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Can't Get BOA To Acknowledge Disability Benefits like Tax Relief - Help?

Discussion in 'Making Home Affordable' started by BOAblue, Jul 8, 2010.

  1. BOAblue

    BOAblue LoanSafe Member

    <o:smarttagtype namespaceuri="urn:schemas-microsoft-com<img src=" http:="" www.loansafe.org="" images="" smilies="" redface.gif="" border="0" alt="" title="Embarrassment" smilieid="2" class="inlineimg"></o:smarttagtype>I have made nine monthly payments on time to BOA under the HAMP trial program since Nov. 2009. I was recently verbally told by BOA call center personnel that I did not qualify for a loan mod because my income was insufficient. I received nothing in writing. BOA told Treasury that I did not qualify because the NPV test revealed that it was more profitable for the Bank to foreclose than to modify my loan.

    Treasury has requested the detail input data the Bank used in its NPV analysis. BOA has yet to comply with the request. I believe no NPV test was ever run. Because my case is complex, I assume Bank personnel chose to just say no without exploring the facts of my application. The fact that there appears to be no recourse against banks for non-compliance has made it difficult for HAMP Solution Center personnel to be taken seriously by the banks. In the interim, I am told that BOA<st1><st1></st1><st1></st1><st1></st1></st1> cannot foreclose while Treasury investigates my case as long as I continue to make my payments on time.<o></o><o></o>

    My case is complex because I am disabled on Social Security as my only income. While most Americans don't think they intentionally discriminate against disabled persons, many of the procedures businesses practice do not accommodate exceptions for the rights of disabled persons prescribed by law. BOA refuses to recognize that I am disabled and receive real property tax relief. Deducting the $426 per month in real property tax from my $842.43 monthly trial payment would make the payment $416.43 -- well within 31% of my Social Security income.

    Not recognizing valid proof of my disability and tax relief status is a violation of Section 805 of Title VIII of the Civil Rights Act of 1968 as amended by the Fair Housing Act of 1988 (42 U.S.C. 3600). It is also a violation of 36-96.18 of Virginia Fair Housing Law. The Fairfax County Human Rights Commission is investigating my complaint "Gardiner v. Bank of America, et al under HRC #2010064H/HUD #03-10-0289-8. <o></o>

    Another law that seems to have no teeth is the Social Security Act which protects public assistance income against creditor attachment, garnishment or court judgments. By law, my income is considered to be "judgment-proof" as if I had already gone through Chapter 7 bankruptcy and had gotten my unsecured debts discharged. The intent of the law is to prevent creditors from forcing Social Security recipients to have to file bankruptcy. I guess discounting unsecured debt just because the applicant's income is judgment-proof is not an exception banks are willing to make no matter what the law says.

    There's more, but not enough room here to tell.

    Is there anything LoanSafe.org can do to help me?<o></o><o></o><o></o>
  2. maryseas

    maryseas LoanSafe Member

    I have to laugh at the idea that people don't intentionally discriminate against disabled people. My experience in placing disabled volunteers in a government agency told me that there's terrible discrimination going on--I got quite an eye-opening experience. Now I'm in the process of a BOA modification, being told I have "excessive forebearance" and at the same time finding that I am now going to have to file for SSI myself. The fact that I can no longer work is something I've been afraid to even discuss with BOA, and not even knowing if they'd consider Social Security in the same way. For the application I'm showing self-employment income, but I can't keep it up at the same rate I did last year. Nothing is written about how to navigate this is you are disabled. And I'm afraid that I'll be automatically discriminated against because of this and not even considered. Keep us posted on how this goes for you.
  3. BOAblue

    BOAblue LoanSafe Member

    maryseas, Thanks so much for posting. Two things. First, I believe the banks are using the Obama program as a "bait and switch" scam to get those who can little afford it to sign up for higher more profitable payments. After being told that my income was too low to qualify for either the government program or BOA internal modification programs, I got a phone call saying that BOA was offering me a fully amortized fixed rate loan at 4.625% that takes my arrearage and adds it to the back of my note. Loan officer who was just promoted wasn't sure of the term but he didn't think it had been extended from the remaining term of my existing loan. So he's taking me from a $1200 interest only ARM at 3.625% currently and giving me a loan with a payment of $1843 at a higher interest rate. 31% of my income is $674. Can you explain this to me? What happened to 2% interest for starters increasing 1% a year for four years... extending the term up to 40 years and principal forbearance? BOA told me I don't have the right type of loan for principal forbearance. I need to have an ARM. I have an ARM! That was after this BOA loan officer told me that BOA doesn't do any principal forbearance. My contact at Treasury's HAMP Solution Center told me that was a lie. This loan officer first told me the only loan modification I could get, if I qualified, was different than his second offer. That's the problem with lying. You have to remember what you said previously. The day after I received this call and was told papers were being sent for me to look over, I received a call from a notary who was going to personally deliver the papers I was to sign right there and then. A little pushy, don't you think? The BOA loan officer told me as a courtesy, BOA delivers loan docs to sign with the notary. Wow. How much time does she have so I can read and understand everything? What if changes need to be made? Or if I have questions?
    If BOA is doing this to me, they're doing it to lots more people and the government is giving them a hand in the process. How do you think this guy got his recent promotion? The banks are doing the same thing all over again signing up people who don't qualify for loans they can't afford.

    My second point is that I believe the HAMP program as administered by the government is discriminatory. Treasury defined in its guidelines the monthly payment as principal, interest, taxes, insurance and home association fee. Treasury is interpreting this to mean that every HAMP modification must contain all components regardless of whether the component is in the existing loan. My loan is interest only plus I don't pay taxes due to a county forgiveness program because I am disabled. I could qualify for loan amount that was just a few hundred less than my existing loan payment. But I am told that to qualify for a modification the loan must have principal and taxes as well as the other components. I thought the intent was help people stay in their homes, not increase their mortgage payments so as to incite foreclosures!

    I've written my Senator about the problem, called his constituent representative and everyone is asleep at the wheel it seems. I got the fed ex package with the unaffordable loan offer I have no intention of signing today. It's proof that BOA is running a bait and switch scam, playing off of Obama's HAMP program. It's proof that BOA is either incompetent or intentionally reverting to approving loans in which the borrower's income is not an issue. Is that still legal?

    It's difficult for me to accept the fact that after all those politicians went on tv spouting self righteousness about how the banks did this and that, that they're doing nothing about it and the banks are conducting business as usual.

    So it appears your income is not an issue if you want to increase your mortgage payment. But doesn't that defeat the purpose?

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