National City/Forbearance

[LauraM1]

I am currently in a forbearance agreement with my lender ( national city ) the investor is fannie mae--which I hear is a good thing. anyway , I was told by NC that the first step is to do a forbearance and at the end of the forbearance they will consider a loan modification. Is this true ? I feel like the forbearance is pointless. and should I be continually calling them to request a loan modification ? some say yes.

Thanks.

[Dan Bailey]

lauraM
Glad you found the forum and posted.

Some investors are requireing a "test" period before doing a modification. The "test" is sometimes a short forebearance period.

Calling them consistantly is always a good idea

[LauraM1]

thanks for the reply.
I had one other question......I am the mortgage holder but my husband is the bread winner now and has been for quite sometime now. Do I have to be working in order for the investor to agree on a loan modification or can my husbands salary be considered solely ?
any info would be helpful. thanks.

[LauraM1]

I have read a lot of posts from people who seemed to contact executives or loan neg. directly and had a response in a few days in regards to their requests for loan modifications. I am going thru the required ( supposedly ) process of a forbearance for 4 months and then they will review again for a modify. If any one has a fax or direct number for National City Mortgage instead of the typical 888 or 800 #'s for workout/mitigation dept. please let me know Thanks !

[Moe Bedard]

National City contact for modification is Home Loan Services and that is the number we have
Loss Mitigation:
1-800-622-5035

the direct number would be to the negotiators that the members are working with.............that gave them their direct lines.......

If you have a negotiator assigned to your case............ask for their direct line so you won't have to deal with the 800 numbers.

[LauraM1]

Thanks. actually one of the reps I spoke with did mention a neg. name. I will try calling and asking for him directly. I know Dan suggested calling them on a regular basis during the forbearance period to see if they are indeed reviewing our file for perm. modification . would you agree as well ?

[LauraM1]

I had one other question......I am the mortgage holder but my husband is the bread winner now and has been for quite sometime now. Do I have to be working in order for the investor - fannie mae/ to agree on a loan modification or can my husbands salary be considered solely ? They have already agreed to a forbearance so I don't think it should be a problem.
any info would be helpful. thanks.

[Moe Bedard]

That would be a question that you would need to ask National City..........

[LauraM1]

Hi All ,
I was wondering if anyone might have the names and numbers of the exec's over at National City ? I applied for a refi/ loan mod and instead was given a forbearance till july. which is so pointless. I was current and now I will actually owe a good amount of money. Do they usually put that money owed at the end of your loan or do they expect you to pay it back right away ? and do I need to stay in this forbearance or can I resubmit to exec's or my negotiator explaining that I need a refi/ mod for the long run to help us out. I was told by the mitigation reps not to worry that our file will be reviewed monthly during the forbearance. i don't believe that .
I thought it would be a done deal being fannie mae is the investor. just really confused by all this.
please any suggestions from someone whos been there would be greatly appreciated. thanks and god bless.

[jtimms]

Hi LauraM1,
I am in the middle of neg. with my bank (wells fargo) investor (fannie mae) and have been told (fm) requires a forbearance period before the mod is figured out. I'm gathering to show you are willing and able to pay. It is very frustrating because everyone you talk to at loss mit. tells you something different so I went over their heads and I'm currently dealing with someone in the ERT dept. This dept has been much more pleasant so you might try it with your bank! At this point I think we will do whatever we can!

[LauraM1]

Thanks for the reply. That what I have been told by the reps. too that you have to do the forbearance and they keep assuring me it is being reviewed. i am trying to go over their heads too by contacting the exc.office but what a pain in the neck to even get the contact info ! I was also trying to find out if I should resubmit my financial worksheet as i have been able to settle some credit accts.So I am not so in th negative at the end of the month.

[LauraM1]

Oh, keep me posted on how your neg. goes.....i would love to hear a positive outcome !

[jtimms]

It was the executive office, but the number was posted as the ERT dept. by *** I believe. I did resubmit my financials once or twice when things would change so it might be a good thing for you if it takes you out of the negative a little. Good luck, keep posting and I will do the same. Just hope for a good outcome!!

[Moe Bedard]

National City Mortgage
Peter Raskind (CEO)
1 (216) 222-2000
peter.raskind@nationalcity.com

[LauraM1]

During a forbearance agreement can the lender attempt to foreclose ?

[LauraM1]

I have read many posts where people are dealing with NACA . What is NACA ? and if you are dealing with your lender and investor already would you suggest contacting them as well ? could they be of more help ?
thanks.

[Moe Bedard]

they normally will not.................but you would have check and make sure that they put the foreclosure on hold while you are going through the process.


Please keep all updates and questions here in your original thread..........

[Moe Bedard]

NACA is a HUD approved counseling agency, they are a third party that you would go through for help.....just like ACORN or HOPE............
here is the info.........
https://www.naca.com/refinance/refinanceTenStep.jsp

[LauraM1]

Thanks for the info. Can you use the services of NACA if you are working with your mortgage company ?

[Moe Bedard]

You can but it can get confusing with double the files being worked on............because NACA will negotiate with the investor through your servicer.

