Loan Mod Countrywide SUCCESS!!

[amorgan1604]

I had a significant decrease in income over the last year. After exhausting my 401(k), saving, and consolidating debt I am out of options. Have alwasy been current on my mortgage. I was contacted by countrywide to provide hardship letter and financial information for possible loan modification. Question:

1. Does anyone have sample hardship letter for someone asking for a modification due decrease in income?

2. Does anyone have experience getting a modification due to decrease income? What was your experience?

[Steven]

I don't know anything about getting a loan modification due to a decrease in income, but there is a link on the left side of the page in the Homeowner Tool Box that will lead you to an example of a hardship letter. It leaves a spot for you to fill in your reasons for falling behind on your mortgage, so you could put your information about your income decrease there.

Someone with more knowledge of loan mods will probably come along soon with some additional advice for you. Good luck.

[amorgan1604]

Thanks. I will check it out.

[Moe Bedard]

1. Does anyone have sample hardship letter for someone asking for a modification due decrease in income?

Examples of a Hardship Letter

2. Does anyone have experience getting a modification due to decrease income? What was your experience?

This is actually the normal standr reason why loan modification are given. But you will have to demonstrate the ability to pay a reasonable mortgage or at least a gurantee when this income will return for them to work with you.

If you are say at 8% now and at 5 or 6% you wil be able to affors your mortgage, but if you are at that already then it will be really tough. Unless you find out that your loan is not lawful or has truth in lending act viloations.

[amorgan1604]

Well

After waiting for 3 months, I was denied any loan modification and was told I would have to go through the forclosure process. I was told that I do not have an adjustable rate mortgage and I am not behind on my mortgage payments over 30 days so there isn't anything they could do for me. A descrease in income dosen't constitute a mortgage modification. I didn't give up, I e-mail the executives of Countryide and requested that they help me. I told them what I requested and what response I recieved. I also attached a copy of my hardship letter. All of my financial informaiton (tax returns, paystubs) was already in the system. That evening I recieved an e-mail back from one of the executies who said someone from their offices would be contacting me to resolve this issue he also Cc: someone and told them to keep him informed of what is going on with my case. The next day I was contact by an executive office homesave specialist who said they are going to recommend I receive the changes I requested. The Specialist said that the executive office has their own workout department and have the latitude to approve request that may have been denied. I will let you know what the final outcome is. Stay tuned.

[Moe Bedard]

Yes it is nice to know that our contacts do work.........

[amorgan1604]

After 6 months of fighting and being denied, I was offered 3 month forbearance. I am further along than I was initially but wonder why I was only offered 3 month forbearance (only after I asked about it). I proved that I had a decrease in income and because I was never late and I paid over 22K in points when I purchased my home so my rate can be at 6.25% I was told there is nothing they can do for me.

[Moe Bedard]

When you did your household income versus your household expense budget were you able to show a surplus of $100-$250?

[amorgan1604]

No a deficit.

[amorgan1604]

What can I do now?

[Moe Bedard]

This is the reason you are being offered a forebearance..............they will not modify your loan if you can't show a surplus...........

If you can successfully complete the 3 month forebearance you might want to see if you can be offered a modification at that time as a part of the forebearance agreement.

Or you can try to enlist the help of NACA
which CW works with to help you with your budget and see if they can help you.......

[amorgan1604]

On second thought. What could they modify the loan to? I have a fixed 30 year 6.25% loan. More than anything I am seeking temporary payment relief. I guess forbearance gives me the relief. I am self employed and expect my income to increase by the end of the year. I am happy that I was offered the 3 months forbearance when initially I was told Countrywide doesn't do forbearances. I don't know if you consider this a win, but I do.

[Moe Bedard]

Well now with a 6.25% fixed interest rate.............you are quite right.....

they are not going to touch that and you shouldn't want them to..........

In this case I would definately consider the forebearance agreement a win if it gives you the relief you need to get back on track........

[amorgan1604]

Put me in the win pile

[Moe Bedard]

First just check with them and let me know if they have to send you a foerbearance agreement to sign.............

[amorgan1604]

Your right... Will do.

[amorgan1604]

Your right... Will do.

[amorgan1604]

I received the documents 3 days after they said I would. You may put me in the winner circle now. I really appreciate this community. I wouldn't have been able to succeed in saving my home without it.

[Moe Bedard]

Congratulations!!!! Gr8 News!!

[schwefls]

amorgan1604:

Congratulations to you, kudos, party hardy this long weekend, you deserve it

[whatdidigetinto]

congratulations!