Expenses that NACA includes when submitting proposal????

[Questions]

Quick question for everyone who has worked with NACA. I had an original proposal submitted by one counselor but have been told that everything was submitted incorrectly. I have been given conflicted responses. I was told that the credit card debt should be included with expenses but I have also been told by another (actually two counselors) counselor that the credit card debt should not be included. My restructure has been resubmitted minus credit card debt. I don't know what to do. The lender hasn't responded to the first submission and now, another restructure has been submitted for me. I'm going to stay positive and pray that it all works out but just wondering if anyone else has had experience with this.

Thanks!

[Evan Bedard]

Hi questions,

I'm not exactly sure if NACA includes CC debt. But your lender will more than likely pull a credit report and see the debt regardless..

[SillyWorld]

NACA did a credit report, and yes they counted all my bills out of the NET pay not the gross, but they did tell me if I cannot afford FOOD or pay utilities, do not pay credit cards as they cannot take your Home, but pay mortgage payment they can take your home...

[Questions]

Thanks for the responses. Interesting. Yes, they pulled my credit and listed the credit card debt in one column but right next to it, they entered 0 (believe that column sd actual). The counselor said NACA nor the lender cares about credit card debt. I think I'm going to set up another call on Monday to get confirmation from another counselor. I have been told a few different things.

SillyWorld, have you gotten an approved modification? Who is your lender?

Thanks again!

[SillyWorld]

Originally Posted by Questions

Thanks for the responses. Interesting. Yes, they pulled my credit and listed the credit card debt in one column but right next to it, they entered 0 (believe that column sd actual). The counselor said NACA nor the lender cares about credit card debt. I think I'm going to set up another call on Monday to get confirmation from another counselor. I have been told a few different things.

SillyWorld, have you gotten an approved modification? Who is your lender?

Thanks again!

My Servicer is Citimortgage and my investor is I think but nobody could verify NACA said they think it is Ginnie Mae

And no I have a restructure in progress but no approval, worked with Citi from march till May htye got me no place, been NACA MAY18 till now and still waiting and waiting, and recalling and calling and seem to be at a dead HALT, But I am sure when they feel like working something out they will, but seems they have better things to do right now, I will get an answer whenever I get an answer....(Probly a Sorry we cannot) Just like Citi done but who knows if they give me the NACA offer I will excepty as it is betteer trhan I can get on a Streamline

[luvmyhorse]

Does anyone what the net ratio needs to be? They keep talking about gross, but what about net?

[SillyWorld]

Originally Posted by luvmyhorse

Does anyone what the net ratio needs to be? They keep talking about gross, but what about net?

Most if not all Bankers start with Gross 31%, if your loan is more than that, then it starts you in the process of a MOD, not that you get it but it Qualifies you..

Then they can and some do use the NET, add up all Monthly obligations, after there suggested loan MOD, and see if you are at the 31% or less, and some use it to their advantage to disqualify you due to too Much Monthly Debt,,,

[Corrina]

Hmmm.... I did my interview today with NACA and went over all of my outgoing. CC debt was included and was told that this could be my only hurdle (since my monthly payments to them were high even though I am on a hardship payment plan). Reading this I am now getting worried. If the CC debt didn't need to be in there even though they will see it on credit report why was it? Especially if it could ruin our chances of a mod with the lender.

If anyone knows the facts let us know? I would imagine that NACA has guidelines that they follow and it would be the same no matter who the agent was who was helping you.

[SillyWorld]

NACA told me that CC can be used against you, or they can ignore them because it has nothing to do with your mortgage, meaning you can just stop paying CC and then be in the excepted percentile range, they also said to me if I get in a JAM stop paying CC and make sure the mortgage is kept up to date. Which I still have all up to date but my outgo total without a MOD is 69% of Gross, after there MOD without CC counted would leave me at 29% NET add in CC I am at 39% NET wich they could go either way on me with denial or exceptance, do you understand my standing..??

[luvmyhorse]

What I don't understand and no one seems to know.... if you are a small business owner filing a 1099, and you have a lot of deductions, will they use your adjusted gross to disqualify you?

ANYONE KNOW?

[MAXIE19]

Good question....especially for those of us who are self employed and write off virtually everything.....the 1099 may show a high income but after all the business deductions not much is left....for example, in my case....my profession and job responsibilities allows me to deduct my monthly car lease payments as well as a portion of my mortgage, and utiliities, etc. for home office use.

[SillyWorld]

Originally Posted by luvmyhorse

What I don't understand and no one seems to know.... if you are a small business owner filing a 1099, and you have a lot of deductions, will they use your adjusted gross to disqualify you?

ANYONE KNOW?

If you give them your IRS filings for last 2 years usualy they can see your deductions and compare to whats been made so far this year, you must show the deductions sent with the 1099

[luvmyhorse]

They say they are asking for one years tax returns, are they asking for 2?

[SillyWorld]

No I just said they usualy ask for 2 but if they asked for 1 then give them 1