[LauraM1]

gotcha. Can you give me your opinion on this please........yesterday I finally spoke with the person I was told was the negiotator on our file he told me that he is the processor - any difference ? anyway I explained the situation....was looking of refi or mod- not a 4 month forbearance, investor is fannie mae , why did they give us this ? etc. etc. and I asked for his input. He said when I applied at the end of Dec. obamas program was not even available so they set this plan up for now. He suggested trying to continue to pay our full 2150. per month instead of the forbearance of 800. per mth. for the 4 months and to definetely resubmit the hardship paper and financials again and go to financial stability.gov fill out the questionaire , if it says we may qualify- print that and send that in too . His reasoning is that now we may be considered for the plan. and just to make us aware that we have always been current and if we stay in this forbearance till June , there is no guarantee that they will agree to a mod or refi and we would be responsible for the back payments. I asked would they work out a repay plan, or add it to the back of the loan or want it paid right away. He said it could be any of those things. not sure. well , who the heck would know this ????
so frustrating !!!!! I have no clue as to what to do now. I know I will definetely resubmit to show changes in the financials but as for the forbearance....I just don't know. arghhh....if my home was worth what it was I would just do the refi on my own with another lender ! I am just asking them to lower my rate. they make things soooo much more difficult then they have to be.
***, any advice would be greatly appreciated at this point.
thanks !

[Moe Bedard]

Laura,


These are decisions that only you can make based on your situation.........whether or not to do the forbearance or pay the full amount and reapply now...........the what ifs.......will drive someone nuts............and we have all been there.


For the new program.................there are specicific steps that will be followed...............


In summary, participating servicers will (in order):

• Determine that a loan meets the minimum eligibility criteria (owner occupied, originated before January 1, 2009, UPB equal to or less than $729,750). If yes:

• Obtain sufficient income information to determine if the borrower has a front-end debt-to-income (DTI) ratio of 31% or greater (verbal income may be accepted for initial evaluation subject to verification prior to final approval). If yes:

• Capitalize (add to the loan amount) accrued interest, past due taxes and insurance, delinquency charges paid to third parties (e.g., for inspecting the property), and escrow advances by the servicer – but not late fees or other default fees charged by the servicer;

• Determine how much of an interest rate reduction is required to get the borrower's mortgage payment to 31% DTI, and if the DTI still exceeds 31% at the rate floor of 2%, modify the loan in other respects specified in the Guidelines;

• Apply a Net Present Value (NPV) test to determine if modification (including the incentive payments) provides the investor with a better financial outcome than foreclosure. If yes:

• Put the borrower on a trial modification at the new interest rate and payment for three months.

• If the borrower is current at the end of the trial modification period, the servicer will execute a modification agreement that includes escrows for taxes and insurance even if the prior loan was not escrowed.

[chasepmt2hot-firefighter]

All I've read is it's a must to do a forbearance or trial period for Fannie Mae. Now, this one company is stating to resume the normal payment. Yes the trial period or no the trial period? Is this "trial period" Fannie Mae's new excuse for not letting go of the money they've pocketed?

[LauraM1]

Originally Posted by *** Damiano

Laura,


These are decisions that only you can make based on your situation.........whether or not to do the forbearance or pay the full amount and reapply now...........the what ifs.......will drive someone nuts............and we have all been there.


For the new program.................there are specicific steps that will be followed...............


In summary, participating servicers will (in order):

• Determine that a loan meets the minimum eligibility criteria (owner occupied, originated before January 1, 2009, UPB equal to or less than $729,750). If yes:

• Obtain sufficient income information to determine if the borrower has a front-end debt-to-income (DTI) ratio of 31% or greater (verbal income may be accepted for initial evaluation subject to verification prior to final approval). If yes:

• Capitalize (add to the loan amount) accrued interest, past due taxes and insurance, delinquency charges paid to third parties (e.g., for inspecting the property), and escrow advances by the servicer – but not late fees or other default fees charged by the servicer;

• Determine how much of an interest rate reduction is required to get the borrower's mortgage payment to 31% DTI, and if the DTI still exceeds 31% at the rate floor of 2%, modify the loan in other respects specified in the Guidelines;

• Apply a Net Present Value (NPV) test to determine if modification (including the incentive payments) provides the investor with a better financial outcome than foreclosure. If yes:

• Put the borrower on a trial modification at the new interest rate and payment for three months.

• If the borrower is current at the end of the trial modification period, the servicer will execute a modification agreement that includes escrows for taxes and insurance even if the prior loan was not escrowed.

Yes and the what ifs are driving me crazy . sorry for the rambling . I was just looking for some opinions from people who are or were in this exact situation and what came of it so I know what to expect . Talking to these lenders that don't really have a clue is ridiculous. How are you supposed to make an important decision that could possibly effect you losing your home.

[LauraM1]

Originally Posted by chasepmt2hot-firefighter

All I've read is it's a must to do a forbearance or trial period for Fannie Mae. Now, this one company is stating to resume the normal payment. Yes the trial period or no the trial period? Is this "trial period" Fannie Mae's new excuse for not letting go of the money they've pocketed?

yeah, but you see this is where the confusion comes in for me.....this forbearance that they have me in is because Obamas plan was not yet in effect when I applied in DEc.08 and they did not know what to do with our mortgage so they did this and keep saying they will review every month. meanwhile charges will still keep adding up . The " trial period I heard about thru FM is where they actually lower your payment to what it will be after the forbearance to see if you can hack this new lower payment.....I would surely do that.