddie/Treasury.

Contact media, Congress and tell the story.. and support "Preserving Homes and Communities Act of 2009"

Info:Great Bill to address our issues but will it be false hope?
Important details of its HOPE for us. Trying to find reporting that is more than just the press release all the media is reporting.

So far no bill number or exact copy but the details are useless if it doesn't get a committee hearing. One site supposedly has it but you have to subscribe for $510/yr at Congressnow.com

It was introduced by Senators Durbin, Whitehouse, Merkley, along with its sponsor Jack Reed all Democrats. Merkley and Reed sit on the Senate Banking Committee, which has jurisdiction over housing issues. (reports WSJ)

The proposal is being widely reported on in local and national media but what only a few are reporting sadly is:

Unfortunately, Durbin's mortgage modification idea has been placed on the back burner. Durbin isn't backing down, telling reporters yesterday that "it’s long past time for the Senate to step up to keep families in their homes and to help lead the way toward economic recovery.” Source: Durbin, Colleagues Push New Housing Bill | Progress Illinois
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Walt Schmidt, a mortgage-bond strategist at FTN Financial in Chicago, said the legislation would exacerbate the housing crisis as well as cause higher borrowing costs in the future. “Forcing lenders to modify mortgages and giving states the power to mediate is the surest way to prolong the housing crisis and slumping economy,” Schmidt said in an e-mailed comment. “The sooner ownership of residential real estate goes from ‘weaker’ to ‘stronger’ hands, the better for everyone.” Reports Bloomberg.com 10/1/09.

I e-mailed the editor and in my standard media e-mail have added:
The "Preserving Homes and Communities Act of 2009" may be last hope if it comes fast enough before many more lose their homes.
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The proposal is expected to receive broad support in Congress. "More and more households are finding that even with a fixed-rate mortgage that they could afford before the recession, they are just one pink slip away from losing their biggest investment," said Reed.

"Until we stabilize the housing market, we simply won't get a handle on the broader economic crisis," said Senator Dick Durbin (D-IL), a co-sponsor of the bill. "Voluntary efforts to keep families in their homes have failed. This bill will force lenders to modify qualified mortgages... Reports americanchronicle.com
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Reed said he and the co-sponsors met Tuesday with Treasury Secretary Timothy Geithner and HUD Secretary Shaun Donovan and asked them “to do more, and do it faster,” and to “put the emphasis on loan modifications.” Reed added, “They’re not adverse to other legislative approaches to help speed up the modifications, and we’re offering to give them more legislative tools to do the job.”Source projo.com (RI)

[taylor44]

Thanks for your input. My docs are all current. I just called Fredie Mac and read them what they have on their website (the quotes in my post). They asked me where I got this info. I told them their website. Lady says "what?" She tells me that that info not correct. Duh! I guess this whole thing with the 3 payment mha mod deal is just a big gamble of money that you can't get back if denied. I smell a scam.

[Garry]

I've done some reading on bulk mailings and how they work, it's been a while, but the way I understand it is this, A computer pre-approved you based on the info it had, the info is to be re-verified at the end of the trial period by a negotiator who will close the deal. Yes, some will be denied because of incorrect info, most should go through. I think we will be seeing a lot more completed mods soon, this is what I'm hoping anyway.