Strategic Default is fun sometimes

Martinez02

LoanSafe Member
Aug 27, 2010
273
3
0
Spoke with "Melissa" today of the loss mitigation department. She is my "account manager"...

My "stats":

$69K 2nd loan (90-days P/D) 8% fixed 15 due/30 am - BofA
$365K 1st loan (90-days P/D) 5.875% fixed 30/30 - Citibank
$220K value- mebbe- and dropping.

I told her I'd sent a complete application package to the OOP in late-November, and that included a description of terms I would be willing to pay on the note. I shared that since 2010 was now over and I hadn't paid property taxes or interest for November or December, I should probably refresh the package since I now had additional tax liability and probably needed even greater concessions. Not to mention that the liquidity I did have on hand would now be needed to cover life's surprises, since my credit was bad and I couldn't borrow on commercially reasonable terms to cover that.

She fumbled around a bit, so I explained to her that she should probably do her homework before she called people asking for money.

I also told her two things weren't happening:
(1) I wasn't going to pay the note current at the present terms.
(2) I wasn't going to qualify for a hardship program based on income alone at 22% front-end D/I.

I also offered to settle for $3,000 if she could get me an agreement today that provided for the release fo their lien. She volunteered that BAC Home Loans NEVER settles for less than 85%- I told her to look at the facts- she's beyond 100% underwater and it's $3,000 or nothing.

I let her know that I felt sorry for her, that she worked for a company that couldn't effectively workout and settle debt, because it saddled its employees with ineffective policy and lack of authority. I know she doesn't set policy... But, the numbers are the numbers and the numbers say don't pay BAC. So, sorry I won't be sending a check until they can get real and have a nice day.
 

izzle

LoanSafe Member
Aug 11, 2010
214
1
18
Vancouver WA
Thanks for your update. Let us know if BoA ever decides to come around...
 

chowder

LoanSafe Member
Jan 11, 2010
636
2
18
She fumbled around a bit, so I explained to her that she should probably do her homework before she called people asking for money.....I let her know that I felt sorry for her, that she worked for a company that couldn't effectively workout and settle debt, because it saddled its employees with ineffective policy and lack of authority. I know she doesn't set policy... But, the numbers are the numbers and the numbers say don't pay BAC. So, sorry I won't be sending a check until they can get real and have a nice day.
Martinez, how cruel you are. Hilariously cruel, and I love it.
 

ginnywilcox

LoanSafe Member
May 19, 2009
64
0
0
I love it!

Well I just sent a letter off to BofA regarding my 2nd lien.....I got a HAMP on my 1st loan, very happy with it...but totally underwater...so when BofA was nice enough to finally start their 2MP program they sent me a letter stating "congratulations!" I have a 2MP and they are nice enough to drop my interest rate on my 2nd to 2% for 5 years (interest only!) how lucky for me!! I am over 200k underwater and my first is for 100k.

I send a long letter back stating we will not accept their 2MP offer...thank you very much...I sent them a copy of the extinguishment option from the 2MP program and highly recommended they take their money from them since I am not going to pay anymore on this loosing asset. The 2MP will give them somewhere between .10 to .15 per dollar (I am borderline 140% underwater that is the cut off of between .15 to .10 cents) if I am less than 6 months late. I told them they only have 2 more months before I become 6 months late in which they can only get .6 cents. I finished it with a reality check of ....we are in a non-recourse state, and this is a non-recourse purchase money loan...which in 6 months I might get a pay cut and who knows...we might just walk away.

I haven't read anyone shoving the measly 2MP offer back at them.....I put it in the fex-ex envelope that they sent me...and mailed it back to them....curious to see what they do to you and me!

Good luck!
 

fuentejps

LoanSafe Member
Sep 17, 2010
115
0
0
is ohio a non recourse state? ginny, awesome stance. nevermind doesnt matter my income is ssdi, cant touch it or my accounts. my name is solely on the loan.
 

Martinez02

LoanSafe Member
Aug 27, 2010
273
3
0
I would be very surprised if BofA ever files an NOD. They may sell the note to collector for $100 or something. Once they file the NOD, a portion of the attorney's statutory fees come do- since they are all the way underwater why incur the expense?

I suspect they will monitor title through a 3rd party service, wait for the 1st to file an NOD, then sell the note as described above. If that happens I'll offer settlement to the collector. If they do it cheap enough, I might even reinstate my 1st- mission accomplished if 2nd goes away since I am within 125% of equivalent rent at current 1st payment.