Seterus Bank

[faroff]

Hi all. I just received a letter from Seterus Bank who holds my mortgage.
It states they have applied a $5,000 HAMP incentive to reduce my unpaid principal.
It also states that I may also qualify for a reamortization of the UPB. I'm assuming
this is a good thing??? Can someone actually explain in layman terms what this
means? Thanks.

 

[Erik Sandstrom]

Hi Faroff,
I've never seen a lender just automatically issue money without applying for anything in the past and I'm guessing that's what is going on in your case.

Re-amortization is where they extend the term back out either to 30 or sometimes 40 years. What it means is you would have a lower mortgage payment, however you would be repaying the loan over a longer period of time. Really depends on what you're looking for in the long run.

 

[faroff]

Thanks Erik!