Lenders Participating in Making Home Affordable

[daglo]

We saw a bankruptcy attorney, and she said the 2nd would be stripped (eliminated). She said this is done with a Chapter 13 only. I told Indy this, and that I want to pay and not stick them, and they still said no. How stupid are they? I wonder what all the investors would do if they knew what Indy CS people were telling us. The investors are losing alot of money with these kind of answers. I know they are going to lose my second mortgage money. You think they would want me to pay a reduced payment instead of nothing at all

[goodlife4524]

Originally Posted by ama125

Under HAMP, the guidelines state that if the first is modified, the second is modified automatically. HOWEVER, this is only if the servicer has agreed to participate in the second lien program (2MP). Now rest assured that the list of participating servicers for 2MP would be published on makinghomeaffordable.gov just like the list for the first HAMP program to modify primary loans. Guess what... no list yet because none of them have signed up for it nor does it look like any of them will! They are all regretting signing up for the first one (look at how many new additions to the program have come along and all the reporting requirements... not what they were anticipating!).

Where on the site would it show up? I notice there aren't any listings, so I assume nobody's signed up?

[davephx]

Weeks ago Treasury was in negoitations with 2nd servicers but nothing heard since.

The incentives are too low to make it worth while for servicers to participate in 2MP which is outstanding program but Treasury needs to allocate more funds to it to make servicers willing to participate.

[goodlife4524]

Originally Posted by davephx

Weeks ago Treasury was in negoitations with 2nd servicers but nothing heard since.

The incentives are too low to make it worth while for servicers to participate in 2MP which is outstanding program but Treasury needs to allocate more funds to it to make servicers willing to participate.

That's what I was looking for - thanks! Keep us posted.

[detleffish]

I'm not sure it this is the right forum to post this - but so many homeowners are getting run around I wanted to share what I am doing - writing to my representatives for help...

Here is my message to Indymac Bank and my representatives :

Greetings,

IndyMac is not putting people into the Making Home Affordable program and in fact they are not even cooperating with Chapter 13 reorganizations. IndyMac lies and manipulates home owners instead of working with them. What can be done?

Why is there a program like Making Home Affordable when banks do not honor and use it for homeowners in trouble? Why did Congress reject the “cram down” provision and leave home owners without any options to encourage banks to work with them?

I am asking for Representative Murkowski and Senator Begich’s assistance with this problem. Since the Treasury Department is overseeing the Making Home Affordable program I request Representative Murkowski and Senator Begich’s assistance in locating a person within the Treasury Department who has the authority to resolve complaints with the Making Home Affordable program and IndyMac Bank.

I think it would be an excellent idea for a representative from the Treasury Department to be on the phone with Indymac Bank and myself. I want them to understand firsthand what homeowners are contending with and see if they can get to the bottom of why IndyMac is not honoring the Making Home Affordable program.

If banks are not going to honor and put home owners into the Making Home Affordable program, Congress needs to know that the whole program is bogus.

How many people have applied and qualified for this program? And out of that number how many really did get put into the program? We don’t know because the banks - as a private entity – do not have to share that information. If we cannot get real numbers then how do we know if the Making Home Affordable is working? I know it is not. Homeowners know it is not working. Without the “cram down” provision in Chapter 13 homeowners are left totally at the mercy of their representatives to help them save their homes – you is all we have.

I want Congress to know the mortgage situation is not working and to do something about it.

Better Business Bureau Customer Service Reviews:

Better Business Bureau Customer Reviews & Ratings on IndyMac Bank/One West Bank
May F.
1 Review

