Is this really happening???

[Serenity]

Hi everyone,

I've been awol from the boards for a few months as I was getting settled into my new job.

I received a letter from Chase today informing me that they are modifiying my loan and fixing it at its current rate for the entire remaining life of the loan. My interest rate will not adjust.

I didn't even get a chance to start the loan modification process! I've been waiting for my benefits to kick in at my new job so that my paychecks properly reflect my new take-home pay. I have everything else ready to go, but was waiting on that last element.

And today I get this letter.

I'm a little flumoxed because this was my bottomline best I could hope for option when I found out a modification was even possible. I would have liked to have a bit of a reduction in the rate and my payment - but fixed at current rate will do!

Now - question for the experts. I'm calling Chase tomorrow to confirm this letter. It doesn't mention new documentation and that worries me. All it says is to keep this letter with my important loan documents. As I type that, it seems a little flimsy to me. If its modified I should have official docs that show the new terms correct?

Any advice would be appreciated before I call them tomorrow. Thanks!

[Moe Bedard]

Hi Serenity,
Congrats on the new job and the Modification letter........
I would just ask Chase tomorrow about the detail of that letter......
That is great news too...
Keep us posted on what they say......o.k.

Per ***, we have seen some interesting letters traveling around and they are not real, so do call Chase and make sure that it is real. Do not call the number on the letter, call Chase from your payment coupon number or other Chase correspondence numbers.....be very careful out there, there are really unpleasant people trading on the misery going around.

These scammers are very tricky and very devious.

Oh Congratulations on the Job too.........

[mreedlaw]

Let me add congrats on your new job...hope it's going well.

The advice on this thread posted by *** and Poppy is right on target.

I am not aware of any "spontaneous modifications" by lenders as of yet, but it might be possible.

I would be very interested to know what Chase says when you call them today...

We have had some real interesting mailings going out these days....they are bogus and meant to part the borrower/homeowner from their money in the panic and fear that they are going through....it is absolutely reprehensible and utterly criminal...

Lest you folks who are doing this think we have not noticed, I am reporting one of you Bastards to the State Attorney General of California today, hope you get a cease and desist order along with a summons from the local DA....we wish you well in the Orange, hope it is complimentary to you skin tones....

I hope she calls and really I hope it is true, but never heard of it myself yet to date...things are changing daily in this world, who knows....I seriously suspect it is bogus and a come on to part her from her money...

If it is I would like a copy of it and we will deal with them post haste.

[Serenity]

Ok - just got off the phone with Chase. As Poppy advised, I did not call the number on the letter, but used the customer service number that is on my monthly statement. I spoke to a very helpful agent who told me that yes it is true. Chase started sending these loan modification letters out to customers at the end of February (my letter is dated Feb 26.) She said that they're just now getting calls like mine from customers who're calling to confirm the letters.

According to this agent, my loan terms read fixed interest rate for 30 yrs. and have a notation of "Modified by Chase as of Feb 2008).

I asked about other paperwork and she put me on hold to double-check with her manager. She reported back that they're not sending out new loan docs, and that the letter I received plus my payment history is proof of the modification.

So....there you have it. I think I'm in shock. It seems too easy that all I had to do to get a modification was open a letter and then file that letter with my important loan documents. I was all geared up for the struggle. I think I'll believe it after June (when my loan was due to adjust) and if nothing happens then I'll exhale.

I take it that you were current and did not ever miss a payment with them, this must be an offering made to existing customers of a certain class, not every investor is going to rubber stamp this in the long haul. I am really, really happy for you and this will be a huge relief.

Can you do me a favor...I know it is a lot to ask, but it will help someone else, can you find out who the investor was on this loan and let me know when you originated the loan so that I have an idea of the pool that it went into...that is a real help to me in this saga of pools, loans, Lenders/Servicers......it will help identify which ones are going to be in this class and give us some information as to how to proceed in certain situations.

To find out the investor call Chase back, yeah I know bummer dude, and let me know that information.

[Serenity]

I am current and never late on my loan. Sometimes by the skin of my teeth and I have racked up a few late charges - but never outright missed a month.

My loan originated with Chase in April of 2005. They've owned it since day one. No other investors.

Oh Chase sold that loan, they just retained the servicing on it, the are the masters of that program...they have to sell loans to generate money for the next loan. If they did not sell the loan then they would run out of money...we used to not do it, as we were able to shelve the loans and run off of the depository accounts in the Banking end of the world, however in today's mortgage banking, just about every loan made is sold.

They sell in pools and in Chase's case they originate it, retain the servicing and sell the loan portion and the interest/yield on the loan to raise cash for the next set of loans that they make.

Since I do not know the type of loan that you have 2/28, 3/27, 5/1...I am not able to figure out the type of investor it went to, also full doc versus stated or alt doc...all of that enters into who is the end beneficiary of the loan when it is bundled and sold.

[Serenity]

Interesting! Is this the norm for Chase? To originate, sell and then retain the servicing?

My loan is (was??) 3/27 with full docs.

[Moe Bedard]

Congratulations Serenity. Expect this to happen a lot in the future and Chase is way ahead of the curve in regards to their out reach efforts.

Yes, that is normal, for a smart company like Chase. It gives them full control to make decisions like they did with you. Make things easy and profitable.