Litton/Modification SUCCESS!!

[christy4]

I will try to make my story short. Lender is Lasalle Bank National Association, as trustee for Ownit Mortgage Loan Trust, Asset-Backed Certificates. Of course, Litton Loan is our servicer.

Bought our home 2/06 and entered into a forebearance agreement 6/07 with $2052 down, payments of $923 for 13 months beginning 7/07. After we signed the forebearance agreement, we received a letter from Litton offering us a Loan Modification with $1925 down at a lesser interest rate. Since we just had paid the down for the forebearance, there was no way to come up with another down payment. I called Litton and was told that I could request that the first down be applied to the down payment for the loan modification, BUT there was no guarantee that we would qualify for the modification AND the foreclosure would restart where it left off. At that point it seemed to be better to keep with the forebearance plan and not try to go for the modification. We have a 30 yr fixed rate--no adjustable.

I lost my job Aug.1st but unemployment started before the next payment. All payments were made on time until my unemployment ran out in Feb. and with only one income now as well as the high cost of winter heating, groceries, and gasoline, we're in the same boat as alot of others. My husband is the only one on the loan and the only one working now, but my income was a big help with monthly expenses.

In January 08, we received a letter from the attorney who was handling the foreclosure for LaSalle/Litton. It was a Dismissal of the foreclosure, without prejudice that was presented to our county court of common pleas. On Friday 5/16 I received a notice of dismissal from the county court regarding property taxes (they had since been paid) as the county treasurer was also a part of the foreclosure.

About 2 wks ago, I called Litton to request a Loan Modification and was told that the foreclosure was still on "hold". If the attorney for LaSalle sent the dismissal to the court already, won't they have to initiate a foreclosure from the beginning?

In any case, the person I spoke to in the foreclosure dept. said that we were good candidates for a loan mod. He sent me the financial disclosure that I need to fill out and fax back with the requested documents. I am working on this and will have it finished and faxed back to them this week.

At this point, I need to know what I should do next. We are having a hard time making the forebearance payment of $923 so last month I sent the regular payment plus late fee only. My online statement for Litton shows that the payment was applied to our account but, of course, we are still behind in our mortgage 3 months. A lower interest rate with the modification would be great, however, my first concern is to just get current with the mortgage even at the usual interest rate/payment.

I don't want to rock the boat either, but should I QWR them so I can see where the $2052 downpayment for the forebearance went? We want to keep our home.

Thanks for any help you can give.

[schwefls]

Welcome to our forum Christy4:

I am so sorry to hear of your hardship. I am a Litton success story. I enetered into a forebearance plan knowing I could not afford it. I made my first payment, then applied for the modification. I was approved in 43 days. When doing your budget only show a surplus of 100-250.00 each month. They need to see some type of surplus.

In the meantime someone will be reaching out to you to gain some additional information regarding your mortgage/financials from our forum.

We are here for you, we are living it or have been there dun that.

Keep when one thing in mind moving forward, you need to make this modification a full time job call, call, call, fax, fax, fax assume nothing and do not let Litton forget you. Remember these 3 P'S, Patience, Persistence and politeness and you will be a success just as I am.

The QWR will not rock any boats, I QWR'd them. If anything, I believe it motivated them to help me.

Please let me know if I can be of any further assistance.

[christy4]

I have written my hardship letter and would like some input from others to see if it is ready to send.

To Whom It May Concern:

I am writing this letter to request a loan modification, which would allow us to become current in our mortgage and possibly lower our interest rate and monthly payment.

After entering into a forebearance plan in June 2007, my wife lost her job in late July. With her unemployment, we were able to keep up with the forebearance payments but her unemployment stopped n February of this year. My wife has not been able to find gainful employment since then due to the declining job market in our area. Also, our finances have been devastated due to the high costs of home heating for the winter as well as the rising costs of food items and gasoline to get to/from work for me and to search for work for my wife. We have fallen behind in several bills and are finding it especially hard to make the monthly foreberance payments to Litton Loan Servicing.

I have been working as much overtime as possible while my employer is experiencing a busy time but this is projected to slow down in the next few weeks. My wife will be attending vocational school in the fall for several weeks to become certified in medical billing, as the job market in this field for our area is very strong.

