Help - I'm exhausted!

[sheilas831]

My story is a triple whammy of sorts - I have been in the mortgage lending business for 19 yrs (my entire career) and in February 2007 my company closed without warning and without paying their employees. I was hired at another lender within days and this same scenario played out four times over the next several months before I gave up on the lending industry. My husband left in May 2007 because the financial strain was causing too many arguments. So I was left in a bind although I was able to keep up financially for seven months eventually money ran out. I tried working with my lender prior to being late and they refused stating that I had to be behind before they would consider any type of loan modification. Well when I fell behind they wouldn't consider working anything out with me because I was "in the industry". I love my home and want to hang on to it but there is no equity even though I put almost $100K down and even paid extra toward principal during the first three years. I also remodeled a bathroom and put in a new septic system ($35K).
My three small children and I are on the verge of being homeless. I have filed a BK13 trying to make arrangements and hold things off long enough for me to get a decent job and make the agreed payments but to no avail. The really sad thing is that a lot of potential employers are "shying away" from hiring previous mortgage industry employees due to the "reputation" of such individuals. I was mortified the first time a potential employer said this to me because I have ALWAYS done the right thing never once did I close a "preditory" loan or a loan with a teaser rate. My company offered such programs but when a mortgage broker tried to put a borrower into a loan that I felt was only to pad their pockets I discouraged them from submiting to my company. I had enough business without having to worry about someone losing their home in a couple of years because of a greedy loan officer wanting to get a 3% rebate. Most loans like that went to World Savings or Countrywide anyway. Now here I am in the same position as many fellow Americans - desperately trying to hang on. Any suggestions?

[Moe Bedard]

Hi Sheilas831,

Welcome to the forum and thank you for joining...........I am sorry to hear about everything you have been through......I hope we can help........

What state are you in?
Who is the lender?
Do you have one loan or two?
What type of loan is it?
What is the interest rate?
Is it adjustable?

The not being behind is really not an issue if you are in a hardship with a rate about to adjust or did adjust............the issue at the moment will be the BK.....most lenders will not modify if you are in a Chapter 13 BK.

[sheilas831]

I am in CA and my rate adjusted in 12-07 it is now 8.95% orginally 5.95% - I understand about the Bk and that they will not work with me but I tried multiple times and they wouldn't work with me prior to the Bk so I really had no choice but to file to stop the foreclosure sale. I have a first with ASC/Wells Fargo $670K and a second with WAMU but with the current values I was told we can "scrape" the second. I have owned the property for 4 years and had no prior credit problems before the colapse of the mortgage industry.

[Moe Bedard]

You are in California which is good for you if the loans are purchase money loans...........are they?
Do you mean that you were told that the BK would strip the second? In a modification the lenders are not doing principle reductions..... so if you were going to try the modification route you would have to first work with ASC and then work with WAMU........but it can't be done with that pesky bk........I know that you had no choice.......it is a hard decision to make........in a case like this you might want to enlist the help of an attorney or
HOPE at 1-888-995-HOPE

I wish I could help more here..............but with the bk any advice I would have on modification won't help........

[ForeclosureCoach]

I understand your pain many people in the mortgage industry are facing the same decisions. Be encouraged and don't loose hope. Life has it's storms and you will make it through this time in your life. Guard your mind and focus your thoughts on the positive things in your life and only speak words of victory not defeat. Today write a plan and take action . Take it one day at a time and you will have victory.

[sheilas831]

Foreclosure Coach -
Thank you for your kind words and inspiration. It is only my Faith in God that has gotten me this far and helps me every day to hang on. I am a very positive person - some days are harder than others - I pick myself back up and continue to search for a happy resolution to my situation.

[ForeclosureCoach]

You are a winner and will continue to prosper... Keep your head up........