Countrywide Says I Am Not Eligible - Loan Modification Forum

moonie1974 · #1 (**permalink**) IP: 65.211.14.34 05-29-2008, 12:04 PM

I have had a Countrywide home loan for 2 years. I currently have a fixed rate of 6.5% and up to now have been current with all my payments. Due to changes in my financial situation I am no longer able to afford my mortgage payments at their current rate. I called Countrywide to tell them of my situation and ask for a mortgage modification and the representative that my fixed loan of 6.5% was not going to get any lower and that I will have to be behind on my loan to get any help. Has anyone had any success in getting Countrywide to lower their rate without having to be delinquent and if so can Countrywide offer a lower rate than 6.5%?

Cat Damiano · #2 (**permalink**) IP: 67.177.243.104 05-29-2008, 12:32 PM

They are correct...........they are not going to modify a 6.50% fixed rate........

Is this an FHA loan?

moonie1974 · #3 (**permalink**) IP: 65.211.14.34 05-29-2008, 12:58 PM

I believe it is. What is the difference between FHA loan and non? So are you saying that if I had an 8% loan the best I could hope for was 6.5%?

Cat Damiano · #4 (**permalink**) IP: 67.177.243.104 05-29-2008, 01:26 PM

No what CW is doing is freezing or modifying rates that have adjusted back to the original rate.........they are not even modifying the fixed rate loans.......all of the loans that are being modified are the arm loans or the option arm loans......

You have a mortgage that is at an incredibly good fixed rate.........

Do you pay MI or PMI with your payment?

moonie1974 · #5 (**permalink**) IP: 65.211.14.34 05-29-2008, 01:55 PM

Yes, I do pay PMI. I received a letter from them last month that if my property had a LTV ratio of 75% or less they could remove the PMI. How would I get them to remove the PMI if my LTV is more than 75%? I currently pay about $160 a month in PMI. If I could get Countrywide to remove that fee I would be able to afford my payment?

Cat Damiano · #6 (**permalink**) IP: 67.177.243.104 05-29-2008, 02:01 PM

It isn't a CW fee........and you can't get it removed..........if you borrowed a loan that was more than 80% and didn't put 20% down you have PMI.......and until you pay the value down to the 75% it is staying......

This would mean that you have a conventional loan not an FHA.....

If you can't find a way to make the payments if you want to keep your house.........you will have to talk with CW about what other options are available to you........