Started following the strategy for 2nd’s back in April. Last payment was 3/26. Located in Louisiana.
First with BOA – 240,000.
Heloc with HSBC – 60,000.
Value is somewhere around 260K.
Went through a relatively easy modification with BOA a couple of years ago. No problem there. HSBC on the other hand is a beast. Was paying interest only along with whatever extra I could but after 5 years am right where I started balance wise. Decided to get off the hamster wheel, quit taking their calls, and see where we end up.
Today I received the following from HSBC;
According to our records, you have received a pre-foreclosure letter as required under the terms of your Note and Mortgage/Deed of Trust.
Without an acceptable payment arrangement, we have the right to accelerate your balance.Yada, yada, yada. Please contact us immediately.”
Have a few questions for anyone with experience dealing with the beast.
1) Though I don’t remember seeing any type of pre-foreclosure letter, am I assuming correctly that this is simply form letter 100 of 1000?
2) I thought I read somewhere on this site that it normally it take about 180 days for them to write off the balance and either send some type of settlement offer or turn it over to a third party. Is this correct?
3) Trying to get this done before the end of the year so I may be able to take advantage of the tax forgiveness. What kind of time frame are others experiencing from start to finish of the strategy and is there any other action I can take to accelerate the process?
Thank you all for any input.