Making Home Affordable Program

[hamburgervol]

I have also found the government HOPE hotline as being no help. On the makinghomesaffordable.org website is a number for the HOPE hotline which is supposed to provide URGENT help for homeowners. I talked to a lady for over an hour and a half. She took down (supposedly) all of my information regarding my income, expenses, etc. She informed me that I was well in the red (SURPRISE) and suggested ways to increase my income (find additional jobs???) and also gave me the website (incorrectly) for help with my food bill (which was slightly high). None of her suggestions was going to help the fact that my PITI was going up $1600/month.
She then suggested that I was eligible for Home affordable refinance plan (which I had already inquired about and found that Countrywide was willing only to lower my interest rate to 4.5%, no help). I then informed her that I was eligible for the Homeowners affordable MODIFCATION. She was UNAWARE of this program and I had to point out for her to read the PDF file on the MHA website. She did and said thatshe was sending all of the info to Countrywide via email with a copy to me and that I would be receivibg a copy in about 48 hours. That was Sunday. It is now Friday and I have not received ANYTHING!!! So much for the HELP line!
I also scoured the internet for phone numbers for Countrywide and came up with several different numbers for the loss modification dept (as suggested I call by the helpline). ALL of the phone numbers connected me to Countrywide and they also had the SAME EXACT MESSAGE!!! The message was that they were aware of the homeowners that were in trouble and were sending out packages to these customers over the next several weeks. No phone, fax or email available to send info to them.
I'm sure that they are not aware of my situation because I have not missed a payment. They will become aware on May 15. There seems to be little that I can do until they contact me.
My wife and I also talked to a HUD consumer advocate last Friday (for over 2 hours) and he said that he will handle the situation directly with Countryside for us. We have not heard anything from him since.

I did the same as you almost 2 months ago, I heard nothing from anyone. I think the banks/HOPE are either overwhelmed with applicants, incompetent, or just don't care. I have a feeling the whole plan is a failure.

[spearmint]

I am in the same boat with Chase, I submitted the modification paperwork a month ago and have yet to hear anything. I have no issue with the $400k that I owe but I am at a fixed 7% which in todays market is very bad. All I am asking for is a rate reduction to around 5% which would save me around $6000 a year. Right now I am running 1 month behind since I am running at around $500 to $600 negative a month. Worse comes to worse I drag this out and stop making payments. At least with my mortgage account being discharged they cant ding me for more late payments.

Chase got my loan mod documents in early February and I still don't have a response. They are at least 2-3 months behind, they tell me.

A good site to read about Chase and all the other banks on this issue is

http://www.loansafe.org

[imbarbara6]

A friend of ours was trying to work with Countrywide and jumping through hoops in an effort to get their mortgage modified. Although she was employeed, her husband lost his job, then became disabled. During that time they fell behind on their payment. Countrywide asked them to submit all of their financials, etc and when they saw how much money the couple had in retirement accounts, actually told them they had the resources to bring their loan current! My friends, maybe not the smartest people in the world took their advice and tapped into their 401k to make the amounts past due plus all late charges and fees and a ballon payment!
Long story short... In the end, she had exhausted her 401k and they still lost their home. Countrywide didn't do anything by way of help. Only helped themselves to as much money they could drain from my friend before forclosing. I know this sounds far-fetched but it really happened.

[StartingOver08]

A friend of ours was trying to work with Countrywide and jumping through hoops in an effort to get their mortgage modified. Although she was employeed, her husband lost his job, then became disabled. During that time they fell behind on their payment. Countrywide asked them to submit all of their financials, etc and when they saw how much money the couple had in retirement accounts, actually told them they had the resources to bring their loan current! My friends, maybe not the smartest people in the world took their advice and tapped into their 401k to make the amounts past due plus all late charges and fees and a ballon payment!
Long story short... In the end, she had exhausted her 401k and they still lost their home. Countrywide didn't do anything by way of help. Only helped themselves to as much money they could drain from my friend before forclosing. I know this sounds far-fetched but it really happened.

