Foreclosure Notice from GMAC

[MDFMDF]

I know I saw somewhere how to answer a foreclosure notice but cannot find it now. I just received via certified mail from Seneca Trustees, Inc. a foreclosure notice. It reads as follows:

We have been instructed to initiate foreclosure proceedings to foreclose on the mortgage on our property. The following information is provided to you as required by the Federal Fair Debt Collection Practices Act:

1. The service has advised us tha the amout of the debt is $214,667.76
2. The creditor to whom the debt is owed is GMAC Mortgage, LLC.
3. Unless you, within thirty days after receipt of this notice, dispute the validity of the debt or any portion thereof, we will assume the debt is valid.
4. If you notify us in writing within the thirty-day period tha the debt, or any portion thereof, is disputed, we will obtain verification of the debt or a copy of the judgement against you and mail a copy of such verification or judgment to you.
5. Upon written request within the thirty-day period we will provide you with the name and adress of the original creditor, if different from the current creditor.

Not sure on how to answer these questions. I do have a letter from GMAC stating that we were approved for a Work Out Plan, which was then resicinded due to something to due with WV law. I was planning on sending a copy of the approval letter to the Trustees, but need to know how to answer the 5 questions above.

Thanks

[SimonSaysSo]

I know I saw somewhere how to answer a foreclosure notice but cannot find it now. I just received via certified mail from Seneca Trustees, Inc. a foreclosure notice. It reads as follows:

We have been instructed to initiate foreclosure proceedings to foreclose on the mortgage on our property. The following information is provided to you as required by the Federal Fair Debt Collection Practices Act:

1. The service has advised us tha the amout of the debt is $214,667.76
2. The creditor to whom the debt is owed is GMAC Mortgage, LLC.
3. Unless you, within thirty days after receipt of this notice, dispute the validity of the debt or any portion thereof, we will assume the debt is valid.
4. If you notify us in writing within the thirty-day period tha the debt, or any portion thereof, is disputed, we will obtain verification of the debt or a copy of the judgement against you and mail a copy of such verification or judgment to you.
5. Upon written request within the thirty-day period we will provide you with the name and adress of the original creditor, if different from the current creditor.

Not sure on how to answer these questions. I do have a letter from GMAC stating that we were approved for a Work Out Plan, which was then resicinded due to something to due with WV law. I was planning on sending a copy of the approval letter to the Trustees, but need to know how to answer the 5 questions above.

Thanks

I received the exact same letter from Bank of America while I am also awaiting an answer on a modification. I was told by someone at Naca that I simply write saying I dispute the debt and then BOA will have to come up with proof of it. Did they also include a Uniform Borrowers Form with your foreclosure initiation letter?

[Evan Bedard]

Not sure on how to answer these questions. I do have a letter from GMAC stating that we were approved for a Work Out Plan, which was then resicinded due to something to due with WV law. I was planning on sending a copy of the approval letter to the Trustees, but need to know how to answer the 5 questions above.

If you type in "dispute the validity of the debt" in the google search bar at the top of the page you will find tons of information on this topic which should help you get this accomplished.

[MDFMDF]

Thanks for your help. Sent the letter out today certified mail and also sent a copy to the Govenor of WV and the Attorney General. May be they will be able to help. GMAC keeps quoting me the WV law that the new mortgage loan cannot be higher than the market market value of the house and that is why they cannot modify my loan.

[Evan Bedard]

Thanks for your help. Sent the letter out today certified mail and also sent a copy to the Govenor of WV and the Attorney General. May be they will be able to help. GMAC keeps quoting me the WV law that the new mortgage loan cannot be higher than the market market value of the house and that is why they cannot modify my loan.

There is really not many (if any) laws that apply directly to loan modifications, and I have seen people here with equity able to modify their account just as one would being underwater..

[MDFMDF]

Well, they keep quoting the WV Law that the new principal balance after a loan modification cannot be higher than the market value. The AG office actually called me and asked me to send them all the paperwork that I have. He did state that there is some type of WV law about the principal balance cannot be higher than the market value of the property, but he stated that we may be able to work around that situation. Awaiting to hear back from them and also the lame attorney that we hired who unfortunately has no clue. I am hoping with the WV AG office involved they might be able to help me. Will keep you updated.

[Evan Bedard]

I too hope the AG office will be able to assist you and that is great news they are offering to help personally handle your case. I'm sorry to hear your lawyer hasn't been more of a help, I would assume he would have known all about this so-called new law in your state....

[MDFMDF]

I think I am going to put in a formal complaint against this attorney's office since I would have never started this whole process if someone knew the WV law. It is crazy because I paid this attorney up front 3700 and cannot modify my first loan because the total of the first and the second is over the market value of the property. I was told that I can't do anything about the second mortgage since I can't get the first mortgage modified. The second was part of the purchase price of the home. If I was able to get rid of the second mortgage my home would be close to market value.

[Evan Bedard]

What is the status of your 2nd mortgage? Are you up-to-date on payments or are in you behind on payments on that mortgage as as well?

[MDFMDF]

Evan,
I am two months behind on the second mortgage but can easily catch that up.... The second is with GreenTree and I delayed making payments on the advice of my lame attorney.

[Evan Bedard]

Again your attorney should be aware that since your 2nd mortgage is underwater they are in no position to pursue foreclosure on your property and MANY people have been able to modify their first mortgage even though their 2nd was delinquent. You will definitely want to check out the following thread, it will show you everything you need to know about negotiating a settlement on your 2nd..

Strategy for Settling Your 2nd

[MDFMDF]

Thanks for the reply.... My whole issue stems from this WV Senate Bill 551 that will not allow loan modifications if the first and second principal are above the market value...I know, I know, it does not make sense... GMAC keeps quoting this Senate Bill (they are the first) and refuse to modify my loan. I was under the impression that I had to have been able to get my first loan modified in order to qualify for modification on a second.

Secondly, the investor of my first mortgage loan is Freddie Mac. According to Senate Bill 551 this bill does not apply to mortgages that are backed under federal programs. I have a phone appointment with my attorney today, waiting to see what he says. Also GMAC said that they won't put the missed payments on the back of the loan because that will raise the principal value of the loan whereby violating Senate Bill 551. I am so done with this whole process. I always made one extra payment a year on my mortgage for four years until I had some financial difficulities, but now that I am behind GMAC would rather foreclose.