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Mortgage/modification update. It's more absurd and bizarre.............


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It's a long, outrageous story. When I first posted about it, I was "scared" that people wouldn't believe it. Fortunately, there were enough people here familiar with the insanity of the system.

 

Most recently, I got a call from my mortgage holder last week that I qualified for a "Forebearance" program. I could make payments Dec. 1, Jan. 1 and Feb 1 and after that, I would qualify for a program to move forward.

 

I asked the person who called me, from my bank, about the foreclosure date that was on my account. She said there wasn't one. I asked her repeatedly, because I had just talked to my bank the day before and there was one. She assured me there wasn't one and that I'd be getting a confirmation about the program I qualified for.

 

I didn't get that letter, but I did get a foreclosure letter from my bank's attorney.

 

I faxed 81 pages of material to my bank Sunday and followed with return receipt requested mail on Monday. I called the employee who offered the Forebearnance. She claimed to have "misinformed me" and she "apologizes". :001_huh:

 

I kept discussing it and she referred me to her supervisor. Her supervisor called and told me I don't qualify for a modification because my income is too low. I mentioned my husband (of 3 years!) and she said since he wasn't on the mortgage, he can't count. Funny, he "counted" on the original modification - the one they underwrote in full disclosure and granted me. She then tried to tell me that the original modification was "null and void" because the xh didn't sign it. :lol: In all these months, with me calling every week, they NEVER SAID ANYTHING ABOUT THAT. They "mis-executed" paperwork, but never mentioned needing xh's signature.

 

I contacted the Texas Attorney General. He told me flat up that he would not be surpirsed at any tale I told him; he has dozens of similar stories. I called a local attorney I have known for years (I used to work for his brother when I lived in Orlando). I called for a referral - but it turns out that this attorney/friend is working 4 similar to my cases!

 

The Senate is meeting about it:

 

http://banking.senate.gov/public/index.cfm?FuseAction=Hearings.Hearing&Hearing_ID=df8cb685-c1bf-4eea-941d-cf9d5173873a

 

It's amazing to me. All I want to do is have a viable loan and start sending them $1228 a month. Surely that's a better alternative for everyone than th foreclosure on December 7? Yes?

 

Wow.

 

PS: If you don't believe in modifications, don't believe in homeowner help, or have made assumptions about how I got behind in the first place, or are certain I had an outrageous loan to begin with, feel free to skip my thread. I am simply trying to do the right thing, pay the mortgage and keep my kids in this house.

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I believe every word you have written.

 

I taught with someone who was mired in a similar situation a couple of years ago. I've lost touch with her, but I suspect her outcome wasn't good.

 

It makes no sense for a bank to move the foreclosure process forward when the homeowner is ready, willing and able to do the right thing.

 

:confused:

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I had something similar happen years ago. We had missed some payments because of my husbands heart failure and so I contacted the mortgage company. They set us up with a modification, we started payments again and they tacked the missed ones onto the end of the loan. So no problem, everything is great...right up until I got a note on my door from the nice man that had BOUGHT MY HOUSE AT AUCTION!!!! He wanted to know when we were moving out!!! So I called the bank and somehow the legal department didn't know that the modification section of the bank had made me a deal and that I had started making payments again. So yeah, they sold my freaking house "by accident." It was fixed, the judge repealed the sale, but I thought i would get an ulcer. And that was before the whole housing bubble. I guess it happens all the time now. HUGS to you!!!

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May I ask, which bank? My sister, who works for her congressman said not to try to go through with a mod because one bank (among others) is forcing homeowners into foreclosure which totally goes against the bailout. After contacting our bank twice, we've been given a different story both times.

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May I ask, which bank? My sister, who works for her congressman said not to try to go through with a mod because one bank (among others) is forcing homeowners into foreclosure which totally goes against the bailout. After contacting our bank twice, we've been given a different story both times.

 

Chase. The Texas AG and an attorney friend tell me it's rampant with B of A, Chase, and Wells Fargo.