First of all, I am going to say that I have nothing positive to say about this financial institution. Everything I have to say about this company is negative. Second, I am going to tell it like it is and if this horrible financial institution does not want to hear the truth about how cold, heartless and uncompassionate they are, then that is their problem. I lost my job and could not keep up with the payments for my mortgage, so filed a Bankruptcy Chapter 13 in order to save my house from foreclosure. However, in working with my attorney and the trustee, instead of helping me with a plan to reduce the monthly payments they increased them to almost double what I could pay. This company even had the nerve to serve lawsuit papers on me, while I was going through the bankruptcy proceedings. They did not comply with the guidelines of the bankruptcy laws. I guess they thought they were above the law or something. Needless to say, because I could not pay the ridiculous payment they were requesting, my bankruptcy was dismissed. My lender IndyMac Bank, now known as One West Bank then decided to send me a loan modification package. I sent in all the paperwork they requested and kept requesting in order to get my loan modified. I heard nothing back from the lender as to whether it had been approved or not. I called and for three months I heard the same phrase, over and over again for 3 months every other day that I called, for a status report. " It is still in review." Right, still under review. Are you kidding me? How long does it take for someone to review 20 pages of paperwork and a hardship letter? Meanwhile, the foreclosure date was looming. I sent letters to IndyMac asking them to stall the foreclosure, explaining to them that I had 2 grandchildren ages 5 yrs and 15 yrs living with me, plus my daughter and myself that they were willing to just throw out on the street, should the foreclosure happen. How can these people sleep at night? They did not care. They say they want to help people, but the reality of it is, they don't want to help any one but themselves. They were determined to get my house and were unwilling to help me keep it. Bottom line is, they did everything they could do, not help me. I decided to put my home up for sale during the next 3 months in hopes, that it would sell before the auction date. It did not sell and so the auction went as scheduled. During the auction no one bought it, so it went back to the bank. I did not hear anything about what action was going to be taken in regards to the foreclosure after the auction, until 5 days later when I received paperwork taped to my door about a "cash for keys" program and who to contact about it. I contacted the real estate agent assigned by the bank and signed all the necessary papers for the "cash for keys" program. My family and I were given 3 weeks to get out. We complied, but I still received court papers with lies, stating that I refused to leave the property and they would be bringing a lawsuit against me. In the end I lost my home, but was fortunate to be able to find an apartment for myself, daughter and grandchildren to live. I believe this financial institution is a horrible lender, they are predators and have violated the law according to President Obama's stimulus package in keeping families from losing their homes. I certainly qualified for the lower interest rate, but they did nothing to lower it. They kept it at 8%, instead of what I was qualified for, which is 4% or lower. These people are cruel. They throw families with children out on the streets, just so they can get some money back on a house that they really don't want anyway. They have already been in the news several times before for the same thing and they still continue to do business. We need to ban together and close the doors to this despecable financial institution. Justice needs to be served here in a court of law and we need to be compensated for all the anguish this financial insitution has caused each and every one of us who has a loan through them. If anyone reading this is thinking about getting a loan through this lender, I am pleading with you, begging you to look elsewhere. You will lose everything to this mortgage company. When I say everything, I mean everything. I almost lost my family to this lender. Luckily, I didn't, but you might not be so lucky.

Posted on 10/21/2009

[detleffish]

daglo - thank you for your post from pro publica. I went there and found a great deal of information. I copied it and emailed my blight + articles + all the comments on the BBB site from homeowners dealing with IndyMac and sent it to all my representatives, the people from credit counseling HUD and cc IndyMac. It's quite the story.

Indymac called me today and offered me a modification (after haggling with them since April). At first they said I didn't qualify and I asked them to walk through the numbers with me. As they did that - they realized they made a mistake. Then they told me this story:

IndyMac said that there are three factors that enable a home owner to qualify for the Making Home Affordable:
1) Income over 31% of current mortgage
2) Value of property – must have significant forbearance – the value must be greater than amount of principle by 30%
3) Cost to forebear

Did cha get that? I could barely follow 2 & 3. Then they said due to correcting the mistake we now income qualified for a modification but it would take about two weeks to process...because now we had to see if we qualified for 2 & 3 above and something about a sweep and 6am on Fridays... I told him I woud email him everyday to check and make sure we were on track.
After a bit more questions and answers...he suddenly said, "oh the modification was sent out today, you will have it on Monday." What? Yes, you were approved. Oh really I said. Can you email me the papers? Oh yes he said. And volia just like that in a matter of minutes I had a modification in my hands through email. It's a trial modification for 3 months and then if our income hasn't changed then we will qualify for a perm mortgage. I follwed up with an email documenting the terms we agreed to on the phone.