This is SOP for the loss mitigation/loan modification departments. They ask you to send accurate financials so they can assess your other assets and know where the assets are kept. Remember these depts of the OC are part of their collections depts.

[StacyAnn]

Home Affordable (My experience)

My wife and I are going through almost exactly the same circumstances as confused33, except that we have not filed our chapter 7 yet due to lack of funds. Since we will not be able to make next months mortgage payment (due to increase of escrow), I have been trying to find out if it is better to take what money we have and file the chapter 7 or wait for the results of the home affordable modification. Since we have not made any payments to any charge cards since October, some of the CC companies are threatening to sue us. I just don't know if the BK will affect our eligeability to get the HAM. Does anyone have any recommendations on this?

My mortgage is through GMAC and it is a Freddie Mac Loan. I first submitted my paperwork / documents about 3 months ago in order to try and get some kind of modification. Since the news of Home Affordable, I filled out the required worksheet packet and faxed everything in. Many things I had to fax more than once. I am about 2 weeks out on my last two faxes of just a couple of pages and they said to give it until monday because the fax lines are flooded.

The rep that I spoke to today said that if I am filing bankruptcy and am in the pre-trial plan for home affordable, or in the 3-4 month trial plan...everything will be halted / cancled and I will need to start over the home affordable process because my attorney will need to reafirm the mortgage. Now, if I am through the 3-4 month trial period, then my BK will not affect my mortgage as long as I get and sign the actual closing papers on the new loan doc after trial period.

I am calling my attorney tomorrow to see if he can reafirm and try to work with the home affordable with out me having to start over.

I paid my attorneys fee, yet haven't taken the online course yet. I am thinking that I am better off waiting to get on home affordable and not pay my credit cards as I was current up until May 1st, so am just 1 payment past due on a few cards. I figure that I will be okay for the next say 4-6 months? As far as any lawsuits being filed per card agreement? I plan to have attorney file as soon as I get through my trial plan. I know that I will need to put up with the phone calls and letters....but what else can I do?

I am waiting on disibility as I have Asperger's Syndrome which makes every day life very, very hard for me...I can't hold a job and have messed up my business so bad that I got us into $70K debt. This is a common characteristic of those with AS, and not to mention both my kids have it and I am homeschooling.

Another question for anyone that might know....

I might reopen the business with my husband overseeing and employees working, basically only to make enough money to pay past due taxes (which aren't much) and utility bills to my landlord. Does anyone know about what happens if my landlord decides to boot me (which I doubt will happen until mid summer in which I will be able to catch up on payments)...however, if I need to include my landlors Co. in BK...will all bills up through the summer be wiped clean even if they are being accrued up until the day of BK?

Sorry if this is confusing, I am often confused over my communicating.

: )

[imbarbara6]

I'm not an expert by no means and learning everything the hard way but, my attorney told me to beware of most Loan Modifications. He said they are geared to help the lender and don't do much by way of help for the homeowner in the long run. He said the only one worth a hoot is the Hope 90% FHA Short Refinance.

[StacyAnn]

Home Affordable isn't the typical modification.

Maybe. The Home Affordable plan is a government created plan that is implemented through direct lendors who finance a Fannie May or Freddie Mac loan. This plan brings the payments down to 38% of our monthly income, and then the government kicks in the last 7% to bring the mortgage payment down to 31% income. The government then pays the lender $1500.00 for every successfully modified loan, and then also pays the lender and borrower $1K per year for up to five years if all payments are made timely, for the homeowner portion, that amount goes directly to principle. This plan is for people whose incomes have been permently reduced.

So, this is something to look into for anyone who knows that they will not be affording their home and wants to stay in the house. I just learned that I will be holding off on my BK chapter 7 until I am approved for Home Affordable. It looks as if I should be within 2 weeks away. It looks like average loans will be modified to 40 years and there are 3-4 month trial periods.

Now if only my faxes were all received...going to check up now.

[ItsJustMe]

He said the only one worth a hoot is the Hope 90% FHA Short Refinance.