We fully intend to pay what we owe but we feel a loan modification would be beneficial for us in that we would be current with our mortgage. We would appreciate it if you could work with us to cover the deliquent amount and allow us to be current so that we can keep our home.

Sincerely,

[schwefls]

Sounds good

[christy4]

Thank you, Schwefls, for replying.

I have a few other questions----

I've found some email addresses to the higher ups at Litton Loan on this forum. Should I email my hardship letter to each and every one of them?

I've been told that we have a foreclosure specialist assigned to our account since we are in a forebearance program. I'm supposed to fax the financial information form and all documents to her-----but this is going to be relatively expensive since I don't have access to a fax machine myself. Does it need to be faxed? Also, should I mail in copies of the same documents and, if so, who does that need to be sent to?

[christy4]

Sorry to be such a pain, but here are more questions----

What can I expect during the modification process? I was told that the propery would need to be appraised. When they send an appraiser, do they just take pictures of the outside of the property or will they come in to see everything?

Our Litton account online is showing that the next payment is due Feb 1st which means we are 3 months deliquent. The person I spoke to at Litton advised me to save towards the up front contribution which could be anywhere from $800 to $1600 from what he said. Also, I was told to make our monthly payment if we could. What happens if we can't? Does the submission of a modification request and financial documents put everything on hold so that they can't initiate a foreclosure? We're in Ohio, if that makes a difference.

[Moe Bedard]

Hi Christy4,

In the letter the only thing that I would word again is the last line about covering the deliquency.........be a bit more specific and tell them you want the past due payments and fees to be capitalized into the principle balance of the loan...........this way they won't ask you for all of the past due up front......

Here is the Litton Loan information posted by Schwefls that she used.........
Hope this helps..........
Please keep us updated on your progress...........

Put together a QWR (Qualified Written Request)
In that letter demand your Life of Loan History, Copy of Note, Deed of Trust, Riders, all Assignments of the Deed of Trust, TIL, Right of Rescission (if refi), Lender Final HUD-1, Copy of Initial Loan Application and Final Lender Loan Application, all Disclosures and all Loan Documents in your file, Copy of Appraisal.


There is a blank copy of the request in the Homeowner's Tool Box to the Left of the Forum

Make sure you send it certified mail return receipt required to address below:

Litton Loan Servicing LP
Attention: Customer Service Department
4828 Loop Central Drive
Houston, TX 77081


Executive Resolution Team
Direct: 1-713-218-4592
Fax: 1-713-966-8852

Portfolio Retention Dept.
1-800-247-9727 ext. 7719
1-800-247-9727 ext. 4913


Email Hardship Letter to each of the email addresses below:

llitton@litton.C-BASS.com (CEO)
efolk@litton.C-BASS.com (CFO)
akelley@litton.C-BASS.com (Senior VP)
steven.droddy@littonloan.com (mort retention mgr)
michael.whitfield@littonloan.com (loan retention mgr)


Litton has arranged for CareOne Credit Counseling, a non-profit debt management and financial education service, to assist our customers. If you are interested in more information about this free service, please call (866) 866-6131

[schwefls]

Hi Christy4:

Only use these email addresses, I strongly suggest faxing, can someone you know do it from work if not yourself, be sure to save the fax confirmation. I would hold off on mailing, they are really not snail mail saavy, the emails and faxing worked like a charm for me after having used snail mail for a year with no ackowledgement on their part.

[christy4]

I wil get everything together and get it faxed.

Hardship letters to the email addresses above has been emailed.

Thanks for your guidance!

[schwefls]

Not a pain at all I enjoy helping see responses enclosed:

What can I expect during the modification process?
Yes they will order a BPO (or at least they did in my case) that is an interior/exterior appraisal. I am in NJ and Titanium solutions did it, that fee was rolled into the mod.

I was unable to make my forebearance payments of 1300.00 more than regular payment. Nole Connel at the Executive Resolution Team authorized normal monthly payments during the modification process. What I did was pay it on the last day of the month therefore should my mod have been approved during that month I would have the contribution available. My mod was approved 4/2 and monies due by 4/17. I was able to pay the contribution cauz I had never paid April's payment (would have had the 30th come around). My down payment was 3595 6 months in arrears on a 277k mortgage.

