First and foremost, THANK YOU FOR THIS SITE. We are panicked and desperately need direction. Here's our story with our dilemma following:
MISSISSIPPI 11/2006: HOME PURCHASE @ 179,900
WELLS FARGO 1ST: 144,000 @ 8.125% = 1085
HOMEWARD 2ND: 35,000 @ 14.150% = 430
WELLS FARGO HAS STATED THAT WE ARE NON FANNIE & NON FREDDIE - OUR INVESTOR IS AURORA?
HOMEWARD WAS ORIGINALLY OPTION 1 MORTGAGE CO. THEN AMERICAN HOME MORTGAGE SERVICING INC
We had a previous bankruptcy years 2001 due to medical issues and my husband lost his job. After that we worked hard while renting and when purchasing our Mississippi home in 2006 Wells Fargo said it would be NO PROBLEM to refinance and consolidate the 1st and 2nd in a few years. The first attempt to refi and consolidate the two loans went nowhere in 2009. During that time, both my husband and I had our hours reduced significantly. He works for Coca Cola and I am a manicurist. We suffered several deaths in the family, medical issues and rising costs with this economy. We were able to pull through by the skin of our teeth.
As the housing crash began and our situation worsened we hopped on the modification nightmare trying to save our house as homes in the area were being foreclosed and sold at or around $100,000. We have never been late or missed a payment on either the 1st or 2nd until June 2012 when Wells Fargo told us to stop making payments to qualify for the HAMP program and that our monthly payment, if we qualified for HAMP, would be around $500 based on our current income and expenses. We are now 4 mos behind with Wells Fargo ($4650) which doesn't seem like much but it is and going further it will be just as difficult. My work is always fluctuating. After 3 years and 2 HAMP denials, we were notified that we indeed qualified for HAMP and that a trial plan would arrive shortly. Having not been on this website and navigating Wells Fargo lies for years I should have been prepared for their trial modification offer:
WELLS FARGO OFFERS TO DECREASE OUR INTEREST RATE FROM 8.125% TO 7.5%!
INCREASING OUR CURRENT $1085 MONTHLY PAYMENT TO $1218
(THIS INCLUDES INSURANCE & TAXES NOT PREVIOUSLY ESCROWED)
ARE THEY TACKING ON THE $4635 OUTSTANDING TO THE END OF THE LOAN?
ARE THEY EXTENDING THE TERM OF THE LOAN?
WILL A PERMANENT MODIFICATION EVER MATERIALIZE?
ISN'T HAMP DESIGNED TO KEEP ME IN MY HOME WITH REDUCED INTEREST RELEVANT TO THE CURRENT MARKET RATES?
These trial period terms arrived last week with the first trial payment due on Oct 1st. Our calls to Wells Fargo (cold woman!) and the HOPE line ended with there's nothing we can do. Your next step is foreclosure. And I'm frightened they will arrive tomorrow.
Our dilemma is if we accept this trial modification to stop the foreclosure process is there any hope for us reducing the interest rate on the loan in the future?
If we accept this trial to stop the foreclosure process, should we stop paying the 2nd to better afford the 1st?
Should we sell everything to bring the 1st current to stop the foreclosure and look at other avenues?
If we decline the trial, continue to not pay, how much time will we have before foreclosure?
Is it worth a phonecall or email to the Attorney General and is there really anything they can do?f
Would a real estate attorney have any suggestions (if I can even find one)
And last, is what Wells Fargo doing with HAMP legal?
Any and all suggestions are welcomed! Thank you for your time. I hope the above info is sufficient to give an opinion as I have been at the mercy of Wells Fargo and certainly MISSINFORMED