Need an honest answer - Loan Modification Forum

djb68 · 10-23-2009, 01:34 PM

I am new to this board as I was just made aware of it yesterday.

I was laid off back in February from a Construction Management position. Being that construction is one of the hardest hit sectors of employment and the fact that I live in Illinois where unemployment is up to 10.5%, I have not been able to find another job. I requested assistance from Wells Fargo back in April. To date I am still "in review". I have come to the realization that since I am unemployed, Wells Fargo cannot help me.

I had savings that held me afloat until last month. Last month I had to use money from my credit card to pay my mortgage. I am tapped out and will have to use my credit card again to make my mortgage payment and keep using it until I find another job.

Here is my question....

Do I stop making my mortgage payment and ruin my credit rating? I had a 720 rating.

Next question, if I stop making my mortgage payment, what can I expect in the way of calls from Wells Fargo or collection agencies?

The next step I am looking into is a short sale. But I heard that this is as difficult as trying to get assistance or a modification.

I am so turned upside down and can't find anyone or any professional that I can talk with that can help me with all my questions and give me the best direction I should move in.

Any help would be greatly appreciated.

Don

BobandArlyn · 10-23-2009, 01:40 PM

Don,

Welcome to our forum. You have landed in the right place. I know you will find the help you need on this site. Those that understand your type of situation will be on to help you. Hang in there Don.

Arlyn

djb68 · 10-23-2009, 03:18 PM

Thank you Arlyn.

I really hope people have suggestions and/or know of someone that i can talk to. I have no clue what I should do at this point.

I wish I found this site months ago.

Don

BobandArlyn · 10-23-2009, 03:22 PM

There is so much going on right now...hang in, the right person will get on your thread and answer. Just keep it circulating!

caldwellb02 · 10-23-2009, 03:29 PM

Don - I don't have Wells Fargo. What I can tell you is it's a long fight. Unfortunately it is supposedly even harder when you are unemployed. First thing I would do is check your state's foreclosure laws. There are some states that give you more breathing room than others.

darlyj · 10-23-2009, 03:30 PM

Welcome djb68..

I am not with Wells Fargo personally (Chase for us) but it seems like it is a crapshoot trying to figure out how you will be dealt with by any of the large banks.

In answer to your questions:

Have you tried asking for a forebearance? They cannot do a mod unless you have sufficient income, however sometimes you can get a forebearance while you continue to look for work. I have no clue as to what your chances of achieving that are....how the banks choose to deal with people seems to depend on the position of the heavens and the mood of the person you are trying to deal with on any particular day.

The credit card thing is a dangerous gamble. Sure, it may keep you in your house a little longer but how long are you going to be able to afford the cc payments? You may just be digging yourself a bigger hole, unless you plan on defaulting on the card anyway. Then....well, that's up to you.....

My guess is that they will start sending past due notices and calling after your grace period expires, however I could very easily be wrong. They will escalate the longer you go without paying them.

Unless you manage to land a decent paying job in the very near future (from the sounds of it anyway), you can probably kiss the good credit score goodbye...unless you can make good on the original agreements your credit will take a ding. How much of a ding depends upon your individual situation and what options you take advantage of. Credit can be rebuilt though.

I will tell you that there is NOTHING in the realm of decency about this process. They are out to get your money and subsequently screw you over any way they possibly can, and they will lie and cheat more than you ever thought possible in order to get you to pay up. Be ready for that. It is not a function of being jaded, it is just fact. Take a look around the forum, especially the Wells Fargo section....there is a ton of good info on this site borne of experience.

Good luck to you!

