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CitiMortgage Notice of Intent to Foreclose

Discussion in 'CitiMortgage' started by sunnyh, Jul 29, 2010.

  1. sunnyh

    sunnyh LoanSafe Member

    Hi Everyone. I'm desperate for an answer to the following question -

    My family and I live in Maryland. We fell behind on our mortgage payments with CitiMortgage. We are 3 months behind. We received a Notice of Intent to Foreclose back in June, and it gave us until July 27th to pay the arrears.

    In late June, I set up a repayment plan with CitiMortgage. We made our first payment on June 23rd and it was accepted by Citi and applied to our account.

    Anyway, I called this week to make the next payment on the plan. But the rep I spoke with told me that I wasn't on a 'repayment' plan, but a 'forebearance' plan. She could see the payment made in June, but there was nothing in our file to indicate we're on a repayment plan. Please note that we never received anything in the mail regarding the repayment plan. It was all set up over the telephone with another rep.

    So I am concerned because that Notice of Intent to Foreclose is still hanging over our heads.

    My question is this - when CitiMortgage accepted and applied our payment in June, did that invalidate the Notice of Intent to Foreclose? Or can they basically still foreclose on us at any time? After all, we're making payments but not the full amount in arrears.

    I asked the rep if being on the repayment plan takes us out of the foreclosure process, but she said we're still technically in default. Okay, I get that. But now I'm worried that they're taking our payments and I'll still have the sheriff on my doorstep tomorrow.

    Does anyone know if accepting and applying payments invalidates the Notice? I really appreciate your help. I've called the MD Hope hotline numerous times, but no one knew the answer.

    Thanks in advance.

    My question is this -
  2. langlang

    langlang LoanSafe Member

    Unfortunately I think your best bet would be to find the person you talked to who supposedly set you up on the repayment plan, and hope they have notes or remembered your case.

    I honestly don't think there is ill intent on the part of the banks when things like this happen, but at the same time they are not at all helpful. They are overloaded with defaults, and the right hand usually doesn't know what the left hand is doing. So the fact that they accepted a payment from you probably doesn't invalidate the foreclosure notice. They might hold off on foreclosure anyway due to your payment.

    When you made the first payment, did they give you any sort of confirmation number or anything like that for the payment? (if you made it over the phone.) When I made payments on my trial plan, I always did it over the phone and got a confirmation number, at least there's a better chance of some sort of trail if there is a mix up.

    Since what you describe didn't happen to me, this is the best I can come up with. Hopefully others who have been in your situation will read your post and chime in. I know there have been multiple cases on the Citi board of this type of thing happening.

    God bless
  3. Elora123

    Elora123 LoanSafe Member

    When they set me up on a forbearance plan I had documents. During the forbearance plan they made repeated attempts to collect, but that was the collections department. I worked with Loss Mit and was able to get put on trial payments which eventually led to a Mod. Try to get someone in Loss Mit who can see your file, and perhaps find the notes from your conversations. Make a friend and contact if possible. I often asked if I could have their extension and call them back for info.....sometimes it worked and other times not. Was your intent to foreclose a genuine foreclosure note or something from collections that looks threatenin?. I received foreclosure threats that actually came from collections and were not a legal intent to foreclose. I believe you will get contacted by a law firm and have legal fees. Check the time frame for your state and the foreclosure laws, this seems like it is happening too quickly.
  4. spark1023

    spark1023 LoanSafe Member

    Did Citi tell you, you are in active foreclosure? The notice of intent to foreclose is a computer generated letter that is sent out to homeowners who are delinquent, I believe. I have WF and when I was behind 3 months, I received one too. But it didn't mean that I was in active foreclosure.

    As long as you are less than 3 months late on your mortgage, I don't think the bank can foreclose on you. I'm not in Maryland so I'm not familiar with foreclosure process in your state, but you should start researching it.

    Keep calling the bank and stay on top of things. As long as you communicate and work with them, they will help you out. Many of us on this forum were more than 3 months late on our mortgage before getting any help from the banks. I received a perm mod after 17 months and were behind 8 months in payments.

