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Can Citi do this to us?

Discussion in 'CitiMortgage' started by mzpdoff, Oct 5, 2009.

  1. mzpdoff

    mzpdoff LoanSafe Member

    Hi everybody! I have been reading through this forum and see that some are in the same boat as us. I am hoping someone can help us or guide us to some help - we seriously need it.

    About 8 months ago we contacted Citi regarding a loan mod and after a long back and forth we agreed to the 3 month trial payments under a new interest rate and lower payment. The 3 month trial period turned into a 6 month trial period. All that time we were told and promised that our interest rate would stay at this new rate and that our monthly payment would be the same as our monthly trial payment in this trail period.
    Last week Wednesday we called in to make yet another payment and were told that our modification was approved and that we should receive the paperwork in a couple days and to sign asap and return. We were told that our new monthly payment would be 1073.73 and interest rate would be 3.5%
    Well when we got the paperwork it was a complete 180 turn and our new modified payments are now higher than our original monthly payment! Now they are wanting 1473.67 with an interest rate of 7%
    We called tonight and were told that ( all of a sudden ) we don't qualify because my husband makes over 31% which is total crap! The monthly payment is over half of his monthly paycheck and they even said he was 900$ in the hole on a monthly basis and that he did qualify ...back when we started this whole fiasco! My husband even took a pay loss in order to keep his current job and they knew that and saw his pay stubs! How can they do this and is there anything we can do? We called and they just totally blew us off, told us to sign and not worry. WTH? We did everything we were told to do, send in all required paperwork and what...we were lied to this whole time?
    Help? Anyone? Please! :(
  2. Evan Bedard

    Evan Bedard Call 1-800-779-4547 Loan Safe Mortgage

    Hi mzpdoff welcome and thank you for joining.

    Do not listen to them and sign the agreement because if you do you will be stuck with the 7% interest rate.. Try contacting this number and let them know what happened:

    you can contact CitiMortgage at the number for LoanSafe members to begin the process of the modification...........
    1-866-255-3901
  3. Big Booger

    Big Booger Guest


    Mz: First, welcome to the forum, you will find loads of information here and many willing to help you in your journey -

    Unfortunately the way it stands now, the guidelines for the HAMP program have been set, but lenders are complying with bits and pieces of it. Since the program in and of it's self is voluntary, they can pretty much do as they see fit.

    Now, that being said, you need to continue to call Citi in regards to your situation. If one rep tells you something different than what you were told to begin with, ask for a supervisor. Continue to call. Do not take what you have been told at face value. You may very well go thru 15 people before you get someone who is able to help you.

    If the paperwork that you have recieved is not what you were quoted, do not sign, do not send payment. The object of the game is to continue to pursue them and not just take what has been given verbally. The right hand does not always know what the left is doing.

    It is a very trying process, but if you continue with persistance your outcome may very well be a sucessful one.

    Best wishes,
    Booger
  4. mzpdoff

    mzpdoff LoanSafe Member

    Thank you so much, guys! My husband and I will call them again tomorrow. We are ready to fight. This just isn't right 'ya know! Shame on them!
  5. TIGERWOODSBUDDY

    TIGERWOODSBUDDY LoanSafe Member

    Mz, don't give up. These forums were the best way for us to get our modification taken care of. I posted a story here on Success, success, success with Citi on our mod. If you go to that forum you will see the lengths we had to go to but finally accomplished our goal. See my reference to Donna West, loss mitigation specialist at Citi. She was the one person out of many that actually helped us. She did what she said she would do, always very helpful on the phone, and got our paperwork squared away in a timely, efficient, correct manner. Good luck. It is a struggle, but hopefully yours will turn out the right way.
  6. mzpdoff

    mzpdoff LoanSafe Member

    We did all of everything you did and up until we got the paperwork - were convinced that everything was going to work out. We were told we completed the trial period successfully and that our loan mod was approved and that we'd receive our paperwork in a couple of days. When we did receive the paperwork - everything went to hell! Everything in those papers is different from what they told us on the phone.
    we're gonna call again tonight - sadly I cannot call because I am not on the mortgage and they refuse to talk to me! Even after my husband signed a release!

    I'm happy things worked out for you however! :eek:)
  7. Evan Bedard

    Evan Bedard Call 1-800-779-4547 Loan Safe Mortgage

    Thats strange because usually when the borrower signs a release for someone else to negotiate on the loan it works...

    Good luck and keep us posted!
  8. mzpdoff

    mzpdoff LoanSafe Member

    yeah there is a lot of strange going on with Citi...and truth be told...it's probably better that I don't get to talk to them because I am at the point of no return :p

    I'll update as soon as he gets home and talks to someone. Thank you!
  9. mzpdoff

    mzpdoff LoanSafe Member

    Ok so after a week of playing phone tag we just got off the phone with Terence Cochran and he basically told us there is NOTHING they can do!
    I am beyond livid!
    I think it's complete bs what they are doing.
    So they are telling us we are current with our loan BUT we have to make the high payments. NOTHING they can do!

    Any suggestions? Is getting a lawyer involved worth it? I just don't get how they can promise us a lower payment for months only to jack it up to where it's actual more than our original payment was. Plus the PMI has been cancelled and now we're getting calls from the PMI Insurance Company, too! How can the payment be higher when they cancelled the PMI?
  10. caldwell02

    caldwell02 LoanSafe Member

    mzpdoff - so you have never been in default? I don't work with Citi, but what would happen if you stopped paying? Are you willing to do that?