 

The different story every time you call is SOP. I have a year's worth of call logs to prove it. :lol::tongue_smilie:

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Arrgh! I'm so sorry that you are having to go through all of this.

 

Your story is as convoluted as the story of someone close to me. It's unreal what the banks are doing and how they are jerking people around. In the case of the people dear to me, it's been over two years and they are still going through financial h3ll dealing with all the mess.

 

:grouphug: to you.

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I believe every word you have written.

 

I taught with someone who was mired in a similar situation a couple of years ago. I've lost touch with her, but I suspect her outcome wasn't good.

 

It makes no sense for a bank to move the foreclosure process forward when the homeowner is ready, willing and able to do the right thing.

 

:confused:

 

I asked my hubby this same thing and he said they are able to write off the foreclosure and thus get a bigger break at the end of the year. Don't know whether that is true or not but rigging the books makes sense as to why so many are losing their home while in the process of modifying their loans.

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Gee Joanne, that is so frustrating!

 

If I were you I'd be nervous about sending them any money on a mod for fear they would cash your checks then foreclose. Did the attorney say anything about that?

 

:grouphug:

 

Oh, I am not sending them anything without a viable, executed contract. :) I meant that I just want to resume regular payments and pay my mortgage, you know? It's just *stupid* of them to go to these lengths to prevent it!

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BTDT. Ended up short-selling.

 

Soooooo incredibly stupid to 'bail out' the banks without a game plan in place BEFORE they received the money. I wonder how many other families are out there dealing with the same cluster?

 

My research indicates thousands of people.

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BTDT. Ended up short-selling.

 

Soooooo incredibly stupid to 'bail out' the banks without a game plan in place BEFORE they received the money. I wonder how many other families are out there dealing with the same cluster?

We did too. I can remember having...oh, I don't know... 8 different foreclosure dates. They'd push it back or put it on hold but not tell their atty office who would keep sending me letters. So I'd call and they'd say it was postponed.

 

It's a cluster alright.:glare:

 

:grouphug: Joanne.

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My research indicates thousands of people.

An aquaintance of ours fell behind in payments, tried to work it out with the mortgage co, no deal. They sold his house at auction. A month later, the mortgage co called him to offer a payment plan for his house! That had been sold at auction! This stuff is so crazy, and unbelievable, why? Incompetence or corruption?

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I

 

PS: If you don't believe in modifications, don't believe in homeowner help, or have made assumptions about how I got behind in the first place, or are certain I had an outrageous loan to begin with, feel free to skip my thread. I am simply trying to do the right thing, pay the mortgage and keep my kids in this house.

 

:lol: Love your sotto voce.

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It is frustrating on the other side of a sale too (though no where near as scary as the idea of losing a home you've been in for years, for certain). We're moving in a few weeks and I'm going to be trying to buy a house in January. I'd love to buy a house that was foreclosed on, because it might be a way for us to get a roomier home in a very expensive (to us) market.

 

But I am nervous that we'll go through the process of buying the house and move in, to be told that there was a problem with the forclosure process and that we don't really own the house. I'm not trying to put anyone out on the street. But I've lost confidence that the paperwork on the sale would be properly executed.

 

I don't disbelieve stories of bad customer service or lost paperwork. Back several years ago, our loan was held by Countrywide. All of a sudden we got a bill from them for insurance on the house. They had somehow "lost" the paperwork from our insurance company, which we'd been using since buying the house several years before. So they started assessing us insurance through their own policy.

 

It took about six weeks to get them to stop sending us bills and late payment notices for something we had not signed up for and did not need per our contract. Our insurance company faxed them the policy multiple times. It wasn't until my FIL, who used to own his own insurance agency and held the insurance equivalent of a CPA cert, gave me the magic words of state insurance examiner that they suddenly got their act together. This was Countrywide and I wasn't surprised to hear they were in the middle of the housing crisis.