    Good luck to you and stay strong and persistent.
  5. jack c

    jack c LoanSafe Member

    call citi back and ask to speak to loan mod. dept. and bypass the clowns in collections, the'll tell you anything..I was told you have to be 3 months late before citi will concider a forcloser...hang in there and keep trying....
  6. InLimbo

    InLimbo LoanSafe Member

    I don't think it negates anything to be honest...We were served with the notice of default and intent to accelerate while still paying the mortgage, the next day we found out we were denied. They'll still follow through w/ the acceleration while you're paying them, aka the "HAMP Trial Payment Plan", as we've found out.
  7. Lisa Becker

    Lisa Becker LoanSafe Member

    Citimortgage Sucks!

    My home is in foreclosure. Citimortgage staff doesn't care and discreminates on Home Mod procedures. I would like to hear from others who have experienced a very frustrating experience getting correct, consistant information from Citimortgage regarding the Home Mod and/or foreclosure procedure. I know people whom for various reasons, Citimortgage has allowed home mods, yet deny other home owners under the exact situation. Citimortgage has no compassion and only respond in favor of home owners after threats to expose their unfair, greedy tactics to elected officals.

    Taxpayers and the Federal government is not aware of how often Citimortgage is NOT working with people to save their homes, despite the HUGE financial bail out they received. My hope is to bring examples of other families exeperiencing unfair treatment by Citimortgage or other large banks related to home mods or past due mortgage payments.

    By the way, most of the leaders (CEO') of Citimortgage are from India and have outsourced or replaced many US jobs with workers from India. I am not racist but feel that other countries are taking over the US. We need to stand up for our rights! Please comment and feel free to provide details. Thanks Everyone. United we stand!
  8. dwdwone

    dwdwone LoanSafe Member

  9. jack c

    jack c LoanSafe Member

    it was probably a form letter...
  10. sunnyh

    sunnyh LoanSafe Member


    Hi everyone. Thanks for the responses. I thought I'd update you with my continuing saga. First, though, I'd like to say that the scariest thing about all this is that - after dealing with Citi for a few months now - it's obvious that Citi's right hand doesn't know what it's left hand is doing. That's why I really hope that the foreclosure process starts slowing down and that my state (Maryland) does institute a minimum 60-day moratorium. Because it's incredible that you can speak to three different reps at a company over the course of a single day and each rep will tell you something completely different. That just scares the dickens out of me. Especially since we're dealing with something as serious and life-altering as foreclosure.

    Anyway, I continued the repayment plan described above until last month. I stopped the plan. Why? Because Citi wasn't applying the payments to my account. Instead, they were being held as 'additional funds'. I called numerous times and was always assured that the problem would be corrected and the funds applied as payment and I would receive an official payment plan letter in the mail. Well, the letter never arrived and the payments were never applied. So I kept the money in my bank account (where it still resides). As a result, Citi sent me an official Notice of Default.

    My state (MD) changed their foreclosure process over the last two years. We're not a judicial foreclosure state. And the process used to be super fast and didn't even require the homeowner to be personally served! Crazy. But things are different now. They're not especially good, though. Basically, the timeline is 90 days. 45 days after default, you get the official Notice of Default. Then you have 45 days to pay the arrears. If you don't, then they can foreclose. You can request mediation. No idea if that works at all since it's a new requirement. You also can submit a mod request and they have to sign affidavits (yeah, go ahead and laugh - as the current foreclosure scandal makes clear, banks have no trouble signing affidavits) - anyway, they submit an affidavit to the court stating that they considered your mod request and denied it. That's the only place the court is involved (that, and the mediation.) 90 days is not much time at all. And Citi does not screw around. I didn't pay my August payment and I received the Notice of Default on September 17th. Yes, six weeks late and the official letter arrived. I have until mid-November to pay the defaulted amount (basically, August and Sept payments.) I have the funds. No, I have not paid October yet. Now that this is in the 'official' foreclosure process, as I tell Citi when they call (as they do constantly), now that it's official, I am following the official dates and amounts. In other words, I owe about $3600 on November 12th and that's what they're getting and on that date.

