Wells Fargo Equity Line Settlement!

[2manybills]

I received a call and a follow up confirmation letter from Wells Fargo. They have agreed to accept $20,000 as settlement for our $200,000.00 equity line in exchange for a release of their lien.

They'e given us 60 days to send in the lump sum payment and then it will take about two weeks after that to release the lien and file a reconveyance on the deed.

[oc714]

I received a call and a follow up confirmation letter from Wells Fargo. They have agreed to accept $20,000 as settlement for our $200,000.00 equity line in exchange for a release of their lien.

They'e given us 60 days to send in the lump sum payment and then it will take about two weeks after that to release the lien and file a reconveyance on the deed.

This sounds like a great deal to me. Congrats on the settlement. I'm hopin to do the same with Wells I'm just waiting to be discharged from BK. We are struggeling to pay the Heloc its at 9.75%.

[2manybills]

I quit paying our Heloc after discharge. Then eventually it was charged off and sent to the "Liqudation Department". I tried a year ago, and I think it was too soon, it wasn't in Liquidation. Also, the real estate market here is still dropping. Is your property upside down?

[oc714]

I quit paying our Heloc after discharge. Then eventually it was charged off and sent to the "Liqudation Department". I tried a year ago, and I think it was too soon, it wasn't in Liquidation. Also, the real estate market here is still dropping. Is your property upside down?

the house is worth about 312-330k. We owe 310K on the first and 85k on the 2nd. We are hoping they will work with us, we just can't seem to make it work paying the mortgages. I thought it would be easier not having to pay the CC but it's been a struggle, we are left with nothing every month.

[mtbjoe]

Congratulations!!!

I'm the proud owner of 2 helocs myself totaling almost as much as yours that we have been paying interest only on for the past 6 years. In order to qualify for a Chapter 7 I'm going to have to convert them both to 30yr fixed which will add about $1000 a month to our payments. We were really hoping to keep our home but doing this will make that impossible unless we can work something out with WF like you did.

[jetsfan2010]

Did Wells say anything about sending you a 1099 for the settlement?

[2manybills]

No they did not. There is no 1099 because the mortgage was discharged in our bankruptcy.

[2manybills]

Congratulations!!!

I'm the proud owner of 2 helocs myself totaling almost as much as yours that we have been paying interest only on for the past 6 years. In order to qualify for a Chapter 7 I'm going to have to convert them both to 30yr fixed which will add about $1000 a month to our payments. We were really hoping to keep our home but doing this will make that impossible unless we can work something out with WF like you did.

Is your property upside down? Technically, we aren't upside down, but for $60K worth of equity, it will cost Wells about $35 or $40K to foreclose, so the $20K is about all they would end up with net. The magic settlement number seemed to be with a 10% settlement of the loan balance.

[mtbjoe]

Yes, we're upside down. Our house is worth more than our 1st and 2nd combined but we're about 75k under water when you add in the 3rd so it sounds like we're in a different situation. This is pretty new to us and we're still trying to figure it all out. Congrats again!

[2manybills]

Thanks very much. Good luck to you. So it just may be the 3rd that you will be dealing with. But again, mine showed around $50 to $60K in equity, but then when they factor in their costs of foreclosure, etc., it is worth to settle with you. Not knowing your situation, I would say, get your discharge and start chipping away, one by one. Start with the 3rd.

Again, good luck to you.