 

Joanne, I hope things work out for you. Is there a way to file an injunction or some other holding action against the foreclosure?

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It's a long, outrageous story. When I first posted about it, I was "scared" that people wouldn't believe it. Fortunately, there were enough people here familiar with the insanity of the system.

 

I believe it. Once I wanted to pay a large doctor's fee in full at the time of the appointment. The clerks at the checkout didn't know how to handle it. Insurance, Medicaire, etc--they knew how to deal with that. They didn't know what to do with someone who wanted to write a check to pay for the appointment they'd just had.

 

It's a weird world we live in.

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I've already posted our tale about the loan mod in late 2008-early 2009. Keep your attorney - you're going to need back-up. Our mortgage company was Bank of America (actually, BOA bought out our original mortgage company - we don't do business with BOA in any form). Only through massive legal threats did they follow through with the contract and fix our "foreclosure status" (even tho we were paying) and credit reports. And it did take all year for it to get straightened out. One day, my husband called and said, "I am demanding $20,000 for damages." He went on and on. He actually called several times, saying this. The attorney wrote them a nasty letter. They straightened up.

 

I think ALL this is being done on purpose. They know what they're doing.

 

Oh, and our attorney...had another client who sued Chase...Chase didn't even show up to court. The judge immediately ruled in favor of the client.

 

Stick to your guns. These crooks are trying to swindle thousands of people - after stealing billions in tax money.

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A friend of mine has been dealing with this for 18 months. Their situation is different - they're not behind and not being foreclosed. But nevertheless, they're supposed to qualify for some federal program for refinancing. They don't qualify because they have lender-paid PMI - but this was never disclosed to them, which is completely illegal. The bank can't produce any paperwork on the PMI. They've called several attorneys, and the one who was polite enough to call them back told them they have a valid case but it's not worth pursuing. The banks and government are all in bed together on this and recourse is next to impossible.

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My mother is having issues with B of A as well. She isn't selling the rentals we live in until the modification is done and she is SURE she will still have her house at the end.:glare: She got behind because the recession started here long before most other places, and her computer business of 17 years is closing tomorrow.

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Joanne,

 

The banking industry is so low that a burroughing mole couldn't get any lower! Seriously, there is NOOOOOOOOOOOOO morality in the system and nothing you say would surprise any of us.

 

Here's a thought, have you thought about "embarassing" the local Chase branch with an interview in your local newspaper? It might get the local bank V.P. to get off his or her collective arse and do something. You might want to check with an attorney first but if you've got your documentation, I don't see how it would be libel/slander.

 

It is so stinking frustrating to watch good people willing to do the right thing go through this kind of garbage.

 

Faith

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Chase. The Texas AG and an attorney friend tell me it's rampant with B of A, Chase, and Wells Fargo.

 

The different story every time you call is SOP. I have a year's worth of call logs to prove it. :lol::tongue_smilie:

 

 

yep. Chase is a mess. We've never had problems to this degree, but it took hours of phone calls to make our PMI disappear even though we'd reached our 80% mark. The people who answer the phone don't have a freaking clue. The departments must not communicate with one another at all...you spend hours on hold just to be told...let me transfer you to the correct department. There was ONE woman who knew what she was talking about in all the PMI mess that we waded through. We probably talked to 20 people altogether.

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I think the whole mortgage industry is a mess, and full of companies who are out to just harass people. Our lovely mortgage-holder has a policy to call us in the middle of each month, several times, to remind us that our mortgage is due at the end of the month. Mind you, we are not behind on our mortgage, never have been, never made a late payment, but every month for the last 6 months or so, I get an automated call saying "Please hold with important information regarding your mortgage." It freaks me out every time and I call my DH panicked - did you pay our mortgage two weeks ago? Yes, he reassures me. We call them back every time and tell them to quit doing that, but they never do.

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It's amazing to me. All I want to do is have a viable loan and start sending them $1228 a month. Surely that's a better alternative for everyone than th foreclosure on December 7? Yes?

