My option 1 SUCCESS story - Military

[armystan]

First off, let me say my story is similiar to everyone else's but abit difference here it goes:

Mine is I am an active duty service member who lives in Northern VA. I have a townhome with two mortgages one with option one and one with suntrust. Yes, I received the letter about it moving to American Home Mortgages and another interest loan adjustment on my ARM. It went from 7.25% to 9.125% which will raise my payment from 3168.00 to 3600.00. Folks, this is almost my whole paycheck. Right now, I am so upset about this and worried as well..We were led to believe by someone from Suntrust that we could refinance since this story is rather long. But because of the second mortgage which is an equity line of credit for $50,000 and a house that is worth around 417,000 and I owe with option one 398,000 I am finding out no one will touch me because I owe too much money.

Now, I am in the process of trying to do an interest freeze I wrote the documents at work and hopefully they are strong enough. I am not sure whether the soldier and sailors relief act will work for me because I am active duty for 14 years. I cannot afford foreclosure because of the type of job I do and my clearance. My wife is in the same boat and we really cannot talk with anyone because I do not want anyone to know...So I was lucky to find this website..I feel I am alone because being in the military there are some things you simply cannot talk about...and I am desperate to needing help right now, I am starting to have problems paying the smallest bills because of rising prices...

I have tried to refinance with other companies to no avail..I have never been late on payments and have good credit..But please any advise would be appreciated...

[schwefls]

Welcome to our forum Armystan:

First off thank you for al you do for our country. Welceom to our forum. I wanted to stop in say hello and let you know that we are here for you. Shortly someone will be reaching out to you with some sound advice/suggestions. In the interim please hang in there and thank you again.

[armystan]

Thank you for your kind words..Right now, as an update I am trying to see if I fall under the Servicemembers Civil Relief Act of 2004 and whether this can additionally help regarding my case..

[Moe Bedard]

Hi armystan,

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

If you have not already done so you can also check out.............


www.militaryonesource.com


They have information about the SCRA

[armystan]

I went to the website and found it informational it looks like I will have to contact a JAG attorney (military lawyer) and see if they have any advise for me..Because they will have the experience to advise me on the Servicemembers Civil Relief Act...Thank you..

[Moe Bedard]

Do to your clearance level and the fact that negative credit can affect it..........it would be a good idea to speak with a JAG attorney..........

I hope they are able to help you.......

Please keep us posted on how it goes...........

[armystan]

I have been doing alot of reading and know that there are other service members out there like me but they will not speak up..why it is like you mentioned the clearance and the military job. From what I gleamed they are not going to get rid of you because of the finance problem. If they did they would have no one serving...

[Tom H]

armystan,

I am in a similar situation (military/clearance also) and have been dealing with this issue for months now and it is still ongoing. There is light at the end of the tunnel and the folks on here can help you to find it. With S&SCRA you will find that it offers protection for military personnel from legal action (such as foreclosure, etc.) when you are deployed. It also offers an interest rate protection (no more than 6% on any loan) but this only applies to loans acquired before the noteholder came on active duty. Therefore, if your mortgage was obtained while you were on active duty the interest rate protection would not apply.

Nonetheless, it never hurts to ask. I had a friend get this with Countrywide during our last deployment, but this was a guy who could sell ice to Eskimos if you know the type. I tried the same thing to no avail. However, a JAG officer certainly will understand it much more and can explain it much better. Don't take my word for it and do your own research, but simultaneously work with your lender for a modification, it can be a time consuming process.

If you're comfortable with the payment at the lower interest rate you likely will stand a good chance of a modification and I would pursue that route as you have stated as well. Mostly, that protection is intended for reservists who become activated from an established civilian career into their part-time military career or as an incentive for an older, more established recruit to switch from a civilian career path to a military one a little later in life than what is generally the norm (mid to late twenties).

Best of luck to you.

Keep us posted on your progress.

Tom

[armystan]

Thank you for sharing..I know I am not alone but to hear from someone who understands does mean alot. I have read the act and I was afraid that it pertained to people that deploy which does not say I will not be in the near future. I faxed the paperwork to option one and hopefully the wording is strong enough for them to help me out. If the interest rate does stay low it will allow me still stay afloat and to go forth and put my house back on the market and let it ride out till it sells. Two mortgages is simply killing me pay wise. My only other fear is the fact my wife works as well the money might look good on paper but we have debts which allows us to survive but that is about it living in the VA is getting too be way expensive....JAG is the next step I will be making my appointment on Monday to see what other options are out there for me...Once again, thanks for the reply..

