Notice of Trustee Sale after Trial Mod payments

[simoneek]

Hi there. Have learned so much from reading on here! I have been trying to modify my loan with central mortgage for some time now. While in modification they sent my file to foreclosure and the day AFTER my modification was approved they filed the NOD. I had questions for them regarding this, of course.

They have now since advised me that any communication going forward, including anything regarding the modification will now be handled directly through their attorney. Is this normal? Should I be worried?

What a mess!! And what horrible stress.

[Evan Bedard]

They have now since advised me that any communication going forward, including anything regarding the modification will now be handled directly through their attorney. Is this normal? Should I be worried?

Welcome and thanks for joining the community.

Even though an NOD has been filed you should still be working with your lender on the modification.. What servicer are you with and what attorney did they assign your case to?

[simoneek]

I am with Central Mortgage. This is a different attorney then the foreclosure one. The employees no longer are answering any questions I have for them. I guess I asked one to many!
The thing is they filed the NOD AFTER the modification was approved. This is separate from them telling me I need to now communicate only with their attorney.

[Evan Bedard]

I am with Central Mortgage. This is a different attorney then the foreclosure one. The employees no longer are answering any questions I have for them. I guess I asked one to many!
The thing is they filed the NOD AFTER the modification was approved. This is separate from them telling me I need to now communicate only with their attorney.

Did you sign and accept the modification? Once a permanent loan modification is achieved your account should be current and any past due amount will be added to the back of the loan..

[simoneek]

It is a temporary modification for three trial payments. The thing is, the payment is outrageously high (I was in a neg am loan) over double of what I was paying before. I wanted to try and renegotiate this modification but am wondering if dealing with the banks attorney (not the foreclosure attorney) directly will make it harder to get this renegotiated or easier.
I would email the managers/supervisors every day with questions re dual tracking, fees etc and this is when they told me that they would no longer be communicating with me directly.

[Evan Bedard]

Was the trial period apart of the HAMP program? For HAMP the trial period is suppose to equal 31% of you gross monthly income..

[simoneek]

No. Central mortgage does not do HAMP. This was an in-house modification. I only accepted it to get my home out of foreclosure hoping to renegotiate to a lower payment. But now that they won't even communicate with me....

[Evan Bedard]

I have honestly never heard of any servicer making the homeowner go through their attorney to work on a loan modification an this frankly just does not make sense why they would do so.

[simoneek]

That's why I am so concerned. The modification department assistance servicing supervisor emailed me and said "Our attorney will be responding to your questions going forward" and when I asked if this pertained to ALL questions including modification ones the response was "The attorney will be answering all questions including modification inquiries going forward"

[acesfull]

Hi All

Simoneek this is very unusal. My take is they are trying to increase the attorney fee's on your loan mod. Its the only thing that makes sense to me. Please don't put it past them to do such a horrible thing like increasing attorney fee's, they have done lots worse.

I would send them a letter and inform them that altho you will abide by there request to communicate with there attorney that YOU WILL NOT BE RESPONSIBLE FOR ANY ADDITIONAL ATTORNEY FEE's APPLIED TO YOUR ACCOUNT.

Best regards

Nj-19 Months
Acesfull/HWP

[hangtough]

I have never heard of this. Seemes like they're stalling to get the foreclosure pushed through. You really should be dealing with your lender. I know in my experience with Citi they hault any and all foreclosure proceedings during the mod process. I'm talking in house mod not HAMP.

[Evan Bedard]

Yes any communications in regards to the modification or even collections should be handled through the lender and not their attorney.

[Cat Damiano]

Hi simoneek,


Central Mortgage does offer the HAMP modification and other government programs such as HARP and HAFA as well. Do you know if you met the eligibility criteria for HAMP?

You may be eligible for HAMP if you meet all of the following criteria:

• You obtained your mortgage on or before January 1, 2009.
• You owe up to $729,750 on your primary residence or single unit rental property
• You owe up to $934,200 on a 2-unit rental property; $1,129,250 on a 3-unit rental property; or $1,403,400 on a 4-unit rental property
• The property has not been condemned
• You have a financial hardship and are either delinquent or in danger of falling behind on your mortgage payments (non-owner occupants must be delinquent in order to qualify).
• You have sufficient, documented income to support a modified payment.
• You must not have been convicted within the last 10 years of felony larceny, theft, fraud or forgery, money laundering or tax evasion, in connection with a mortgage or real estate transaction.