    I thought the PMI is for the lender's sake - to secure them against a default. I don't think it does anything for the lender but raise your payments, but I could be wrong.

    This one is a puzzle. And you need the experts - Evan? Moe?
  11. Sunbeam

    Sunbeam LoanSafe Member

    I would suggest writing directly to your congressperson about this. Also, contact the lender. Are you Freddie or Fannie? And of course NACA. Good luck and keep us posted on the outcome.
  12. SillyWorld

    SillyWorld LoanSafe Member

    I never been late with Citi....YET:eek: Turned down an offer with a balloon payment and thats the last I had contact with any of them...NACA or Citi everytime I call get nothing about whats going on:( Sick of waititng and waiting :eek: They want you to feel dont matter if you been up to date or been late they still gonna just ignore ya
  13. mzpdoff

    mzpdoff LoanSafe Member

    Ok after numerous attempts to get somewhere with this bs with citi we were again told that there is nothing they can do. The new payment is 50% of my husbands take home pay. No way can we make it!
    So, what to do now? We contacted Diane west who just brushed us off and said our contact person is Terence Cochran who brushed us off as well stating - in a very snippy tone of voice I might add - that there is NOTHING they can do and to just sign the mod agreement and have it back to him asap.

    I am at my wits end.
  14. agutter17

    agutter17 LoanSafe Member

    I learned from my own mix up with Citi, they do not care about take home pay! It all has to do with your gross income!
  15. mzpdoff

    mzpdoff LoanSafe Member

    Well, we are not signing this loan mod agreement. Nothing in it is as we were told by Citi. PMI insurance company keeps calling stating they may be able to help us with a package? Don't know what that is all about. When we call back no one is ever around.
  16. Needanewjob

    Needanewjob LoanSafe Member

    Your exactly right. I work there and when applying someone for a loan mod I don't even enter the net income... 31 percent of a families gross income is considered an affordale mortgage..

    I know that the trial period payment agreement is subject to change, it states that on the paperwork. When your qualified for a trial period your basically approved for a further look into your specific financial situation..

    As far as the OP i haven't seen them change that drastically. Was the gross income provided correct?? I'm willing to bet your new higher payment includes and escrow account where they will pay taxes and insurance where you had to pay your own before. As far as the interest rate goes, they will drop it just enough to get to that 31 percent level..

    If it really is an error in calculation then you would want to submit your request for a review via fax to the correspondance research dept. I believe it's 301-696-5431.
  17. mzpdoff

    mzpdoff LoanSafe Member

    Ok I get all that but here is he deal...

    1. never got any paperwork pertaining to our trial payment arrangement. Everything was done via phone - verbally. We were told that the new payment would be $1073.72 - no one ever said to us that it would go up. We were told by some guy by the name Armondo that it would be that exact amount if we make it through the trail period - which we did and they then jacked up he payments. Never got any paperwork pertaining to he trial payments from citi - we send in paperwork as requested to them.

    2. No, we did no have to pay taxes and insurance on our own before his - it has always been included in our mortgage payment.

    3. Yes, we provided all info correctly - they got all the paystubs, bank statements and other requested paperwork from us!
    1 person likes this.
  18. davephx

    davephx LoanSafe Member

    Likewise all by phone verbally but also had sent tons of stuff in before and after, but verbal putting on trial person didn't have. The initial Trail Agreement no longer needed just the big package after maybe 3 trials.

    With the big package you have to reconfirm your income. If it changes more than may have to redo trial (if up) if down re-qualify NPV test as I recall.

    31% of GROSS household income should be about 1073 which includes tax and insurance escrow.

    Depending on your mortgage amount the 1073 minus taxes and insurance has to be enough to amortize at 2%/40 yrs. Sadly many folks don't have enough income to qualify to get to that point. Unless they do forbearances which are rare won't work under HAMP if your in that situation.
  19. Needanewjob

    Needanewjob LoanSafe Member

    That verbal will all be changing, which I find ashame, I thought it was great to get people started immediately on a lower payment.. For citi serviced loans which are also owned by citi we will be requiring income verification prior to starting the trial. We will actually do the underwriting first..

    First step will be verbal acceptance based on income and expenses you provide. Then you will get a package to verify income. That will take 7 days to receive package. After income is verified another package will go out asking you to agree to the trial period.. Only after all of that will the trial period begin... After the trial period of 3 months only then will will it be submitted for final approval.. The whole process is going to get longer and more difficult.. Too many people being turned down based on verbally stated income..

    For OP. I recommend the research fax number I gave you. You'll want it reviewed. The negotiators are for the most part former collection agents turned loan modifiers. THey don't have finance degrees, they make mistakes all the time. Make sure it's reviewed for accuracy. Doesn't sound right at all. Agent made an error saying that would be the exact payment, he doesn't know what he is doing. Was this new payment given to you after an escrow analysis?? I can't tell without looking at your account anyway. Good luck.
  20. davephx

    davephx LoanSafe Member

    Needanewjob - Are you sure Citi is actually now sending the trail payment modification agreements initially? It was discontinued as a requirement early October per a HAMP directive but don't have the number in front of me. It was made optional not required.

    Of course if verification was demanded earlier would be less of a problem with changes from the verbal trials given.

    I'm on trial 3 and never received the initial letter after it was requested and re-requested about 12 times by mod folks in July, Aug, Sept. But I am clearly in the trial for HAMP without the agreement.

    I assume the problem with the verbal trial amounts is it is not backed up by the final docs where it has to be verified. I assume if the verbal = verified the payment would stay "about" the same. mod folks have told me it can vary slightly but not by much if verbal = verified.

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