I'd like to share with you all what I did to get here. This web site has kept me going. The information that people post has helped a lot. The stories and the encouragement. Now I want to give back.

First and foremost the most important thing to do when you are trying to get a modification is GET OUT of SHAME. Gone. nada.
2. stay on it - every day - even a little bit
3. contact your representatives and ask for their email. Ask for their help with this department: SIGTAR.gov Hotline 877-SIG-2009 They are in charge of montioring the Making Home Affordable program.
4. email IndyMac and cc your representatives
5. send all paperwork return reciept.
6. email every day. email articles -email requests. Keep you requests short and to the point.
The vice president of Indymac/One west is: brandon.latman@indymac.com
7. When you get a modification agreement email it and everything you understand the agreement to be back to indymac and your state reps. It's very important that you have witnesses.


I'm going to review the modification agreement tonight and I am hoping it is consistent with what they agreed to on the phone. And, finally I am very, very concerned about the corrupt dealings of the banking industry that I have read about and that I have experienced. There is something very wrong with banks being so corrupt. My representatives are on it; they are calling other reps to find out how pervasive this corruption is. They have been quite appalled at what has gone on with me. Call your reps today!!

[caldwellb02]

detelfish - dos this sigtar.gov also have influence over Chase? Iv'e called and written everyone but their sister/brother. I'm going to start e-mailing Lowman, the CEO of Home Lending of Chase at least every week. Let's see what happens. Thanks for the ideas.

[daglo]

Originally Posted by detleffish

daglo - thank you for your post from pro publica. I went there and found a great deal of information. I copied it and emailed my blight + articles + all the comments on the BBB site from homeowners dealing with IndyMac and sent it to all my representatives, the people from credit counseling HUD and cc IndyMac. It's quite the story.

Indymac called me today and offered me a modification (after haggling with them since April). At first they said I didn't qualify and I asked them to walk through the numbers with me. As they did that - they realized they made a mistake. Then they told me this story:

IndyMac said that there are three factors that enable a home owner to qualify for the Making Home Affordable:
1) Income over 31% of current mortgage
2) Value of property – must have significant forbearance – the value must be greater than amount of principle by 30%
3) Cost to forebear

Did cha get that? I could barely follow 2 & 3. Then they said due to correcting the mistake we now income qualified for a modification but it would take about two weeks to process...because now we had to see if we qualified for 2 & 3 above and something about a sweep and 6am on Fridays... I told him I woud email him everyday to check and make sure we were on track.
After a bit more questions and answers...he suddenly said, "oh the modification was sent out today, you will have it on Monday." What? Yes, you were approved. Oh really I said. Can you email me the papers? Oh yes he said. And volia just like that in a matter of minutes I had a modification in my hands through email. It's a trial modification for 3 months and then if our income hasn't changed then we will qualify for a perm mortgage. I follwed up with an email documenting the terms we agreed to on the phone.


I'd like to share with you all what I did to get here. This web site has kept me going. The information that people post has helped a lot. The stories and the encouragement. Now I want to give back.

First and foremost the most important thing to do when you are trying to get a modification is GET OUT of SHAME. Gone. nada.
2. stay on it - every day - even a little bit
3. contact your representatives and ask for their email. Ask for their help with this department: SIGTAR.gov Hotline 877-SIG-2009 They are in charge of montioring the Making Home Affordable program.
4. email IndyMac and cc your representatives
5. send all paperwork return reciept.
6. email every day. email articles -email requests. Keep you requests short and to the point.
The vice president of Indymac/One west is: brandon.latman@indymac.com
7. When you get a modification agreement email it and everything you understand the agreement to be back to indymac and your state reps. It's very important that you have witnesses.


I'm going to review the modification agreement tonight and I am hoping it is consistent with what they agreed to on the phone. And, finally I am very, very concerned about the corrupt dealings of the banking industry that I have read about and that I have experienced. There is something very wrong with banks being so corrupt. My representatives are on it; they are calling other reps to find out how pervasive this corruption is. They have been quite appalled at what has gone on with me. Call your reps today!!

