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Substitution of Trustee and Full Reconveyance from County Recorder?

Discussion in 'Wells Fargo Home Mortgage' started by Daphne, Aug 17, 2012.

  1. Daphne

    Daphne LoanSafe Member

    We received two documents from our County recorder in Sacramento ca.
    I don't know what they mean for us. One is a Substitution of Trustee and the other is a Full Reconveyance ont the Heloc. When I google these terms they appear to be removing the lien, like when the loan is satisfied.This second, Heloc, is in default for 20 months, the first is current. the property taxes were behind but are on a payment plan now. We have had the second bounced to three different CA's and back to the original lender. We have talked on the phone once, they call every day, and they spoke of settling the $50k helocn for $15k which we passed on. Then in the mail we got these recorded documents with the right address description and the right loan number. We got no letter of forgiveness or notice of any kind just the docs.

    What does this Full Reconveyance mean? Is the second gone? Is the debt still there? Second was charged off June of 2011. No more calls from the lender this week. House is underwater below the first. We live on my SSDI and Dis pension and they know this.

    I have asked a title company for a property profile and they did not show on there, at least not yet. I asked our local free legal advice call center and they had some potential ideas what they mean, but recommended spending some money on a real estate lawyer's advice. Last I checked with a real estate agent we know and she said to just call the lender to see what they mean.
  2. Daphne

    Daphne LoanSafe Member

    I wanted to add that the two docs did show up on the online recorder page. I read this site everyday looking to see how others have tried and succeeded at settling their seconds. Should I have posted this thread in a different section of the forum?
  3. Daphne

    Daphne LoanSafe Member

    Wow, we just a letter of loan forgiveness from Wells today. We did not get one before the two docs I was asking about earlier. I don't know why they did this but I am glad to have this looming problem hanging over our heads.

    Now to go back and try to modify the 1st again.
  4. Richard70

    Richard70 LoanSafe Member

    Daphne, I've received these two docs. from WF last week. I did not expect it at all. My second loan was with 3 diffrent collection agencies for more than two years and they were trying to settle for 10% that I did not accept. The amount of second loan was $95,000 and they were asking for $9,000. I did not answer their calls for 4 months and then the calls stopped. Last week I recieved substitution of trustee & full reconveyence from county recorder. I called title company , the second lien had been removed from title. now I am waiting for WF forgiveness letter, any idea how long does it take for WF to send out that letter. I'm still in shock.
  5. Daphne

    Daphne LoanSafe Member

    The letter came two weeks later. It is a very non-descript form letter that explains that your loan is forgiven and that you don't have to do anything. We were also trying to settle our loan and had mailed an offer in the same time they sent the two docs. After we got the forgiveness letter, Wells sent us another letter telling us that our offer was too low and not acceptable. So we are done with the second. I don't know how long it will take for this to show on our credit but when we checked in Sept it was still showing the same balance and charged off. We are now trying to refinance our first ( wells again). Our first attempt witha broker was unsuccessful and he told us that the forgiveness is treated like a foreclosure and no new lender would be interested .He said to try a harp 2 with Wells. We will see how that goes. Congratulations on surviving your second.

  6. Richard70

    Richard70 LoanSafe Member

    Thanks Daphne, As I mentioned title company told me that the second lien had been removed and I also asked them to email me the docs. that they have reg. this full reconveyance , and they did. on the other hand I checked my balance with WF but it still showes the $95,000 balance, WF told me to contact collection agency for the status of the case they said it doesn't show on their system because they transfer the case to collection agency but I just wanted to wait for forgiveness letter. Thank you again and good luck on your new journey
  7. NorCalJumbo

    NorCalJumbo LoanSafe Member

    I too have received the trustee and reconveyance letters from my county recorder's office showing Wells Fargo has removed the lien from my house (second mortgage). I have not, however, gotten a letter of forgiveness, and it has been about 1 month since receiving the other two letters. Daphne and/or Richard, was your HELOC purchase money? I kind of think they sold to a debt collector, which I may settle with for pennies on the dollar. Without the lien, I have little incentive to pay. I'm curious as to how Well's 'debt forgiveness' will impact a credit score vs paying paying off a collection account.
  8. No_Kidding

    No_Kidding LoanSafe Member

    That is great news! Congrats!!

    I am eagerly waiting for such a letter from my county recorder's office. I haven't pait or contacted WF heloc for 13 months now. About time they move on and release lien.