What happens if we can't?
I never got there I could afford my payment not my forebearance payment.

Does the submission of a modification request and financial documents put everything on hold so that they can't initiate a foreclosure?
I was told collections continued, do you have a foreclosure scheduled? I did not. But, I know they continue cauz the same day I mailed in my contribution I also received a Notice of Intent to Foreclose. I called my negotiator in a panic and she advised me that collections continue. Please keep this in mind also.... it takes up to 30 days for your account to be updated once your contribution is received, mine was updated in 16 days. But, it definitely does take some time.

Let me know what else I can do to ease your mind.

[christy4]

Thanks again for the reply and the information that you have given me.

I received a voicemail from Noel Connel already, but haven't been able to speak to him yet, I'm guessing they are gone for the day but I will be sure to contact him tomorrow morning.

To be honest, we have not received any collection calls or notices in the mail, probably due to being on the forebearance agreement. The foreclosure was initiated in June 2007 but we were able to avoid that with the forebearance agreement and down payment of $2052. I was told that we did have a sale date but never knew when that was. As I said, we made all forebearance payments as agreed until my unemployment ran out in Feb. and I have just been sending the regular payment of $729.41 plus the late fee of $36.47. Our account is showing next payment due on 2/1 and while that looks like we're 4 months in arrears, I will be sending the payment out on the 30th which will keep us at 3 months in arrears. A lower interest rate and monthly payment would be nice with a loan modification, but my main interest is just to get our mortgage to a current status. We're just so tired of robbing Peter to pay Paul while trying to catch up the mortgage with the forebearance.

NOT receiving collection calls or notices does worry me. I don't want another foreclosure notice to hit me out of the blue. The fact that we made forebearance payments for 7 months has probably helped us in that respect--as well as receiving the foreclosure dismissal notice from the court and Litton's attorney in January. I don't know if Litton can just pick the foreclosure up where it left off since it was dismissed in the court but I want to be proactive NOW and not be served foreclosure papers again.

I am not worried about an appraisal. Our loan was not huge and was for $84000 and the appraisal at purchase was for $94000. Our interest rate is at 9.875%. I don't think there has been too much of a decline in property values in our area, and we have only helped the property value here, not hurt it.

I just don't care to have to deal with Titanium Solutions as we didn't have a very good experience with them the first time around but I will if I have to. Other than the appraisal, should I expect anyone else to come to our house concerning the loan modificaton?

[schwefls]

Christy4:

You will do fine with Nole... he is a compassionate gentlemen, he will stear you in the right direction as for as the modification goes and he will allow you to call him for updates. Once the appraisal is done, no one will come to your home, as a matter of fact you will hear nothing from anyone for the next 30 days or so, this is when you keep in touch with Nole. In about 30 days a negotiator will call you out of the blue, tell you the file is off to the investor, they will not tell you anything more, believe I tried on the 8th-9th they will call you with the modification and review it with you verbally. Then 3-5 days later the overnight package will arrive for signatures sign and send down payment back within 10 days. Then 2 weeks later their attorney sends more docs these need to be notarized, get them back in 10 days, then wait 30 days for the account to be updated.

Persistence, Patience and being polite will go along way with Litton, remember good things come to those who wait. The waiting is the hardest part and you will wonder what if this? and what if that? please don't drive yourself crazy I did just that and in the end everything worked out fine my rate went from 10 3/4 to 8 for the next 5 years lowered my payment $400.00

[schwefls]

One more thing they are on a different time zone then us so don't call to early I do know he gets in @ 8:30 Texas time.

[christy4]

Well, I spoke to Noel Conell today. You're right, he is very nice. Said my email was forwarded to him by Larry Litton himself.

First of all, the bad news is that we are back in foreclosure with a tentative sale date of Nov. 20th. This happened because I only made a regular payment plus late fee and not the monthly amount of the forebearance payment. He said the last payment was not credited to the account as it shows online and that THEY CANNOT ACCEPT ANY MORE PAYMENTS FROM US as the forebearance plan has been rescinded. Now that I think about it, I wish I had asked where this payment went.