In an effort to continue to provide meaningful solutions to the housing crisis, effective June 1, 2012, the Obama Administration expanded the population of homeowners that may be eligible for the Home Affordable Modification Program to include:

• Homeowners who are applying for a modification on a home that is not their primary residence, but the property is currently rented or the homeowner intends to rent it.
• Homeowners who previously did not qualify for HAMP because their debt-to-income ratio was 31% or lower.
• Homeowners who previously received a HAMP trial period plan, but defaulted in their trial payments.
• Homeowners who previously received a HAMP permanent modification, but defaulted in their payments, therefore losing good standing.

Here is where the information is available for Central Mortgage;

https://www.centralmortgageonline.co...ource/home_mod

[simoneek]

First off... let me just say that this whole situation has been the worst thing I have ever had to go through. My lender is Central mortgage. I got approved for a trial modification and the very next day they filed the NOD on the house. Now I am one week away from making my final trial payment (had three) and I come home yesterday to a Notice of Trustee Sale taped all over my door. Is this even legal???

[maggies]

First off... let me just say that this whole situation has been the worst thing I have ever had to go through. My lender is Central mortgage. I got approved for a trial modification and the very next day they filed the NOD on the house. Now I am one week away from making my final trial payment (had three) and I come home yesterday to a Notice of Trustee Sale taped all over my door. Is this even legal???

First let me say I share you fustration and I am sure you will recieve advice from the experts, In my case i had made all three mod payments, mailed my final one on June 23rd for July 1st payment. On July 13th my perm was approved
(I did not know this yet) On July 14th recieved Notice of Trustee Sale by certified mail (I freaked) On July 17 received final mod papers by express Fed Ex. July 19th notorized then and sent them back, July 26 NOD was recended and recorded at court house and sale stopped. Call your provider and have them postpone sale date until mod finalized or untill you can find out what is going on. Good luck and as I said the experts shoul have advice and phone numbers to help you.

[KimberlyS]

I'm not an attorney or an expert, but I will say that what you are describing is "dual tracking" and it is legal. It will soon be illegal in California. Have you called the lender yet? They should be able to straighten it out and postpone that sale if need be. You can read a lot here about postponing trustee sales while the details of the modification are worked out, for example.

[Evan Bedard]

Maggies has good advice and it sounds like your situation is very similar. Unfortunately, there is virtually no laws that pertain to loan modifications and it is not uncommon for servicers to not notify the foreclosure department to put proceedings on hold until the process is complete. The good news is you have already made your third trial payment so a decision should be made very soon on your account. I would contact the trustee listed on the NOTS and also Central Mortgage and let them know you just completed the trial period and are waiting for the process to be finalized. And Kimberly is definitely correct, this is referred to as dual-tracking and this has been going on since loan modification were first established. Hopefully other states will get involved and stop dual-tracking for good!

[simoneek]

As of right now they have placed the sale date "on hold". I still have not heard anything regarding whether I have been approved for a permanent modification. I am so worried that they won't approve it or that it will be a ridiculously high amount like the trial payment was. Has anyone ever dealt with Central Mortgage? That is my lender. I feel like they want me to lose my home and have fought me every single step of this modification journey.

[KimberlyS]

Can you confirm with the trustee that it is on hold? The reason I say that is I was in a situation where my servicer said it was on hold but they hadn't notified the trustee yet. Just a way of double-checking and making sure all parties involved know it is on hold. (I have a sale date next month and I check at least once a week to make sure it's still next month and not sooner!)

[simoneek]

would the trustee be the title company? That is who I spoke with today. Or should I contact someone else.

My trial modification paperwork states

"You must sign the Agreement Acknowledgement and return it to Central Mortgage Company by
no later than June 7,2012 to indicate your intent to accept this offer. lf we receive your signed
Agreement Acknowledgment by the date specified above, we will not refer your loan to
foreclosure or if your loan has been referred to foreclosure, we will suspend foreclosure. lf you
do not make your first Trial Period payment by the date referenced below and we do not receive
payment by the last day of the month in which it is due, foreclosure proceedings may continue."

So by moving forward with the foreclosure, they have basically gone against their own contract.

[KimberlyS]

The trustee is whoever handling the sale. A lot of relevant info might be on your notice of trustee sale. Mine has a number I can call for info about the property and the sale info. This is a huge pain for you, but you can take care of it.

[simoneek]

.... it just gets better and better every day. So it turns out when they filed some of the paperwork for the NOD, one of CMC's employees fraudulently signed the paper that was filed with the county office as an employee of MERS. I thought the banks were done and over doing that? Do I have any recourse?

As for my foreclosure, that was placed on hold and I am still waiting for my permanent mod papers to come.