Thank you, I am glad it helped. I have been BATTLING Indy for about 3 years, welcome to the fight!!

[daglo]

Originally Posted by daglo

Thank you, I am glad it helped. I have been BATTLING Indy for about 3 years, welcome to the fight!!

Also, John.Olinski@imb.com is very good at responding. We sent him e-mails, and he answered ASAP, which for Indy, is almost a shock.

[JAKE_ADAMS]

Thanks Moe for your listing. I assist homeowners in getting into these programs for no charge and i have some difficult times more than often. I was wondering! If you are denied the HAMP does the lender need to tell you the reason why? It would make sense that they do need to disclose the reason being since this is a Govt. Program. Is there anty rule in the HAMP guidelines that i can cite to get the denial reasons disclosed? Thank you so much.

[davephx]

GREAT NEWS

I haven't checked but I wonder if this was introduced after the Congressional Hearings today.

With it introduced and now more likely to pass than before with all the problems with HAMP this might yet be another tactic to pressure banks into mods even before it passes. And who knows how long that will take with a big fight expected from the Republicans trying to help the banks and their lobbyists.

I do not like the 10-day pre notification to banks. That hurts the ability to stop a foreclosure sale on short notice. Often sales are stopped by the Stay even minutes before a sale. I've heard auction guys )oops or gals) have gotten cell phone calls about a stay minutes before the sell a property.

[detleffish]

This is great news. I totally agree with the notion of a "big stick" - to get lenders to work with borrowers.... I will ask my representatives to support this new effort.

I have done quite a bit of research into the "Value of property – must have significant forbearance – the value must be greater than amount of principle by 30%
3) Cost to forebear" from my posting earlier. It's call the Net Present Value NPV- It's largely why people are not getting permanent modification once they finish their trial period. It's a hidden computer calculation that most borrowers have no idea about....thus the mystery why many people are denied a permanent modifcation.

Below is an article about the "secret" test:

The Secret Test That Ensures Lenders Win on Loan Mods - ProPublica

Below is a link to the Consumer Law recommendations regarding NPV:

http://www.consumerlaw.org/issues/mo...otices1109.pdf

[detleffish]

I just read the summary of the bill for H.R. 4173, the Wall Street Reform and Consumer Protection Act - and I cannot find anything in it about judges modifing mortgages in bankruptcy. Can anyone show me where it is? H.R. 4173 - Summary: Wall Street Reform and Consumer Protection Act of 2009 (GovTrack.us)

Thanks

[msm859]

Originally Posted by ama125

Important to note here is there is a difference between lender vs servicer. This is the list of participating SERVICERS. For the most up to date, see here: Making Home Affordable -Contact Your Mortgage Servicer

For other questions (like what's the difference between lender and servicer?), see here: Making Home Affordable - FAQs

Is there Anywhere that you can find confirmation that a "LENDER' is participating? My servicer is Wells Fargo. They told me I do not qualify for HAMP because my Investor does not participate. My "Investor" is Bank of America. I called them and they so they DO participate!

[davephx]

The following is a list of servicers who have formalized their commitment to the program through a signed contract:

Making Home Affordable -Contact Your Mortgage Servicer

B of A is listed as a participant

[paltauf]

I was in the modification process with Wells Fargo. We had 5 meetings in court mediation to try and finish my modification. I submitted all information they wanted with my lawyer. The court mediator said the financials look good. He didn't see any problem with this modification happening. They sold my mortgage (note) whatever to an investment company that does not modify a week before my last mediation. Under HAMP was this legal? The investment company does not modify. They want me to get a new mortgage (yeah right) or get out. In this crisis that were in can't I try and go after Wells Fargo?

[snapple candy]

paltauf,

What does your attorney, as well as the court mediator say about this?

This seems like bad faith tactics on WF and I would think (depends on the judge) the court would frown upon what WF just pulled and possibly rule in your favor. You might have a good case against WF. It really depends on how much you can spend on attorneys to file suit against them. To do this in the middle of negotiations is pretty shady to me.When they came to the table to mediate, they were supposed to be operating in good faith. Its obvious when you produced you financials and could prove you could qualify, they pulled the rug out from underneath you.