On a positive note, he did say that they want to work with us and since we did go 7 months paying the forebearance, it looks good on our part that we are willing to pay our mortgage. He understands that hard times do hit and basically told me that forebearance programs are hard for people to keep up with. In looking through our file, he says that we are definitely good candidates for a loan modification and that they would like to extend one to us. He said he's sure they can improve on our interest rate also. Of course, I do have to submit the financial information and documents first, but he gave me his fax number to send it directly to him. As for the "good faith" money needed up front, he couldn't say what would be needed but said it is generally equal to the first mortgage payment under the loan modification. But, he also mentioned fees and I wasn't clear if this was covered in the good faith first mortgage payment or if it was in addition to it. He did say that our good faith payment wouldn't be as much as the $2052 we had to put down for the forebearance and that in most states they are $500. I'm just going to start socking the regular monthly payment away and hope for the best.

I was told that the loan modification will take about 60 days, so we're good on time right now. He was going to send me a financial information form but I told him that I had already called in and had one sent. We will again be receiving foreclosure notices from the court and whoever else, which I hate the thoughts of.

Hopefully, the loan modification process will go smoothly and quickly with no glitches.

[schwefls]

I am glad Nole treated you well, he is a dream, as far as Litton goes, my guess is that your monies are either being returned or are in suspense, have you checked your online account. This will show if the monies are in suspense. How long ago did you mail the monies? They could be on there way back to you. As far as the foreclossure I am sorry to hear that but, Nole will come through for you, he came through for me after a year of denials. What is your interest rate now? How much are your arreages? I ask because if they compare to mine you might be able to get an idea of your down payment as I would have no problem comparing figures with you, only if you would like. However, we must keep in mind that the investors make the final decision not me, you or Nole. Did you fax the docs back to him yet? When you do ask him to call you to confirm they were received and he will call you back to confirm receipt. Nonetheless, I am sure this will have a positive ending I have faith in him. Let me know what else I can do to help, always here for you

[christy4]

I send my payments Western Union. The last payment has not been returned to me.
The last payment was made 3/28 and shows online that it was applied to the account. I paid a total of $770 for that payment and the breakdown shows this way> payment $765.88 with $45.33 to principal, $684.08 to interest, $36.47 to other (late fee amount), and $4.12 to suspense. My total payment on the forebearance plan was $923.01 and I would always Western Union $925.

Our interest rate now is 9.875% and regualr monthly payment is $729.41. Online account shows that the next payment is due Feb. 1 so at this point I am 4 months down.
Figuring in the late fee, that makes $3063.52 in arrears. I had planned to make a payment this month to stay at 3 months arrears, but Noel said that they won't take any more payments. That makes me feel like they just want me to get further and further behind, you know? The sleepless nights with worry have already started.

[christy4]

I'm finishing up my financial information form to get it faxed out today.

I have a question regarding the monthly mortgage payment----do I use the original amount of $729.41 or the amount most recent from the forebearance agreement of $923.04?

[Moe Bedard]

You need to use what you are paying right now.........in this case what you would be paying so if the forebearance is the current amount, than use that.......

[schwefls]

Christy4:

I was down 18k (6 months) @10 3/4, normal monthly payments were 2341.94, I put 3595.00 down. Interest dropped to 8% for 5 years new monthly payment $2010.61 this includes PITI, loan balance went from 277 n change to 291 n change. All very well worth it. I will clean up and restore my credit over the next 5 years and get the hell out of this loan or maybe the house as my children will be long gone then. Actually, I couldn't have asked for anything more. I am very happy with the way things worked out. I am sure they will work out well for you as well. Keep me posted

[christy4]

So, I tried to call my "foreclosure specialist" this morning and instead get another woman who said that my foreclosure specialist is no longer my foreclosure specialist. (??)

I get new information from this woman who is a "loan counselor." Her first name is Vanessa. The number I called was 800-999-8501.

Vanessa tells me:
1) Our loan is NOT in foreclosure yet, but a demand letter will be sent out today. I told her that Noel Conell said it was, but she said it is not showing that on our account.
2) We were taken off the forebearance payment plan on 5-20-08.
3) Yes, they WILL take payments on our account and I CAN get back on the forebearance plan we originally had if I start making those payments.
4) She said that the loan modification can take 60-90 days after I send in the paperwork. (It will be faxed out today directly to Noel Conell.)