10-23-2009, 01:34 PM	#1 (permalink)
djb68 Junior Member Join Date: Oct 2009 Posts: 5 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Need an honest answer I am new to this board as I was just made aware of it yesterday. I was laid off back in February from a Construction Management position. Being that construction is one of the hardest hit sectors of employment and the fact that I live in Illinois where unemployment is up to 10.5%, I have not been able to find another job. I requested assistance from Wells Fargo back in April. To date I am still "in review". I have come to the realization that since I am unemployed, Wells Fargo cannot help me. I had savings that held me afloat until last month. Last month I had to use money from my credit card to pay my mortgage. I am tapped out and will have to use my credit card again to make my mortgage payment and keep using it until I find another job. Here is my question.... Do I stop making my mortgage payment and ruin my credit rating? I had a 720 rating. Next question, if I stop making my mortgage payment, what can I expect in the way of calls from Wells Fargo or collection agencies? The next step I am looking into is a short sale. But I heard that this is as difficult as trying to get assistance or a modification. I am so turned upside down and can't find anyone or any professional that I can talk with that can help me with all my questions and give me the best direction I should move in. Any help would be greatly appreciated. Don

10-23-2009, 01:40 PM	#2 (permalink)
BobandArlyn Senior Member Join Date: Sep 2009 Location: Santa Rosa, CA Posts: 374 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Need an honest answer Don, Welcome to our forum. You have landed in the right place. I know you will find the help you need on this site. Those that understand your type of situation will be on to help you. Hang in there Don. Arlyn __________________ __________________ Reps from loansafe needed for all states! If you are reading this thread, please join us in our effort to start mass campaigns on behalf of loansafe.org members. All ideas and input are welcome. See Thread title "Reps from loansafe needed for all states!"

10-23-2009, 03:18 PM	#3 (permalink)
djb68 Junior Member Join Date: Oct 2009 Posts: 5 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Need an honest answer Thank you Arlyn. I really hope people have suggestions and/or know of someone that i can talk to. I have no clue what I should do at this point. I wish I found this site months ago. Don

10-23-2009, 03:22 PM	#4 (permalink)
BobandArlyn Senior Member Join Date: Sep 2009 Location: Santa Rosa, CA Posts: 374 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Need an honest answer There is so much going on right now...hang in, the right person will get on your thread and answer. Just keep it circulating! __________________ __________________ Reps from loansafe needed for all states! If you are reading this thread, please join us in our effort to start mass campaigns on behalf of loansafe.org members. All ideas and input are welcome. See Thread title "Reps from loansafe needed for all states!"

10-23-2009, 03:29 PM	#5 (permalink)
caldwellb02 Senior Member Join Date: Nov 2008 Location: Northern CA Posts: 1,764 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Need an honest answer Don - I don't have Wells Fargo. What I can tell you is it's a long fight. Unfortunately it is supposedly even harder when you are unemployed. First thing I would do is check your state's foreclosure laws. There are some states that give you more breathing room than others.

10-23-2009, 03:30 PM	#6 (permalink)
darlyj Senior Member Join Date: Sep 2009 Posts: 149 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Need an honest answer Welcome djb68.. I am not with Wells Fargo personally (Chase for us) but it seems like it is a crapshoot trying to figure out how you will be dealt with by any of the large banks. In answer to your questions: Have you tried asking for a forebearance? They cannot do a mod unless you have sufficient income, however sometimes you can get a forebearance while you continue to look for work. I have no clue as to what your chances of achieving that are....how the banks choose to deal with people seems to depend on the position of the heavens and the mood of the person you are trying to deal with on any particular day. The credit card thing is a dangerous gamble. Sure, it may keep you in your house a little longer but how long are you going to be able to afford the cc payments? You may just be digging yourself a bigger hole, unless you plan on defaulting on the card anyway. Then....well, that's up to you..... My guess is that they will start sending past due notices and calling after your grace period expires, however I could very easily be wrong. They will escalate the longer you go without paying them. Unless you manage to land a decent paying job in the very near future (from the sounds of it anyway), you can probably kiss the good credit score goodbye...unless you can make good on the original agreements your credit will take a ding. How much of a ding depends upon your individual situation and what options you take advantage of. Credit can be rebuilt though. I will tell you that there is NOTHING in the realm of decency about this process. They are out to get your money and subsequently screw you over any way they possibly can, and they will lie and cheat more than you ever thought possible in order to get you to pay up. Be ready for that. It is not a function of being jaded, it is just fact. Take a look around the forum, especially the Wells Fargo section....there is a ton of good info on this site borne of experience. Good luck to you! __________________ "It is sobering to reflect that one of the best ways to get yourself a reputation as a dangerous citizen these days is to go about repeating the very phrases which our founding fathers used in the struggle for independence."

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