    They have been calling constantly, via India. And I take the calls. It's funny, though, to talk to them at 10am and then at noon and say the same stuff. You have to go through the whole ID thing - name, address, account number, etc. And it's funny - and terrifying - that the collection reps always tell me different things about my account. Basically, they want a payment, even a single payment. One girl told me, One payment will keep your account out of '90 days past due' so you will not go into foreclosure! I told her, Ummm, I'm already in the foreclosure process - I received the Notice of Default a few weeks ago. And she was just silent and then she goes, Oh, I didn't see that. Then another rep tells me that my loan modification is still being considered. I reply, What modification? I never applied for one! And he goes, Oh. And he tells me that he doesn't see anything about my account being in the foreclosure process. :confused: That's what I mean about the right hand not knowing what the left hand is doing.

    I could list more examples, but you guys get the point, plus you probably suffer through it yourself. So that's why I'm sticking with the official / legal amount and date. No single payments that will get stuck in the 'unapplied funds' account. I still have almost a grand sitting in that account that they won't apply as payment because, as one rep told me, it's being held to pay 'fees'. Other reps tell me it will be applied shortly. Same old story.

    Now I know that the Notice of Intent to Foreclose was just a standard form letter / warning letter. Because the Notice of Default was super official in comparison and I had to sign for it. :eek: I am going to fill out the mod request and send it back. Hey, maybe they'll actually help me out. My rate is 6.75% and we put 20% down way back in 2006 but our house value has cratered - probably worth 100k less than we paid.

    For any MD residents that read this, let me share that the HOPE Hotline hasn't helped me at all. They can't answer any questions. They're honest, though. The reps will say, I don't know. But it's disturbing to me because I ask pretty basic / simple questions.

    Anyway, send some luck that Citi correctly applies my default payment in a few weeks. Then I'll be behind for Oct and Nov so maybe it will all start over again! I don't know. But I do know that Citi does not screw around when pushing foreclosures in Maryland. I know a poster here said that they were told Citi doesn't move until you're 90 days behind. I wish! Six weeks behind and they got me. Actually, now that I think about it, I think an Indian rep at Citi told me the same thing - 90 days - but that's not true in MD at least. The state made that 90 day timeline official - 45 days until default notice and then 45 until foreclosure - and Citi is sticking to it. I'm glad other states actually give constituents some breathing room and guarantee a court appearance. I will be lobbying my reps and senators to change the foreclosure process in MD.

    Good luck to everyone and thanks again for the responses. This whole process sucks and it helps to know others are getting through it and finding success.
  11. InLimbo

    InLimbo LoanSafe Member

  12. riddlemethisbatman

    riddlemethisbatman LoanSafe Member

    I'm so sorry that you are having these difficulties.

    sunnyh, your post indicates that you were 3 months behind on payments as of July 29 this year. The fact that you were on forbearance or any kind of alternate plan does not change that you are in default. If Citi accepts and applies any payments other than complete payment of arrears, that does not correct your default, nor does it invalidate the Notice to Foreclose. The date of default goes back to the first missed payment. At that point, you were no longer meeting your original contractual obligation.

    If you are in forbearance or a loan mod trial period, you still are in default because you are no longer honoring the original contract agreement. Any payments made during forbearance or a loan mod trial will be posted as "unapplied" because they are "unapplied" to your original loan agreement and are instead placed in a suspense account, awaiting completion of the application process.

    You are long past the July 27th deadline which would have taken you out of default had you made full payment demanded at that time. Since you quit making payments, you are subject to foreclosure at any time.

    While so much that CitiMortgage does seems so arbitrary, there is somewhat of a pattern upon which you may rely:

    1. Do not believe or trust anything that they tell you.
    2. Do not think that the foreclosure process is on hold.
    3. Do not think that Citi will honor guidelines.
    4. Do not expect any consistent message through Citi.

    In Texas, CitiMortgage has not agreed to a moratorium on foreclosures per the Attorney General's demand. That was as of Tuesday---I do not think that has changed. Today, state news indicates very little slow-down in overall foreclosures in Texas. The demand for the moratorium is not backed up by legal enforcement.

    You would benefit from reading through the HAMP Handbook:

    I suggest that you check to see if you have a foreclosure date set.

