loan modification with select portfolio servicing

[rolex629]

Hello all
I am new here and just want to say thanks to everyone here for all of their valuable information.Ok my story, After many attempts to get a loan mod with sps. I have finally gotten them to agree to a possible interest rate freeze for the life of the loan as well as spreading the 2 past due payments over the life of the loan. I currently have a 9.5 rate on an arm that is due to adjust in Dec. of 2009. I am not able to refi as the value in my home is 15 k less than when I bought the house 8 years ago. The loan counselor said that I need to do a financial statement in order to possibly qualify; my question is how much available money do I need to have after all expenses. Is there too little of an amount as well as too much? I had tried to do a loan mod 6 months ago and they said I had 700.00 left over and that they would do a repayment over 2 years which would have raised my loan, I declined the offer. So I want to make sure that I don’t put myself in that situation again. My income has also declined drastically since then. I want the rate freeze as well as the 2 payments spread over the life of the loan, this would be a good start.

sorry for the long explanation, any advice would be greatly appreciated.


Thank you.

[Moe Bedard]

Hi rolex629,

Welcome to the forum and thank you for joining...............

It would be best to go over the financials with SPS as the criteria for each investor would be different..............for instance, some count up to a certain amount for credit card debt, and some don't count it at all.........SPS should have a financial form available to fill out so you don't miss any items..............

We just don't have the magic number that each investor is looking for to get an automatic approval..............I sure wish we did..........

[rolex629]

Thanks *** for the quick reply, I also was wondering should I do a QWR at this point since they are willing to finally work with me, would this impact my chance of a loan mod one way or the other. My loan was originally done through argent mortgage and then transfered to AMC then to select portfolio.

Any chance paper work my be messed up?

Thanks.

[Moe Bedard]

loans get transferred all of the time................
Are you having servicing issues with your loan?
Are payments not being applied, or escrows not being paid?

click on the link for information about RESPA........which outlines the reason for writing the QWR.........

HUD RESPA: More Information

[rolex629]

.
No issues that I am aware of at this time. The only reason I asked about the qwr was after reading other post it seemed like it was just something to do to possibly help to get loan mods. Especially with some one like sps who does not have a good reputation. Sorry if I got the wrong idea, this is why I asked before I sent one and looked really stupid

[Moe Bedard]

none of the questions here are stupid..........

You are doing great!

most members that do the QWR............ask for the docs to have them looked over by the attorney for RESPA and TILA violations and also to compare them to the docs that they received at the closing..............
and also for the servicing issues to see where and how the payments that they may be missing are being applied............also some want to know where fees are coming from as well.............so that would be when a QWR would come into play.
The QWR also would be sent to a different dept. than loss mitigation.....so the dept. that is working on your mod wouldn't necessarily know that you had sent one............
the attorney would use the violations found as leverage for the modification.......


You can do the QWR for the purpose of obtaining the copies of the documents that went to the lender at closing to keep for your records just in case you want to have them reviewed later............since it does take some time to receive them.............

[Jerseygirl]

Hi I received a letter from SPS yesterday regarding our 9.99 adj. rate. It was set to adjust in Dec. They automattically froze the rate under the Bush plan. I did not have to apply for that. Infact when I was told this I was very surprised, I still submitted my financials. We can no longer afford the 9.99% anymore, due to lost wages. Sps DOES factor in an additional 20% into your income for emergency expenses. After that we had $511.00. I dont know how they figured that, I certainly dont have an extra 1500 a month lying around!! If we are denied because of to much money I will submit again, for us its either a interest rate reduction or forcloser.

[rolex629]

Hey Jersey Girl
I was just rading your post on the other thread and was going to give you an update. I just spent all morning on the phone with sps about the loan mod. and what they could offer. After three hours of not getting anywhere whith the so called loan counslers, I called the ombudsman dept. and got to speak to a rep. named Tony Wilde, he was so very nice to deal with as well as very helpful. He walked me through doing my financial statement and also explained the extra 20%. I was told that you need to have at least positive cash flow after the 20% to qualify for any type of loan mod. he then directed me back to the loan counslers who now were ready to help me asap after knowing I spoke with Tony. They had me fax in my paystubs and told me to call them in 48 hours to find out if the mod. was approved, which as long as my income is what i stated, it would be. I would then have to make 3 payments one in oct, nov, dec, and as long as i made those on time they would then freeze my rate and spread my 3 delinquent payments over the remaing life of the loan. This is a start as it would help from continuing to aquire late charges. and marks on my credit.

i hope this was some what infomitive to you.

[Jerseygirl]

Hi, I am still waiting to hear back from the investors. I just hope it will be reduced some. Otherwise we are just going to have to let the house go. We can not keep killing ourselves to make this payment every month.

[rolex629]

well i hope everything works out for you, please let me know of any progress you get with them, as well as I will let you know of anything i get worked out with them. hopefully we will both be succesfull, and we can put all this stress behind us.

[Jerseygirl]

Hi, I heard from them today and we were denied for a modification. They said our "assests were suffcient" Dont know how they can say that! I dont think they used the correct income for us, I plan on resubmitting paperwork. But in the mean time our rate has been frozen until 2013 under the bush plan so at least i dont have to worry about that adjustment right now. Good luck, and let us know how u make out.