 

 

 

 

One would think, but then you're not dealing with an industry known for its smarts. :glare:

 

Good luck, Joanne.

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I'm blown away by all these stories. I certainly believe them, but I guess I've been ignorant of some of the personal problems people are having with mortgage companies. It gauls me that these banks have been given money to "help" people in trouble and instead are destroying them to the best of their ability.

 

My Dh and I decided a few months ago that we would suffer the penalties and taxes in order get at some money we had in the market. We paid off our mortage. DH is not yet in danger of loosing his job and we've never made a late payment. But our thinking was that once those things happened, it might be too late. And what if the market crashes big again? We could easily loose enough money to be unable to do what we just did. We just don't have much faith in the economic future of this country (although we certainly hope it doesn't go any farther down the toilet.) and we just couldn't imagine loosing this farm into which we've put so much of our blood sweat, tears and heart. We feel comfortable with what we did and sleep well at night. After reading what you all have posted, even more so.

 

:grouphug: So sorry for your troubles. There, but for the grace of God, go any one of us.

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Barry,

 

Thank you so much for posting this. The senator from Montana looked like he wanted to "go Montana" on somebody's head and I wish he would. He and the rest of congress should have taken their gloves off a long time ago and sentenced these four banks to a good, public, pounding!

 

Joanne, I really think that if you could go to the media, maybe you have a shot at motivating the greedy little slimes into doing something reasonable expeditiously.

 

Faith

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I think the whole mortgage industry is a mess, and full of companies who are out to just harass people. Our lovely mortgage-holder has a policy to call us in the middle of each month, several times, to remind us that our mortgage is due at the end of the month. Mind you, we are not behind on our mortgage, never have been, never made a late payment, but every month for the last 6 months or so, I get an automated call saying "Please hold with important information regarding your mortgage." It freaks me out every time and I call my DH panicked - did you pay our mortgage two weeks ago? Yes, he reassures me. We call them back every time and tell them to quit doing that, but they never do.

 

What is up with that? My bank just switched over to Wells and they do that now. We've never been late, always make the payment. BUt now they call wanting to know when are we going to pay, why we haven't paid it already:confused: NOw they are sending us letters. WE're not even late.

 

It's all fraud and greed and because they can.

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I just heard (or read) in the news that it is actually cheaper for the banks to foreclose than it is to modify the loan so they are doing what is best for them. There is so much fraud in the system right now and it is out in the open. It is crazy that people have not been arrested for what is happening.

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I've already posted our tale about the loan mod in late 2008-early 2009. Keep your attorney - you're going to need back-up. Our mortgage company was Bank of America (actually, BOA bought out our original mortgage company - we don't do business with BOA in any form). Only through massive legal threats did they follow through with the contract and fix our "foreclosure status" (even tho we were paying) and credit reports. And it did take all year for it to get straightened out. One day, my husband called and said, "I am demanding $20,000 for damages." He went on and on. He actually called several times, saying this. The attorney wrote them a nasty letter. They straightened up.

 

I think ALL this is being done on purpose. They know what they're doing.

 

Oh, and our attorney...had another client who sued Chase...Chase didn't even show up to court. The judge immediately ruled in favor of the client.

 

Stick to your guns. These crooks are trying to swindle thousands of people - after stealing billions in tax money.

 

 

Joanne~~the first part I bolded... make sure your atty is competent. The atty the people in my story hired wasn't (but they didn't know that at the time)... he assured them that the 2nd mtg was taken care of in the short sale, but it wasn't despite the paperwork that made it seem so (yes, they read the docs, but apparently, there was something missing or something not explained to them by the atty). After spending most of the last 5 months fighting that, they visited a *different* atty last week to file Ch 13 as there is no way they can pay. And with the Florida economy the way it is and their new (lower-paying, lower-houred) jobs in constant jeopardy, it doesn't look like there is much hope for a future repayment plan, either, so they did what they swore they would never do. They feel completely beaten, and they, too, did everything 'right'. :(

 

The other part I bolded.... I firmly agree that the banking industry knows what they are doing.

