Got permanent loan modification offer under the president's plan - Got through trial period

[bigtree]

Made three monthly payments under the trial period and just got the paperwork for a permanent modification. The interest rate dropped from 6.5% to 2.25% for 5 years then rising every year for three years to 4.875% in 2017. All of it amounts to about $300. less a month, brings my account current, and wipes out all of the late charges. All I have to do now is sign the agreement and send in some more paychecks.

Pretty cool. Thanks, President Obama.

[FrenchieCat]

1. Did ours a few months ago!

We are paying less than half of what we were paying before! :hi:

[bigtree]

2. change we can believe in

:hi: :toast:

[Maru Kitteh]

3. Awesome! Was it difficult and how did you start?

[bigtree]

4. pretty easy

posted the start here:

http://www.democraticunderground.com/discuss/duboard.php?az=show_mesg&forum=389&topic_id=7033183&mesg_id=7033183

:hi:

[GiveMeFreedom]

5. Congratulations!!

I am very, very, very happy for you!!!:bounce: :bounce: :applause: :applause:

I have been struggling with B of A to get mine done. Made 6 trial payments so far and then they slipped a quick one in on my wife and I. Wrote my Senator, she responded, now the wheels are grinding slowly. Where we end up? I do not know. But I tell all my friends that if I have to move out, we are moving under a 6 million dollar bridge, so we are moving up after all.:shrug: :cry: :rofl:

[bigtree]

11. I know mine isn't a typical story

lots of folks have run into a wall with their lenders. Still holding my breath here . . . best of luck to you :hi:

[GiveMeFreedom]

12. Thanks bigtree

I appreciate the thought. I really am happy for you. Someone or a few have gotten a break and about time.

Your moniker "bigtree", would you happen to live near the Big Trees National Park in CA? I live in Calaveras county where the park is located. Just wondering and kinda hoping a dem/lib/progressive type also lives in this poor mind boggling conservative back words religiously stupid county. :hi:

If not, where ever you live, they are lucky to have you.

[bigtree]

13. I'm on the other side of the country GMF

. . . bigtree is a play on my last name 'Fullwood'.

I posted these accounts of my experience because I wanted to provide some hope that good things can come from our Democratic-majority government. It hasn't been as a successful mortgage program as it was intended, but just maybe we can pool accounts of our experiences and motivate the administration and Congress to do more. It hasn't been anywhere near a success yet. Search around DU for threads on LM. Lots of experiences among the folks here. Best wishes . . . Ron :hi:

[NYC_SKP]

6. To those who've said, "Meet the New Boss, Same as the Old Boss", I want finally to say:

Shut the Fuck Up!

Congratulations, bigtree.

This is just one example of the many things we wouldn't have without a President Obama.

:toast:

[bigtree]

8. one example

some hope

[rpannier]

7. Congrats nt

[bigtree]

14. thanks nt

:hi:

[DesertFlower]

9. that's great news.

a guy who did some work for me got his interest rate dropped from 6% to 3%. lowered his payment $600 a month.

[bigtree]

15. good to hear other successes

so many folks still waiting . . .

[rufus dog]

10. Great Bigtree Dude!

I hope everything continues to go your way.

[bigtree]

16. thanks, rufus dog

:hi:

[Waiting For Everyman]

17. Wells Fargo won't modify any VA loans.

They said that pointblank, repeatedly - that no VA loans can be modified. That's ridiculous, given that HAMP is a Federal program. You'd think that Federal loans would've been the FIRST ones modified. But no. I'd like to see some national statistics on how many VA loans have been modifided under HAMP - I'll bet it's very, very few - if any. People would be outraged, if that was known. (I'm planning on asking for the numbers on that.)

I'm still insisting on getting considered for the program, I've been taken out of foreclosure and put back into "active consideration" now for the umpteenth time. (I've been hanging on the edge of FC for more than a year now, 18 months in process altogether - being told one lie after another, as the reason for it. I've done two rounds of "trial payments" which led to nothing afterwards.)

I found on the net that as of Feb. 1st, a new "VA HAMP" was announced in a VA Circular. WF hasn't indicated that they're even aware of it yet - we'll see what happens, now that I've just resubmitted a new application.

I'm insisting that WF follow the VA Servicer Guidelines, which I also found online. The Guidelines say that modification MUST be considered as an alternative BEFORE any foreclosure is initiated... the Guidelines are being totally ignored by the bank. Just flat ignored.

Seems to me... if I have to follow the law, so do they. I'll take that to a court if I have to. Right now, I'm waiting to see what WF does next, and getting my senator involved (to watch over my application as it goes through the process this time). It's ridiculous that everyday people have to go through all of this, just to get the law followed.