Now, after reading everything about Litton (and dealing with them) I wonder which is the true information? It would seem to me that Mr. Conell would have the correct information since he's a higher up, but could it be possible that they have stalled the foreclosure pending receipt of my financial info for the loan modification?

I am also preparing the QWR because I'd like to know just where the $2052 downpayment went that I made to enter into the forebearance plan. Plus, when I entered into that plan, we also had $674 in suspense and I'd like to know where that was applied.

Vanessa did tell me that at this time, we owe $3658.63 from Feb thru May. I made arrangements to make 2 payments in June of $770 each which is the regular payment plus late charge. She wanted me to make the forebearance payment amount but I told her that I didn't want to commit to that in case I couldn't make payments for that much.

Here's the big thing tho----I'm thinking that I need to be talking to Noel again to find out for sure what is going on. I definitely don't want Vanessa to be filling me full of (you know what) just to get my payments when I might need that money towards the initial contribution of the loan modification. And, I don't want my money stuck in limbo somewhere because they actually won't accept my payments. I would, however, make the payments knowing that it was going to be applied to my account and that the foreclosure was on hold, especially since once they get the attorney involved, it only adds to what I'm behind.

What to believe? What to do?

[Moe Bedard]

The number you called is the Default Counseling...........which could be the collection dept........you never know since Litton is a Servicer......

Default Counseling Department
(800) 999-8501


Here is the Executive Resolution Dept.

Executive Resolution Team
Direct: 1-713-218-4592

[schwefls]

Christy4:

My suggestion, deal with no one but Nole, do not call anyone but him until you get a negotiator then communicate with negoiator directly (could take 30 days or so) and should they call you, tell them you are working with Nole.

The way I see it to many hands in the pot can ruin the sauce.

[christy4]

Schewfls,
I tried to call Noel but he was away from his desk. I did leave a message on his voicemail asking him to call me. The information that I got from Vanessa today was alot different from what Noel told me last week. Noel was supposed to have Tiffany (my foreclosure specialist) call with the amount I was behind and the amount needed to reinstate the loan. While she did try to call me, I didn't get to speak with her so I kept calling her back and leaving a message for her to call me. The number I called was the same 800-999-8501 and after giving the last 4 social security numbers to verify the account, it would go straight to Tiffany's voicemail and I would leave a message. When I called the same number this morning, it didn't go to Tiffany's voicemail and Vanessa picked up. That's how I spoke to Vanessa.

Now I'm hoping Noel calls me back so I can verify what Vanessa told me. As I said, I'm wondering if the foreclosure was put on hold since I emailed the hardship letter last week asking for the loan modification and since they are waiting to receive the information they need to see if a modification is possible.

I definitely hate dealing with more than one person every time I call!

[christy4]

Ok, the mail came with a letter from Litton, dated 5/22/08.

Dear Mortgagor(s):
Our reords indicate that you have fallen behind on your mortgage payments. Foreclosure action on your home may begin soon or may already be in progress. Litton Loan Servicig would like to review your financial situation to assist you in possibly avoiding foreclosure.

Litton recognizes that you may be feeling overwhelmed by events beyond your control and we would like to explore options that may be available to help preserve your homeownership. Litton will not delay foreclosure action on your home, so please contact our office immediately.

Please contact our Loss Mitigation Department immediately at 800-548-8665 so that we may evaluate your financial situation and discuss foreclosure alternatives.

So, I call the number given in the letter. Speak to someone named Tory. No, we are not in foreclosure yet. Yes, they will take my payments and would I like to make one? I tell her that I already have 2 set up in June, on the 6th and 27th. She said once the payment on the 6th is made, we would be fine and they would go from there with processing the loan modification. It's interesting to note that the letter I received today was dated one day after I spoke to Noel Conell----and Tory told me that it was in our account information that I spoke to him, and the date I spoke to him.

She gave me another person to fax the financial things to. The name is Ira Mena at fax # 713-218-3585. She said he is the one who facillitates the loan modifications.

Still no return call from Noel yet.

[schwefls]

He will call, things are looking better for you in my opinion. Keep up the good work. Also when you speak with your negotiator ask them if they will be analyzing the escrow as part of the modification, I am having a bit of a problem with that right now.