 

More :grouphug: to you and :grouphug: to everyone gong through this nightmare. It's terrible.

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I just heard (or read) in the news that it is actually cheaper for the banks to foreclose than it is to modify the loan so they are doing what is best for them. There is so much fraud in the system right now and it is out in the open. It is crazy that people have not been arrested for what is happening.

 

I remember reading some articles and watching a video on You Tube a few months ago about that (it may be the video linked in an earlier post--- I haven't had time to view that yet). It had something to do with the money the gov gave the banks and they got more money on a foreclosure than a short sale (and now modifications). There were charts and everything. It made me want to scream.

 

ETA: The video Barry linked is not the same one I saw, but boy, this video is awful, too!

Edited by Heather in AL
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It's a long, outrageous story. When I first posted about it, I was "scared" that people wouldn't believe it. Fortunately, there were enough people here familiar with the insanity of the system.

 

Most recently, I got a call from my mortgage holder last week that I qualified for a "Forebearance" program. I could make payments Dec. 1, Jan. 1 and Feb 1 and after that, I would qualify for a program to move forward.

 

I asked the person who called me, from my bank, about the foreclosure date that was on my account. She said there wasn't one. I asked her repeatedly, because I had just talked to my bank the day before and there was one. She assured me there wasn't one and that I'd be getting a confirmation about the program I qualified for.

 

I didn't get that letter, but I did get a foreclosure letter from my bank's attorney.

 

I faxed 81 pages of material to my bank Sunday and followed with return receipt requested mail on Monday. I called the employee who offered the Forebearnance. She claimed to have "misinformed me" and she "apologizes". :001_huh:

 

I kept discussing it and she referred me to her supervisor. Her supervisor called and told me I don't qualify for a modification because my income is too low. I mentioned my husband (of 3 years!) and she said since he wasn't on the mortgage, he can't count. Funny, he "counted" on the original modification - the one they underwrote in full disclosure and granted me. She then tried to tell me that the original modification was "null and void" because the xh didn't sign it. :lol: In all these months, with me calling every week, they NEVER SAID ANYTHING ABOUT THAT. They "mis-executed" paperwork, but never mentioned needing xh's signature.

 

I contacted the Texas Attorney General. He told me flat up that he would not be surpirsed at any tale I told him; he has dozens of similar stories. I called a local attorney I have known for years (I used to work for his brother when I lived in Orlando). I called for a referral - but it turns out that this attorney/friend is working 4 similar to my cases!

 

The Senate is meeting about it:

 

http://banking.senate.gov/public/index.cfm?FuseAction=Hearings.Hearing&Hearing_ID=df8cb685-c1bf-4eea-941d-cf9d5173873a

 

It's amazing to me. All I want to do is have a viable loan and start sending them $1228 a month. Surely that's a better alternative for everyone than th foreclosure on December 7? Yes?

 

Wow.

 

PS: If you don't believe in modifications, don't believe in homeowner help, or have made assumptions about how I got behind in the first place, or are certain I had an outrageous loan to begin with, feel free to skip my thread. I am simply trying to do the right thing, pay the mortgage and keep my kids in this house.

 

I don't have any experience with this, I'm sorry. I haven't even bought my first house yet. BUT I just had to say your disclaimer at the bottom gave me a chuckle with the "feel free to skip my thread". I know it's true, sadly so. But after being on forums for years now and seeing the drama that can go down, and the opinions fly, it was refreshing to see someone just put that all out there and nip it right in the bud. It's kinda sad you feel like you have to though.

 

:grouphug: I hope things get better for your family.