    My mortgage is with CitiMortgage---suffice it to say that it has not been a positive experience.
  13. sunnyh

    sunnyh LoanSafe Member

    riddlemethis, I caught up from my 3 missed payments back in mid-August. I cashed out my 401k (for which I took a huge hit, but oh well) and paid the 3 missed payments. I do know the definition of 'default' and that I wasn't meeting my contractual obligations at the time. However, Citi applied those payments to 'unapplied funds' even though they were complete payments. I paid the May - June - July payments and they didn't post properly. I called numerous times and argued with Citi about why they were in 'unapplied funds' rather than applied as payments. That dispute is why I didn't pay in August. And I still have over a thousand extra dollars (on top of those 3 complete payments) in 'unapplied funds' because the 'repayment plan' amount was more than my normal payment.

    I was super fortunate to have the 401k money available to catch up, though I'll owe 10% of it in taxes next year. It just about covered the 3 missing payments. But again, I skipped August & September because of the unapplied funds issue and they are foreclosing because of the missed payments in August and September. That's another example of the right hand and left hand going, 'Who the heck are you?' to each other at Citi - because even though my three complete May - June - July payments are in 'unapplied funds', they obviously know about the payments because my Notice of Default only lists the August and September missed payments. So why aren't those three payments posted as official payments yet?

    It's a fiasco and some employees are friendly and try to be helpful but what's the point of that when you talk to a different person each time? 'Joe' who is helpful on Tuesday is replaced by 'George' who tells a different story on Wednesday. It's good to know these incompetent and greedy banks control our economy and exert so much influence on our government. We're all doomed. :)

    Seriously, though, it is depressing and I am fortunate that I have the funds to pay in November. As I wrote, I'm following the official, state-mandated timeline now. Everything is being done by the book, courtesy of the state of Maryland.

    Loansafe.org has so many stories of people just screwed over and devastated by these banks. I know I'm not in the worst shape, but it hasn't been fun for me either.

    By the way, the July 27th date was from the 'Notice of Intent to Foreclose', which I now know was a sort of barking dog letter. A form letter designed to scare me. It did scare me (note my first post), but now I know what the official 'Notice of Default' is - and that's the letter I received (described in my second post).

    I've read that Texas is pretty bad regarding quick foreclosures and no one regulating things well. Luckily, Maryland has decided to be more pro-active and pro-consumer. This is partly an election-year issue since we have a governor's race. I wish you luck and thanks for your reply.
  14. sunnyh

    sunnyh LoanSafe Member

    And by the way, when I stated yesterday that I continued the repayment plan until last month, I meant 'August' and not September.

    As for why I considered continuing the repayment plan after paying the 3 missed payments - well, that money was not applied properly and they kept calling me so I decided to continue the repayment plan just in case. I figured that when the 3 payments posted correctly, I would call and cancel the repayment plan and I might even be ahead a month or two in payments. And that would give me some breathing room in case disaster struck again.

    If anything goes wrong with my payment of the Aug Sept Oct arrears in November, I'll post an update. I'll also post any relevant info regarding the foreclosure process in Maryland as I go through it. Some first-hand experience. Until then....;)
  15. davephx

    davephx LoanSafe Member

    Citi applies payments in unapplied funds until it has the full amount of an original mortgage payment. If you have paid in the payments that equal all the delinquent FULL ORIGINAL payments you "should" be ok. But someone has to cancel the foreclosure action.

    Paying any reduced payments will not stop the foreclosure process but sounds like you have now caught up on full payments.

    The only catch is - depending on State - once they file the notice of foreclosure (not intent to but actually a foreclosure notice or an "Acceleration Notice" which maybe included in the foreclosure notice they do not have to accept any partial payments. And they may add a few thousand of legal fees (added profit) to the amount required to "cure".

    Again is confusing based on different State foreclosure requirements. But Citi "SHOULD"
    tell you where you stand.

    The India folks are simply in collections they will lie or deceive you to get any payment they can from you. You should only be talking to the loan modification folks or try to get escalated to the Executive Response Team.. I think its called which had one contact person who tried to be very helpful.

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