I agree though, this is a great program - if homeowners were given a direct way to demand an immediate review, it would've been better.

Congrats, bigtee! And thanks for posting - your success gives me hope. :hug:


p.s. Interesting trivia - a WF supervisor admitted to me that their "negotiators" don't negotiate anything with anybody - they don't have written or verbal contact with any investor, they "only read what's in the file". Cute, huh? Even the job title of "negotiator" is an outright deception. My investor (Lehman) went bankrupt - so who the hell is deciding that my loan can't be modified? WF can't answer that question. So I'm going "produce the note" on them.

[bigtree]

18. saw the VA HAMP story

January 12th, 2010, 10:58 am

The Department of Veterans Affairs (VA) issued instructions for the implementation of a modification program under the terms of the Making Home Affordable Modification Program (HAMP), extending the federal system to apply to VA-insured mortgages.

Prior to the implementation of the VA version of HAMP, servicers used several loss mitigation options for distressed VA mortgage borrowers, such as repayment plans, special forbearances and traditional loan modification programs. Servicers are expected to continue to use these programs first, leaving VA HAMP as the modification option of last resort.

When the program takes effect Feb. 1, VA servicers will be required to try the VA HAMP option before making moves to oust the owner, such as a short sale, deed-in-lieu or foreclosure.

To ensure veterans’ cases are heard in a timely manner, the VA is limiting interest payments on any claim under guaranty on an unsuccessful case to 210 days from the due date of the last paid installment plus the published timeframe for foreclosure in the state where the home is located.

Servicers can use the VA HAMP workout plan so long as the borrower doesn’t qualify for traditional home retention loss mitigation, the property is the primary residence and the modification is agreed upon by December 31, 2012, the current HAMP expiration date.

Another requirement of the VA HAMP is that servicers must complete a two-step net present value (NPV) calculation to verify that default is unavoidable and the borrower is ineligible for a workout plan. This is necessary to ensure a veteran receives appropriate consideration for loan modification, even when the VA guaranty makes foreclosure a more financially attractive option for a servicer, the department said. Servicers will calculate NPV both assuming the VA guarantees the loan and a second calculation that doesn’t take the guarantee into account.

http://www.housingwire.com/2010/01/12/va-launches-hamp-program-for-distressed-borrowers/

did you read through this? I think you're right to continue to press them to consider your application. I'd try working through a representative in your state to get some leverage, if possible. I'd like to look into this some more. Wells Fargo has been at the center of the many complaints I've read about lenders refusing to process applications or refusing to modify loans. They need special attention from our legislators and the administration.

[Waiting For Everyman]

19. Thanks bigtree, yes that's what I'm referring to...

The HAMP was announced last March, nearly a year ago. Why the heck has it taken VA a YEAR to create this special "subprogram" of HAMP for VA loans, I wonder? Just what has the VA Home Loan Division been doing all year!

I'm asking for VA to do a formal review of WF for non-compliance of VA guidelines (it took me this long to find out that such a procedure exists), and I'm also asking my senator to do a review of the VA's behavior in this too. Both WF and VA failed to follow the guidelines. They're also in violation of Treasury guidelines for failing to consider an eligible loan.

My senator is Barb Mikulski, who has a great deal of clout concerning veterans' issues... so this should get interesting.



I'm just very glad that the MakingHomeAffordable.gov website for HAMP eligibility exists, or I wouldn't even know for sure that my loan fits the eligibility requirements - at least it's good to know that much! Otherwise, I wouldn't even know to insist on being processed for it.

I wonder sometimes, how many people never saw that site, and the alotted time went by, and just quietly lost their homes to foreclosure without knowing there was something more they could do? Lawyers don't want these cases (because they know we don't have any money, or will end up in bankruptcy) and it's really hard to stand up for one's rights without one (as I'm doing).


On Wells Fargo... they're one of the biggest servicers, so since they aren't doing any VA mods, then it's safe to say that very few are being done by anybody. My goal is to not only get my own mod, but to shine a light on what they've been up to. I can say from my own experience that their reasons for dening my mod have been ludicrous outright lies - preposterous nonsense, repeatedly. I not only worked for WF a while back, I was also a real estate agent years ago - so I know their statements to me are absurd... I've been keeping a list of lies WITH the codes of WF reps who said them.

I plan on "snitching them off" to Senator Barb, bigtime. If she goes nuclear on them, as I expect she will, I'll let y'all know.

[bigtree]

21. we've got the same senator

She does have some good military clout. Looking forward to seeing the VA program work like its supposed to.

[bigtree]

20. .