How to Proceed??

nsacky · 01-31-2009, 03:53 PM

I'm in the same boat as many here (and new to the forum). 2 years ago I refinanced a 1st and 2nd into a "First" with HSBC Mortgage Services. The broker said that these could be combined if the appraisal came back high enough. Well of course, it did. At the "closing" (a notary at my house), I was notified that the loan would have to be an interest only, ARM. I called the broker and he assured me that we'd be able to refi into a fixed rate in a month or two, and no appraisal or closing costs. Well of course, they couldn't (unless I wanted 8%) and after 6 months, I was told the broker was no longer with them and that they didn't refi any more. In checking with my realtor, the appraisal at the time was probably $100-110K over inflated. I'm current on everything and HSBC won't even listen to a modification request because everything is up to date. Because of our other debt and tuition, we're very tight (but current) and I'm tired of throwing away $35,000 a year in interest only with an adjustment the second half of the year. What to do????

Moe Bedard · 01-31-2009, 04:02 PM

HI nsacky,

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

Unfortunately we have only seen modifications from HSBC for 6 months....

What is the interest rate at?
Is it fixed or adjustable?
If adjustable when is it adjusting?

Have you tried to instead modify your second and who is the servicer on that loan?

nsacky · 01-31-2009, 05:19 PM

It's only a first and it's at 6.7% interest only. It adjusts in November.

Moe Bedard · 01-31-2009, 07:12 PM

Sorry..........missed the refi into one...

HSBC most likely isn't going to do anything more than a 6 month modification, and they are very difficult to deal with..............

If this is the only property that you own and is owner occupied, this is one servicer that you will need some help with................you may want to try going through NACA to get the help..........their services are free and they will help you with a budget and put together a modification proposal to negotiate with the investor on your loan with HSBC..............
click on the link for the info..........
https://www.naca.com/refinance/refinanceTenStep.jsp

nsacky · 01-31-2009, 09:41 PM

Thanks ***, I'll give them a call on MOnday. Are any of the attorney backed, loan modification companies legit?

Moe Bedard · 01-31-2009, 11:24 PM

We stand behind the attorney that we have authorized to be on the homepage of this site..........
Safe-loan-modification-service | Home Mortgage | Protect Your Home & Mortgage With Loan Safe

because the modification is going to be up to the investor...........whether you do this through NACA or through an attorney, there are no guarantees that you will receive a successful modification........with NACA.........the services provided ar free.

nsacky · 02-10-2009, 08:51 PM

I tried the attorney on the homepage and they wanted $4000 and felt that the best they could do with HSBC Mortgage Services was a 6-9 month modification. Hardly seems worth it. I haven't heard anything back from NACA. I guess unless you're 2-3 months late, your situation doesn't warrant a lot of attention.

Moe Bedard · 02-10-2009, 09:57 PM

The 6 month modification is all that we see from HSBC..............so NACA could at least be a chance to get a permanent fixed rate..................

the members that are working with NACA have made three counseling appts. after finishing their online submission...............they have also used the online chat at the top of the NACA page..........and they email and phone as well...........
NACA
1-888-302-6222
service@naca.com

nsacky · 02-10-2009, 10:16 PM

Thanks ***, I will give them another try.

nsacky · 02-10-2009, 10:26 PM

Since it's late, I sent another email but will try to call tomorrow.

Moe Bedard · 02-10-2009, 11:01 PM

also see if the online chat feature at the top of the page is available tomorrow as well............

Mrs45 · 02-14-2009, 11:06 AM

Quote:

Originally Posted by *** Damiano

HI nsacky,

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

Unfortunately we have only seen modifications from HSBC for 6 months....

What is the interest rate at?
Is it fixed or adjustable?
If adjustable when is it adjusting?

Have you tried to instead modify your second and who is the servicer on that loan?

I have just completed with HSBC that was modified for the life of the loan with the following:
12 months at 2.75%
12 montsh at 3.75%
4.875% for the life of the loan
Decreasing payments by 1/2 not to mentioned brought current from 5 months past due and only a $200 contribution returned with loan mod packet. FannieMae was my investor

Moe Bedard · 02-14-2009, 11:46 AM

That would be why.................you have FannieMae for an investor and they have their own modification program out and are contacting these loans through servicers.........they have been since Dec. 15th when it went into effect................that is a different circumstance as it is a mod coming directly from FannieMae.

nsacky · 03-12-2009, 06:20 PM

All of my paperwork has been submitted to the servicer (HSBC). I was wondering if anyone knew NACA's success rate (generally speaking).

nsacky · 03-14-2009, 05:11 PM

Hi,
I have submitted all of my paperwork and received a message on my NACA account page that it has been submitted to the servicer (in this case HSBC Mortgage Services). Does anyone know what the success rate is for NACA? Not going for any principle reduction, just a rate reduction to a fixed.

Moe Bedard · 03-14-2009, 06:13 PM

why not look around their website and read about all the good things that they do..............
a successful outcome for each individual would be up to the investor that holds the loan.................NACA has agreements with many.........but not all.
NACA