[Moe Bedard]

Here is the contact info I have for Option One and some key emails to let them know your hardship situation..........

Hope this helps.........

Home Retention Team
1-888-275-2648

Home Preservation Office
Phone: (800) 505-3706


Office of Customer Advocacy
6501 Irvine Center Dr
Irvine, CA 92618

Phone: (800) 807-2519
Phone: (800) 648-9605



bob.dubrish@oomc.com (CEO)
casey.cunningham@oomc.com
christine.sullivan@oomc.com
kim.denger@oomc.com
fabiola.camperi@oomc.com (Senior VP of Loan Servicing

[armystan]

I have two questions one is my ARM loan is conventional and it started in 2006. My first question is what is a conventional ARM Loan? The second is if it started 2006 would I have an arm adjustment so soon?

Thanks *** for the reply that includes the emails but I tried the one for customer advocacy and it does not work..? Any advice?

[Moe Bedard]

If you can find the Federal Truth in Lending statement and the Adjustabel Rate Note in your closing documents it will tell you what kind of loan it is exactly..............like a 2/28 would mean a 2 year arm.........the Note will give you the exact date that the rate will adjust......

Sorry about that............I forgot that Option One disabled the email for the Advocacy group, but the numbers are good..........

[Aquarian29]

Hello,
I was reading your story and it sounded a lot like ours. My husband is active duty military also. We live in California which is very expensive as well. We got our loan in July of 2006 and it was an ARM like the one you have. My husband does not qualify for the Soldiers and sailors civil relief act since he has been active duty for 18years. Our ARM was set to adjust in September of this year, and we knew that we would not be able to afford it. Our mortgage servicer is ASC (loan through Wells Fargo). We managed to get a loan mod before it adjusted. We told them our situation and stated that my husband was active duty military. We had our loan changed into a 30year fixed rate at 7.5% (which was the original interest rate) You can read more under ASC Success in the Success section. I would definitely try to get a loan mod. Make sure you tell them about your military service etc. We also call the Hope-Now phone number which seemed to speed things up also. Definitely use your Military service to your advantage, I truly think it helped us get our loan mod so quickly (it only took about a month, which seems much quicker then a lot of people). Just try to be as proactive as possible. Hang in there and Good luck!

[armystan]

Update Update:

I submitted my loan mod paperwork on Friday evening via fax. Just received a phone call from Option One this evening and it was SUCCESSFUL. The payments will remain the same $3168.00 for the next five years. Folks, what made this a reality was I was in the military. So I want to say thank you to all that have replied to my story here and especially ***. I realize now that I have to work a budget and really stay within my means even more so but at least I do have my home still...

The advise here was valuable and believe me I truly prayed....I will be a regular visitor here and hopefully other military people who visit these boards let's support one another that really helped me was the advise that you gave as well...

Once again, I am truly humbly thankful..

Stan

[schwefls]

Stan :

I am so happy for you, you deserve this. Thank you again for continuing to serve us. Best of luck to you

[Moe Bedard]

Stan,


You are welcome...........I am happy to help............but really I thank you!!! For everything you do for us to keep us safe...words alone can not express the gratitude we feel..........Thank You!!!

Congratulations!! I am so happy for you!!

Your thread is now a Success so you will find it in the Success Section.........

[RudyJay]

Congrats on the mod...but most of all thanx for all you do...rj

[armystan]

Rudy, *** & Schwefls:

Well folks I received the official letter indicating approval via email then it must of came in time because I am on my way to Afghanistan within the year.

Thanks for the support again....

Stan

[Moe Bedard]

Stan,

Congratulations on the rate freeze!!
and

Be Safe!!!

[RudyJay]

Hey Hey.. you can enjoy your house before you go and when you get back here safely.. Keep safe Stan... rj

[elpjohnson]

Stan,

Congratulations!!! And I wanted to thank you for your service to our country, you are a hero in my eyes....stay safe.

God bless

[Abbykatesmom]

Stan,

Congrats to you! I am so happy for you. You deserved Peace of mind. God knows you have enough to contend with.

Stay safe and God Bless