[paltauf]

Yes my July court meeting my financial were $500.00 off from what they wanted to see. I told them I could reduce my monthly expense by $500.00 by pulling my son out of day care. They said they wanted a letter from the school. We were to meet 8/22 for the update. Other than that I was told the modification looked fine. On the 8/22 meeting the lawyer representing WF had no paper work on my file. NONE He said WF was so busy I should start the mod process over and resubmit all paper work. One week later I was notified that they sold the not. Since then I have been getting the run around from the investor. They tried selling the note already but to no success. Finally yesterday they said they don't modify get out.

[snapple candy]

Their lawyer shows up without any paperwork?This is a bunch of BS! Sounds like a clustr fk to me. What does your attorney say about this?

Im curious, how did you get them into mediation in the first place?

[paltauf]

We (my lawyer) requested mediation and some how got it into court. I don't know exactly how. Does anyone know the specific agreements with TARP and what the banks are supposed to do?

[snapple candy]

well, what they are supposed to do and what they are do are two different things. No one is holding the lenders accountable to follow requirements. If you dont have a fannie or freddie loan, you lose some of the big stick to make them play according to the rules. You can go to Making Home Affordable site, as well as google TARP to find out more but your loan was sold out from underneath you while in the middle of mediation. This is bad faith. Whether you can sue over it is a question for attorney. This is a different issue but it may be addressed in the TARP guidelines somewhere.

I really think you might have grounds to file suit against WF. My question would be was the loan owned by WF in the first place, or were they just the servicer? I assume they owned it otherwise they wouldnt be the ones in mediation or been able to sell it off to another investor. I suggest holding your attorneys feet to the fire on this and make him/her explain WTF is going on and what he/she intend to do about it. I also would call the mediator directly and address what just occurred and what they think should happen.

[paltauf]

I think if I can find any info on the TARP outline or somewhere else then my attorney would be excited to go after WF. He has told be that he's into going after WF but I think he'd be a lot more excited if we find positive wording. The mediator said to me that mortgage companies are starting to sell some loans while there in mod. He didn't seam to outraged with what had happened. Didn't give me any hint that I had a case. If Kondaur would mod my loan or accept a short sale from the H4H plan then I really wouldn't care. Also I just filed a complaint with the Federal Reserve Consumer Complaint regarding what WF did to me including manipulating my appraisal back in 2007

[snapple candy]

Too bad the mediator doesnt seem to care but nice that your attorney seems interested in going after WF. I suggest you file complaints with the OCC (Office of the Comptroller) whom have jurisdiction over national banks.

If you were in negotiations with WF for a HAMP modification and led to believe this is what you were mediating, then TARP would also be a place to file a complaint and attach any court documents (ie: minute orders, mediator notes). It will take some research into finding some language but I imagine you might uncover something fruitful for your attorney. If I have a chance, Ill take a look at what I can find.

It takes a couple months to get these agencies to respond but call them regularly to follow up on your complaints and make sure they are received. Id also cc Wells Fargo on your complaints and the new investor. Most often the squeeky wheels get the grease. You have to be a real pain the arsh.

[davephx]

Yes, OCC does respond (did in my case) but may take a month and was submitted thru my Senators office. But it was regarding Citi's lies and putting me in foreclosure. They just responded to OCC that I was now in the trial...and then restarted for no reason other than Citi was behind.

If you have mediation in Court you must be in a judicial foreclosure State. Those of us in non judicial have no opportunity to go to Court.

Many attorney's have said we have no standing to sue since HAMP is under TARP (it is not a law) and we are not part of the participation agreements between Treasury and the servicer.

But if you are in a judicial foreclosure and depending on where some States have required mediation which is great although outcome uncertain.

[sonshine1963]

Does anyone have any information on Trustco Bank in NY. I have a second mtg. with them and they seem to be worse than any of the other banks! They don't want to modify or work with you at all. Please advise if you can.