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Hi Joanne,

 

I am one of the ones who is angry about subprime mortgages and people who got loans with no verification of income. There are people who defrauded mortgage companies and banks. BUT there are also a number of banks and mortgage companies that are doing WRONG. I think some of this is a big scam by some of the banks and mortgage companies. I think some of this is just plain incompetence. It really doesn't matter when your home is threatened and you are perfectly willing and able to pay. It doesn't matter when,like two other posters states, people keep calling you to pay the mortgage when you have been paying and will keep paying but they harass you and scare you anyway. :grouphug: to you. I know I often come off as being judgmental and I believe it is mostly due to my personality but I really don't wish people harm and I do want people to keep their homes. As I stated earlier in my post, my beef is with people who lied - lied to get mortgages or lied to foreclose on people. I just hate dishonesty and can see the harms to our society from it. I will pray for you to get some relief and get to keep your home.

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Hi Joanne,

 

I am one of the ones who is angry about subprime mortgages and people who got loans with no verification of income. There are people who defrauded mortgage companies and banks. BUT there are also a number of banks and mortgage companies that are doing WRONG. I think some of this is a big scam by some of the banks and mortgage companies. I think some of this is just plain incompetence. It really doesn't matter when your home is threatened and you are perfectly willing and able to pay. It doesn't matter when,like two other posters states, people keep calling you to pay the mortgage when you have been paying and will keep paying but they harass you and scare you anyway. :grouphug: to you. I know I often come off as being judgmental and I believe it is mostly due to my personality but I really don't wish people harm and I do want people to keep their homes. As I stated earlier in my post, my beef is with people who lied - lied to get mortgages or lied to foreclose on people. I just hate dishonesty and can see the harms to our society from it. I will pray for you to get some relief and get to keep your home.

 

Thank you. :) I got into my home with a traditional mortgage, reams of documentation and a (now ex) husband who was making more than $100k. We had just sold our home in AZ. I wasn't part of the subprime mortgage; many thousands of us facing being homeless were not.

 

We have recently had a church member, who was a mortage broker, face charges on knowingly doing a few deals that were shady. I've been praying for his family.

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I waited to see this, worried about what it might be. Thank you for posting; it oddly helps to know that I am not alone or crazy. (well, ok, I might be crazy, but in this situation, I am not the crazy one.)

 

Yeah, sorry, I should have been more descriptive...i was in a hurry before.

 

You're not crazy...it's just taking you awhile to realize that you aren't in a negotiation, you're in a knife fight.

 

My point in sharing is to help you, or anyone, to realize that doing 'the right thing' isn't the issue. The bank has declared war on you, and they have no conception of 'the right thing.' The only thing they care about is coming out ahead financially, and they will lie, commit fraud, bribe congress, and break into your house without cause in order to do it (I have sources).

 

If you want to stay in your house, I hope you get yourself a shark lawyer, and demand to see the original 'wet note' signature on your mortgage to make them PROVE that they have standing to foreclose on you and worry about paying their bills later on.

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I am so sorry Joanne! I foolishly assumed you were out of the woods when they approved your modification a couple of months ago???!

Never believe anything you are told over the phone. They cannot hire people fast enough for their enormous call volume and none of them (or very few) are properly trained and know what they are talking about. This is what an attorney recently shared with me.

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I totally believe you-I see it around me almost every day. :grouphug::grouphug: LIke I said in one of your older threads, one of my Bffs had almost an identical telephone conversation with her Co about her 'modification'. And then, when it didn't go through, they wanted 4k--which she didn't have! She scraped it together, but the wear and may break them.

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Most recently, I got a call from my mortgage holder last week that I qualified for a "Forebearance" program. I could make payments Dec. 1, Jan. 1 and Feb 1 and after that, I would qualify for a program to move forward.
Careful with this. A good friend and her husband here was given a similar offer, but for six months (CITIBANK). Soon after the fifth trial payment, they were told they didn't qualify after all and were strongly advised not to send in their last trial payment, so they wouldn't "waste their money." A month later they were told they didn't qualify *because* they missed their last payment. :glare: They eventually did get a modification, but the terms weren't nearly so good as those that had been floated at the beginning of the process.
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