Will I get denied a Loan modification while on unemployment...

[ramoss]

I was working on a loan modification with BoFa and just received notice with an offer to make 3 monthly payments of $2500 instead of $3300. After the 3 month trial period it would be decided if I would get approved. The question is twofold, when I began the process I was told to make payments of $1800 which was 31% of my income, is there anything I can do to keep those payments? In the interim I get laid off from work and I cannot afford the $2500 but I can afford the $1800 payment, should I let BoFa know of this new development in order to hopefully retain this payment amount?
I also have a second mortgage GMAC that also made me an offer but they only brought down my payment by $180. I still cannot afford their offer. The reduction was on the interest rate that went down by 2%. Im stuck here not knowing how to approach the banks with the new set of circumstances, I'm afraid they may deny me because I am unemployed. I have other income that comes from unemployment benefits, my fiance and a room mate paying rent but will the banks consider these as income for me?
I also cannot get on the phone with someone that has any say on my loan, these people are just the reps answering the phone and can only give me info they have "in the computer". Any suggestion how I can get someone who has any negogiating power?

[Evan Bedard]

Hi ramoss welcome and thank you for joining.

have other income that comes from unemployment benefits, my fiance and a room mate paying rent but will the banks consider these as income for me?
I also cannot get on the phone with someone that has any say on my loan, these people are just the reps answering the phone and can only give me info they have "in the computer". Any suggestion how I can get someone who has any negogiating power?

First off the offer you had recieved was based off the income you provided previously. Since your income has now changed and you can't afford the payment, let them know before you sign the paperwork. The problem here is unless you unemployment is extended for a nine month period your lender will not consider it as income.. But if your fiance and rommate contribute to rent your lender will definetely take that income into consideration.

Also in regards to your second mortgage you can try settling that loan for maybe 5-10% of the remaining balance, many lenders are offering to do this at this time...


Below is the loss mitigation numbers for Bofa and GMAC, try these:

Bank of America(800) 846-2222
GMAC Mortgage (800) 850-4622

[ramoss]

Thanks for those numbers, I'll try them. What I gather here is that I should call them and let them know that I am unemployed and receiving unemployment benefits in addition to the other income.
I'll come back and advise of the outcome. Wish me luck!

Thanks!

[Evan Bedard]

Good luck Ramoss keep us posted!

[ramoss]

I meant to mention this earlier, I got a call from my PMI company. They are saying that I should also work with them as they will act as my adovocate to assist in getting me a loan Modification. Can I trust these people? I know its in their interest that I dont go into foreclosure but can they really be of any assistance to me?