Loan Modification Countywide

[homekeeper]

I received the same scenario showing that the modification was complete on 7/30. I called Countrywide several times after that and was told that the modification was denied but referred to the HEART department who handles borrowers that are not yet delinquent on their loan. Apparently, I am supposed to receive a package in 5 to 10 days with the terms of my new loan. However, no one can tell me over the phone what these terms will be. I am just in waiting mode to see what happens.

[Cat Damiano]

homekeeper,

Welcome to the forum and thank you for joining...........

If you don't receive the documents in the timeframe given, try calling this number to see where they are at..........

HomeSaver
1-877-643-2788

[homekeeper]

Funny! I got not two, but three modification denial letters because of the lack of support our financial documents provided. However, I finally talked to someone at Countrywide who told me that our loan was referred to the HEART department who handles borrowers like me who are not yet delinquent but are unable to refinance due to lack of equity. I was told that I would receive a Fedex package within the week. I received it yesterday and learned that they froze my current rate at 3.75% for five more years. However, it is not an interest-only loan that I have had the last five years and it is amortized over 25 years, so the payment goes up about $500.00. I truly feel that this is more than fair and, when I worked out the numbers, I discovered the payment is equivalent to a 30 year interest-only loan at 6.25% if we WERE able to refinance. Ideally, I would love to have this fixed for 30 years, but I truly feel that Countrywide has offered very fair terms and I have hopes that the market will turnaround after five years which will allow me to refinance into a 30-year fixed.
My only concern is the contract is a bit vague about what happens after the five years. We were on a LIBOR ARM which adjusts every year after the initial five year term with a 2% interest rate increase each year. I want to make sure we have the same terms before I sign the agreement.