    How long it took you to get to this point?
  9. Daphne

    Daphne LoanSafe Member

    Ours was in default for 20 months and we were chosen to be included in their Mortgage settlement and they did not say why. Wells did say there is a predetermined list of who is getting these loan forgiveness's and that our first mortgage (with Wells also) was not on this list. You should call the main Wells number and see if your account is on this list or not. The collections and recovery dept won't know or won't tell, at least they did not in our case and were calling up to the day we got the loan forgiveness letter.
  10. Richard70

    Richard70 LoanSafe Member

    NorCaljumbo,
    Yes, mine was HELOC. and I'm still waiting for the letter of forgiveness. The impact on credit score should be the same , we will see when WF report it to credit bureau.I want to check my credit score after I see $0.00 balance on my WF HELOC account, let's cross our fingers!
  11. Daphne

    Daphne LoanSafe Member

    We took our our Heloc or line of credit to finish a remodel/addition.

    While in default, they sent our account to three different collectors and even charged it off but I don't think they ever sold it to any of them. The collectors have some authority to settle for less but when your offer is below their required minimum, I think they have to get OK from Wells . We tried repeatedly to get proof of who owned the note and then get an ok to settle. They would then transfer our note to another collector. We, as a rule would not answer their calls, until ready to make serious settlement offer, which they rejected as too low.Then out of nowhere, they forgave the loan.
    With the lien gone you have no incentive to pay. We were told that a forgiveness is being treated the same as foreclosure by the lenders as we are still trying to refinance our first.

  12. Daveerik

    Daveerik LoanSafe Member

    Congradulations

    A follow up question. Do you have any contact info at Wells For this predetermined list? And who told you they had this list? That would be great for me to be able to call?
    thanks
  13. No_Kidding

    No_Kidding LoanSafe Member

    Daphne, Richard70, and NorCalDumbo - Congratulations to all of you on getting your heloc behind. It is encouraging that finally WF is coming around to forgiving charged off second loans. I am waiting for mine one of these days.

    Daphne and NorCalDumbo, if you don't mind, you should post your success story on http://www.loansafe.org/forum/debt-settlement/40564-success-stories-settling-2nds-11.html#post429020

    Many members are tied to that thread and WF forgiveness is sure a welcome story on that board.
  14. Daphne

    Daphne LoanSafe Member

    If I recall correctly, I called the customer service 800 number like you would to check your balance, payments, etc. When you get a live person ask them directly if your account is listed for loan forgiveness. They will either confirm that you are or aren't. I don't know the time frame for when they notify people.

    If they say you are not on the list, ask the reason why not? I asked if my first was included and they said we had been in default in the past 12 months on the first, which was true but is not any longer, and therefore we did not qualify. The lady also said there was no appeal or other way to get on this one time settlement. I was told by one of the moderators on here, Cat, that this was untrue and to file a complaint, but have not done so yet.

    I am waiting until Dec 1 and then will have 12 months with no default and try again for something, refinance to fixed, loan mod,loan forgiveness for the first to go with my already received loan forgiveness on the second. The main Wells number is on your mortgage bill. Please update us what they say.
  15. Daphne

    Daphne LoanSafe Member

  16. Daveerik

    Daveerik LoanSafe Member

    If anyone calls Wells Please let us know if they say there is a list

    If anyone calls Welss to see if there is a list of foregiven HELOCS, please update this board, I am chicken to call

    thanks
  17. Daphne

    Daphne LoanSafe Member

    Why be scared? Your already in default, credit score damaged, etc. What else can they do besides ask for a payment? Remember to call the main bank number and not the people who have been calling the house or the collections.

    You can do this.
  18. Daveerik

    Daveerik LoanSafe Member

    Called Wells and they said no such list

    So I called weels Fargo to see if I was on a list to have my HELOC extinguished. I called the general line and the represenative states Wells was not doing any foregiveness but I could make a payment. Anyone else have any success calling lately? Any phone numbers would be great
  19. Daphne

    Daphne LoanSafe Member

    When we called, we had already been notified about the loan forgiveness on the second and were calling to see if there was any similar news concerning the first. They checked our account number and said the first did not qualify. I think that since you have not gotten a forgiveness letter by now than your loan is not on the list. I don't know for sure but I assume they sent them all out at once and the amount forgiven is part of the overall mortgage settlement they agreed to.

    So once they have fulfilled their legal obligation they are done with loan forgiveness. We may have just gotten lucky and had all of the right boxes checked.
  20. Daveerik

    Daveerik LoanSafe Member

    Ok so just called again, and this representaive told me we were on the list to have our Wells Fargo Heloc foregiven :) So Excited. I will post to success stories once complete.

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