Mortgage statement shows big principal payment after bk

[HOMEBODY]

I posted previously about my mortage with Chase. I filed BK in June and was discharged in September...since August my mortgage statment has been showing that I paid over $110,000 on my loan. I owe $186,000, but since August the statement says that $110,000 was paid to principal and now I only owe $74,000 or so. I am afraid to call and ask...I thought it was a mistake and they would correct it but its been a few months. Recently my statements went back to online viewing, it shows there again that I only owe around $74,000 now...I think they are also putting a great chunk of my payment towards principal now as well. This is crazy. I dont know what is going on.

Unless....they are so slick that maybe they are doing this so I dont ask for a modification on this loan... I have a 2nd loan on this property for $250,000 and that is interest only that I really want to modify so that I can start paying something on it, but Chase will not modify this loan unless I get a modification on the first. I am stuck.

One odd thing though...about 6 weeks ago I got a letter from Chase telling me that one of their employees had downloaded my mortgage information to his home computer and they were letting me know that they had taken action against the employee and were letting me know just in case there was identify fraud on my account (ha.ha..thats a joke with the recent BK). But the account is still showing the same.

[tcreegan]

Hi HOMEBODY,

you have a quarter million 2nd? Is the $250,000 a typo?

At any rate, do you have a chunk of equity greater than the amount on the first? If not, the second is worthless and you should settle for pennies on the dollar. Of course in your case what the equity is might be hard to figure out....

Tom in Colo

ps: if the 2nd really is $250K, why on earth are you keeping the house?

[HOMEBODY]

Yes..the 2nd is $250,000. The house is worth $450,000...so if they lowered the principal, I have over $100,000 in equity. Even before they lowered the principal I still had equity on the house. I dont know why they are doing this. I wish I could settle the 2nd, but I cant I dont think the way things are.

I am wondering if they are doing this on purpose so that I dont try modifying.

I keep this house because it is a rental and it is paying itself. I rent it out for $2400 and my payments are about $2000.00.

On my principal residence, my loan is $730,000. Last year I got this FedEx and in it is a modification and they reduced the interest rate to 1.19%. So each month when I pay my mortgage I am paying almost $2,000 in principal. I didnt even ask for a modification back then. The 2nd on this house was wiped out in the BK, now I am saving money to pay the lien at 5% if I can. The lien is $83,000.00

[HOMEBODY]

any comments about Chase's reduction in mortgage principal? My statements are showing the principal paid still and each time I make a payment, it is reduced by $850.00. If I make 2 payments a month, the mortgage will be paid off in 2 years. This has to be a big mistake because my principal before BK was $186,000.00. How is this possible? I just dont want to hurry up and pay this off and then have them reverse their mistake.

[newbie2]

The only way to know would be to call them, and you don't want to do that. It sounds as if a modification was put in to place for you, with principle reduction. Hard to believe it was done without you receiving any documentation (or applying for it). Or it could be a huge mistake. As I said, the only way to know what happened to that $100,000 would be to call them.

[ohmy]

Just a thought here........can you get into your amortization online and look backwards to see when the change started and how it is applied? I have that capability on my online mortgage account. Since my mod last December it is almost a 50/50 split as to how much gets applied to principal and interest.

[mysticspirit25]

do you have a history of statements showing the new principal balance? IF so that could be ammunition to release lien after it is paid off at the lower amount.

[HOMEBODY]

Yes, I am able to go online and see the history of payments. I filed for BK in June and this happened on July 5th. It shows 99,999.99 plus another 7999.00 then they have been adding principal paid of about $800.00 Each and every month it is showing $110,000 paid and the balance continues to decrease by $800.00. I did ask for a modification and the declined me after the BK as they said I made enough to make the payment. During that same time, I got a letter from Chase telling me that one of their employees was caught with my account on his personal computer and they were writing to let me know that this had happened in case of identity debt.

[Pandora]

Homebody

Ask for a Qualified Written Request (QWR) (example and description here: http://www.ftc.gov/bcp/edu/pubs/cons...mes/rea10.shtm )

What you dont want to happen is that your home is taken from you down the line due to the banks' errors. Let's play devils advocate for a moment with this scenario: What happens if this same employee that took your information (or someone else for that matter) is entering information wrong "just because" or if someone else is doing so truly in error; your house shows paid in full soon, and they release the deed to you in error? Is it for certain that a court would find in your favor vs. the banks', letting you keep the house /title issued given it can be proven that you knew the information was incorrect, yet did nothing to correct it? If you know this is all incorrect, dont take the chance of having something bad happen down the road; its better to be safe now than sorry later.

I hope you can get it all figured out and corrected soon. That's got to be stressful.