I'm not sure what plan you speak of? The only thing I can think is the HOPE plan, which was the Bush era plan that sought to mod under water properties. It was strictly voluntary on the part of the lender and as of March the program had assisted literally one household. Obama has come out with plans to impliment portions of HOPE w/the MHA program, though as far as I know this has done been done as of yet (and as far as I'm concerned, plan for it to be about as successful as it was under Bush ).

I've not read a single account of my lender (CW) offering a MHA modification (though they are offering refis) but I have read that they are being offered by other lenders (starting w/trial period, as has been posted). Another forum that I'm on has hundreds of homeowners who have had success with NACA, some with the interest rates lowered to as low as 2%! NACA is totally legit and definately worth a phone call.

[relief13035]

Countrywides Legal Dept Direct Line
Mary Archer-paralegal 972-526-3610


CW Office Of The President Direct Line
800-601-2522

[Confused33]

I had to re-fax everything this past week because they "didn't have anything on file". Then the person at Bank of America (the new Countrywide) told me that they weren't officially honoring the program yet. Horsesh*t.

I'm tired of messing with these people. Tempted to just let the house go (didn't reaffirm) and go move into an apartment somewhere.

[newbeginning]

you know as i read these unsuccessful and frustrating stories, it dawns on me that the people we deal with can be the neighbor down the street or next door who are either listening to and abiding by deceptive and/or counter-productive policies or are unsympathetic... i hope my experience is better.

[spidge]

I had to re-fax everything this past week because they "didn't have anything on file". Then the person at Bank of America (the new Countrywide) told me that they weren't officially honoring the program yet. Horsesh*t.

I'm tired of messing with these people. Tempted to just let the house go (didn't reaffirm) and go move into an apartment somewhere.

Be carefull when they get you to fax your info over and over they are building a case against you. I sent my stuff in in March and in April was asked by BofA(CW loan) to re-send. I never did and am waiting for the call concerning my 5 month behind 2nd(heloc). I intend to offer them 5% or I file a ch 13 to completely strip.

If I remember correctly the Hope plan has helped 1 person country wide.

[StacyAnn]

I'm on the trial plan now...

Well, with a Freddie Mac or Fannie May loan, it can work.

I got my documents the other day and my first trial plan payment is July 1st. I need to make three months of trial payments at my new mortgage amount of $1055.00 which is down from my original mortgage payment of $1800.00 per month. This really helps. This will stay for 5 years and then it goes up 1% each year not to exceed my original interest rate, that stays for 30 years.

Now, I was told that I need to wait to file BK until the trial payments are finished or it will "kick me out" of the program. However, online the home affordable site said that a person can file BK or be in BK and still be on Home Affordable if certain papers are written up by attorney...although it is the "servicers descretion". We will see what it says. My only concern on waiting the 3 months is if my creditors try to sue me. My attorney's assistant told me that since I paid the BK fee in full, creditors most likely won't try and do anything.

So, for those of you that are trying for mortgage help...I don't believe that the banks can afford to foreclose in this economy, so keep persevering.

I have an LLC (the source of our financial problems really) that we are dissolving, yet I am sure the loans are personally guaranteed...and I have a ski resort landlord who will need to be diverted to the attorney also...hope that all works out. I am having a guy give me a quote to buy and take out all of our fixtures, none of the equipment is secured by the credit cards though...so i think we will take whatever money we get from that and throw it towards debt, and a small amount of taxes.

[Confused33]

Well, I gave up on the Making Home Affordable BS.

I called them and called them and called them and got different stories every time. The final call ended with them telling me that I did not qualify for the program and that if I couldn't make my payments then tough.

I moved out of the house and live in Austin now. The home is leased to a family that plans to purchase the home between now and next June. If things go array then I'll just let it go and keep their deposit.

So has ANYONE gotten any help from Bank of America?

[StacyAnn]

I have heard B of A is very difficult to work with.

I'm sorry that they are so difficult to work with. I have heard that. Were you 2 of 3 months behind? none usually help you unless you are.
At least you got the house rented out, right?