Downey did a loan mod...can I get it redone - Loan Modification Forum

crane · 01-12-2009, 02:27 PM

Downey did a loan modification for me back in aug 2007. They moved me from an adjustable to a 5yr interest only at 7%. At the time that seemed my only option as I could no longer pay
the minimum as the negative amortization was about to exceed the 15% cap. However I can no longer afford this payment. Is it possible to do a loan modification on a modification that took place about 16 months ago? In aug 2007 I didn't realize all the implications of the modification that
they gave me.

Moe Bedard · 01-12-2009, 05:43 PM

Hi crane,

Welcome to the forum and than you for joining..............

Have you contacted Downey and asked if the investor on your loan will allow you to apply for another modification? Some say after 12 months and you seem to be passed that............

Ledeen · 01-12-2009, 09:30 PM

I know Im not answering your question but what type of loan do you have with Downey? I have been going nuts calling them about modifying my loan but I only get NO for an answer. They claim my loan was sold and the investor is not allowing ANY loan modifications.

I cannot believe that since these loans are all going to default eventually. At least the type I have. Mine is an Option ARM based on the MTA.

When I was suckered into this loan, the lender lied on what the actual interest only, and principle and interest payment would be, and all they stated on the loan docs was the minimum (none of the other payments were documented). Turned out the interest only payment was 70% of my income!

I am 1500 hundred away fron the reset. Decided to use the lawyer whos offered to sue them for me in hopes that he can either get it modified and if not part of my retainer can be used towards an actual Law suit since any lender putting someone into a 70% PITI loan without letting the homeowner know should be a crime! Plus they falsified my income without my knowledge.

All to get me to refinance the loan and pay the 30K in prepay fees. Or take my house..... which now is not worth what the first mortgage is.

I also thought maybe they'd be more reasonable now that theyve been taken over by US Bank.

Glad to hear they helped you out at least the first time. Good luck..... I hope they help you.

01-12-2009, 02:27 PM	#1 (permalink)
crane Junior Member Join Date: Jan 2009 Posts: 1 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Downey did a loan mod...can I get it redone Downey did a loan modification for me back in aug 2007. They moved me from an adjustable to a 5yr interest only at 7%. At the time that seemed my only option as I could no longer pay the minimum as the negative amortization was about to exceed the 15% cap. However I can no longer afford this payment. Is it possible to do a loan modification on a modification that took place about 16 months ago? In aug 2007 I didn't realize all the implications of the modification that they gave me.

01-12-2009, 05:43 PM	#2 (permalink)
Moe Bedard Founder Join Date: Aug 2007 Location: Southern California Posts: 16,887 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Downey did a loan mod...can I get it redone Hi crane, Welcome to the forum and than you for joining.............. Have you contacted Downey and asked if the investor on your loan will allow you to apply for another modification? Some say after 12 months and you seem to be passed that............ __________________ Moe Bedard Founder LoanSafe.org "America's #1 Home Loan Forum" LoanWorkout.org "America's # Loan Modification Blog" Get My FREE Loan Modification E-Book \| Please donate to LoanSafe.org \| Loan Modification Training For Attorneys \| Rate Your Mortgage Servicer The comments by me and the materials available at this web site are for informational purposes only and not for the purpose of providing legal advice. Most of the information you find here is easily available on the internet. You should contact your attorney to obtain advice with respect to any particular issue or problem. The opinions expressed at or through this site are the opinions of the individual author and may not reflect the opinions of the firm or any individual attorney. Please Read our Privacy Policy and Legal Disclaimer Here.

01-12-2009, 09:30 PM	#3 (permalink)
Ledeen Member Join Date: Sep 2008 Location: Long Beach, CA Posts: 24 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Downey did a loan mod...can I get it redone I know Im not answering your question but what type of loan do you have with Downey? I have been going nuts calling them about modifying my loan but I only get NO for an answer. They claim my loan was sold and the investor is not allowing ANY loan modifications. I cannot believe that since these loans are all going to default eventually. At least the type I have. Mine is an Option ARM based on the MTA. When I was suckered into this loan, the lender lied on what the actual interest only, and principle and interest payment would be, and all they stated on the loan docs was the minimum (none of the other payments were documented). Turned out the interest only payment was 70% of my income! I am 1500 hundred away fron the reset. Decided to use the lawyer whos offered to sue them for me in hopes that he can either get it modified and if not part of my retainer can be used towards an actual Law suit since any lender putting someone into a 70% PITI loan without letting the homeowner know should be a crime! Plus they falsified my income without my knowledge. All to get me to refinance the loan and pay the 30K in prepay fees. Or take my house..... which now is not worth what the first mortgage is. I also thought maybe they'd be more reasonable now that theyve been taken over by US Bank. Glad to hear they helped you out at least the first time. Good luck..... I hope they help you.

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