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Real Time Resolutions - 2nd original Countrywide / B of A

Discussion in 'Bank of America Mortgage Help' started by UnderwaterBlues, Aug 23, 2013.

  1. UnderwaterBlues

    UnderwaterBlues LoanSafe Member


    Well, its been forever since I defaulted on a original 80/20 Countrywide original 2nd loan. I took care of a the Making Home Affordable Refinance on the 1st back in 2011 and remaining current on it but since sending a cease and desist letter to RTR back in early 2012 I have not heard a peep from them, which is good, however I continue to see Real Time on my Credit Karma or Credit Sesame so they continue to report.

    What I am wondering is their motives long term or if I should consider to let it stay silent for now and await if they will ever send a letter to attempt to collect or what. I know we have a debt forgiveness in effect through remainder of 2013 which may or may not be extended.

    Any advise or experiences with them? Thanks
  2. TomEason

    TomEason LoanSafe Guide Staff Member


    Thanks for your post. I presume your RTR 2nd is still underwater. If so, RTR won't FC. I recommend you seek to eventually settle by following the guide at post #1 of the following thread. For info regarding any potential IRS liability you might have due to CODI, I recommend you consult with your tax person. http://www.loansafe.org/forum/debt-settlement/37996-strategy-settling-your-2nd-94.html
  3. UnderwaterBlues

    UnderwaterBlues LoanSafe Member

    Hello Tom and Thanks for the reply. Since I reviewed your Strategy for settling 2nd, I have followed it to a T. I haven't made contact with them and sent in a cease and desist letter once they began calling me so its been quiet. I am all for believing that the longer the account sits there on their books with no contact, the better odds that I may be able to settle for little especially since I really don't have any cash access as it is.

    With the whole 2012 2nd's being extinguished for alot of home owners especially those under Countrywide with 80/20 original purchase loans in a non recourse state, I also wonder why mine wasnt one of them and could it be but RTR just continues to report on my CR.

    Home value is rising and from Zillow, Id say the 2nd may be in some money a bit but not certain especially since there are costs associated with selling a home or foreclosing on one. If I tried to sell it now, I could not get enough to cover the 1st loan balance and certainly enough to pay off loan after realtor fees etc. so I think the 2nd has to be underwater.
  4. TomEason

    TomEason LoanSafe Guide Staff Member

    Hi UnderwaterBlues

    Thanks for your post. I might recommend you get a current valuation: I recommend you not rely on an AVM like Zillow (whose valuations are almost always high). You can get a free CMA from a RE agent who farms your neighborhood. To the balance of your 2nd, you can safely add about $50K; that's how much it would cost your 2nd lender, post FC, to resell the REO property. More expensive properties will cost more. If, after receiving the CMA, you decide your 2nd is "in the money", you may need to employ another settlement strategy. You might visit the following thread. I have no idea what criteria the lenders used to determine full extinguishments. FYI, per the FCRA, a derog can remain in the consumer's credit file or up to 7.5 years after the date of first delinquency (first 30-day late). Good luck. http://www.loansafe.org/forum/debt-settlement/41196-settling-money-2nds.html

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