do you take it or fight more?

[pakca]

my loan modification approved:
2.0% for 60 month
3.0% for 12 month
4.0% for 12 month
5.125% for rest of loan term.
I accepted the offer and I have paper work in my hand.
Bank of America added $5041 more principal balance because outstanding late charges and interest. I don't like that I feel bank should write off outstanding late charges and interest. should I fight for write off?
The current market value of house is $160,000 and my current principal balance is already too high $206,125.27 so I cannot justify adding $5041.33 more principal balance.
I paid for $280,000 for this house in Dec. 2005 and paid $60,000 down payment. I do not want to close my house.

[litehouse01]

Only you can make that decision...but if it were me I would take it in a heartbeat at least you will have your home and if your home means everything to you as mine does to me I would take it and be thankful you were offered a perm modification...I only pray the rest of us are so lucky....Good Luck and Congrats on getting a modification

[Liz Medrano]

To be honest with you...I hope to be that lucky. I have finished the trial and have made two additional payments and still no final mod.

[nativelasvegan]

Hello pakca. Who owns your loan? Fannie Mae servicing guidelines provides that servicers i.e. Bank of America "may not be capitalized and MUST be waived if borrower satisfies all conditions of trial period plan." Please see Fannie's Announcement 09-05R, page 11, step 1 in under "Standard Modification Waterfall."

If your loan is owned by Fannie, you might want to ask BAC why they have deviated from Fannie's Announcement 09-05R, "Standard Modification Waterfall" step 1. See what they say. Hopefully they have read this regulation.

Good luck!

[calgirl67]

If it was me I would take that offer in a heartbeat.

It comes down to do you want to stay in your home - are you comfortable there?

Or are you more concerned with what it is worth now rather than what your payment is?

Think of it as a decent rent amount. If you don't take this offer you will be foreclosed on and your credit will suck for a VERY long time. You will have to live in rentals at the mercy of a landlord.

Real estate prices will be on the upswing again in a couple of years and then you'll be kicking yourself you didn't keep your house and you wont be able to buy another one for 3-5 years 'cause of the foreclosure on your credit.

[pakca]

thank guys for input. I had accepted the offer and I will mail back paperwork today or tomorrow.
They refused to write off interest. I guess they want to make money as much as they can. I have no choice, but to take it. i don't want to lose my house.

[dana1215]

How were you able to get into a stepped interest rate program? What will I need to do. I have called a couple of the numbers listed on this forum to reach people such as mrs. Jeannene Drake but have not had a return call yet. Is there any possabilty of getting that type of mod. and a reduction in principle? anyone??

[whirlingbirdie]

I also hope to get that lucky! I just recieved my HAMP packet yesterday, and am getting everything ready to send back. Thanks to this forum, I have made copies of everything, signed, dated and put my loan # on every single thing I am sending back to them. I am also taking meticulous notes. Good for you! I'm glad you got a permanent mod.

[MyHAMP]

Originally Posted by dana1215

How were you able to get into a stepped interest rate program?

Well, to me, that looks exactly like a HAMP-modification...

[minknmelissa]

wow thats really good i wish i could get that I would be happy with anything close to that. Congrats now enjoy your house

[darkdays]

Originally Posted by dana1215

How were you able to get into a stepped interest rate program? What will I need to do. I have called a couple of the numbers listed on this forum to reach people such as mrs. Jeannene Drake but have not had a return call yet. Is there any possabilty of getting that type of mod. and a reduction in principle? anyone??

Check out the HAMP guidelines. The way to get the stepped interest rate is if the bank lowers you to a percentage rate lower than the current rate, you get the lower rate only for 5 years. Then you are "stepped up" every year to the lowest of either your current rate OR the rate at the time your HAMP agreement goes into effect.

Good luck.

[jhn_plsn]

I agree that it looks like a workable deal. At least you know what your rate changes will be so you can prepare. Of coarse it sounds good to me but I am not in your shoes.
Good luck.