New Here Hi All And Few Questions

Shteeeven

LoanSafe Member
#1
hi all reading hope you're well. I'm in a pickle. I was in a chapter 13 and paid for 3 years before I ran into a financial hardship, needless to say I fell behind. Spoke with lender they told me there's nothing they can do because in in chapter 13.

That was about a year and a half ago. In late April I was involved in a car accident so I again called the lender to see if I could do something to get me caught up, they told me they'd fax a loan mod packet to my attorney and never did. They sent me a notice of default, I spoke with my attorney who advised me to stop paying the chapter 13 and just refuse when it's dismissed.

I followed his advice and here I am.

I received my notice of complaint and filed my answer. I called and asked the lender again to send me loan mod package, they advised me I had to speak with their attorney. I received a rebuttal to my verified answer stating my counterclaim should be dismissed because they deny all my allegations including overpayment because of statute of limitations, unclean hands and doctrine of laches.

It said I am not entitled an equitable solution for those reasons. I am not seeking monetary reimbursement or a free ride. Mainly I really just want to work with the lender and repay what owe.I contacted HUD and opened a file because I have been unable to even be offered a loan mod, the ability to file a partial claim with the fha and I've never been contacted for a face to face mediation.

I am hoping to accomplish this in court during a settlement conference. I don't want to hire a lawyer or file for bankruptcy again because the money it will cost me I would rather apply to paying my debt. Nationstar is the lender and I'm in NY I owe $60k to bring current, but if I was able to do a partial claim I could have it repaid within the year and I have $15k to give them in good faith.

Am I doing this right? Why does it seem they aren't willing to work with me at all or even offer one of the many fha programs?
 
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Moe Bedard

Call 1-800-779-4547
Staff member
Loan Safe Mortgage
#2
Hello,

You will need to get court approval for a loan modification. That is why they will not do it without the courts.

Here are the requirements for a FHA loan modification:

There is no maximum back-end debt ratio. The first mortgage payment (PITI) cannot exceed a 40% front-end debt ratio.

You can have a maximum of 36 months or more of missed payments.

Loan modifications are now allowed to be combined with a partial claim. In addition, insurance (PITI) may also be included in an FHA-HAMP Partial Claim. FHA-HAMP allows the use of a partial claim up to 30 percent of the unpaid principal balance as of the date of default combined with a loan modification. Below I have listed the facts on this new guideline and on partial claims.

Financial Requirements

1. The Borrower does not have surplus income that is at least the greater of $300 and 15 percent of net monthly income

2. 85% of the borrower’s surplus income is insufficient to cure arrearages within 6 months, and

3. The borrower’s monthly principal, interest, taxes, and insurance (PITI) mortgage payment can be reduced by the greater of 10% of the original monthly mortgage payment amount or $100, as a result of the lender setting the interest rate at the Market Rate and amortizing the new loan over 30 years.

Loan Modification Interest Rate

The lender should modify the interest rate to the current Market Rate, defined as a rate that is no more than 25 basis points greater than the most recent Freddie Mac Weekly Primary Mortgage Market Survey (PMMS) Rate for 30 year fixed-rate conforming mortgages (US average), rounded to the nearest one-eighth of one percent (0.125%), as of the date a Trial Payment Plan is offered to a borrower.

To see the most current 30 year fixed conforming mortgage rate from Freddie Mac, click here.
 

Shteeeven

LoanSafe Member
#3
I have about 50% surplus income on a monthly basis, I just had a rough patch with injuries and some unfortunate events. By the looks of the requirements the only thing I see that applies is not being able to catch up in 6 months with 85% of my surplus income. Does that mean I do not qualify because I don't meet the other requirements? Thanks for the info moe
 

Moe Bedard

Call 1-800-779-4547
Staff member
Loan Safe Mortgage
#4
You are welcome.

No, that does not mean you do not qualify because I have seen exceptions made before. I would just keep fighting and talk to your BK lawyer. Maybe the best bet is to get back in court ASAP so you can get court approval for a loan modification.
 

Shteeeven

LoanSafe Member
#5
Been in settlement conferences since April. Submitted all docs in may, they keep asking for 1 additional doc at a time, currently I’ve submitted submitted a profit and loss statement from a non borrowing contributor 4 times. Ubaf twice. 4506t 3 times. I have it all stored in my email as well as printed. Kinda frustrating but sticking with it. Have $45000 ready to apply to the $70000 I owe and it seems like they just keep stalling and are ignoring my request to submit a partial claim on my behalf. Next conference date is at end of the month and will have around $50000 to fork over. I have enough money to cover what the partial claim won’t. I’ve brought this up multiple times at the conferences. They keep telling me to see how the modification goes but it seems like they’re stalling or waiting for me to quit. I’m hoping to have a success story. Apparently the original nod I received was grossly over estimated. This could have been done over a year ago. Very frustrating. I was even denied once “in error” a day after another document was requested. When does it end I need it over with