Loan Mod Denied! What next? BofA

[ltrain823]

Hello everyone, after this month it will be 12 months since I requested a loan mod from BofA and after so much pain and suffering they denied me a couple of days ago. They agreed to a trial payment that I have been paying them ON TIME and still denied me!. I am about fed up with this entire process anyway but I have a few questions...

There has not been a sheriff sale yet but what is going on with this whole BofA halting foreclosures i keep hearing about? Does this mean that even though it's going to go into forclosure that I still have plenty of time in my house? If so, roughly how long do I have?

Also, tax's are included in mortgage...what happens with the tax's owed?

I never had any intentions of losing my home but under the current circumstances I have to do whats best for my family and I and living for free for a little while could really help me get a little money saved up for another place to live. I have always struggled making payments and this could really be a huge help for us.

Can anyone shed some light on my situation and what to expect?

I also just got married a couple months ago and luckily my wife has great credit and she can most likely get approved for a mortgage but we could live mortage (rent) free and save up for a down payment for a new house hopefully?

Thanks to any responses in advance

God bless

[clamp]

This has been my experience with BAC: First payment missed was 10/08... offered deferrment of payments til 03/09... at that time, I applied for modification.... put on trial pmts beginning 07/09... made trial pmts from 07/09-12/09. My trial period was up 10/09 but by December, I still had not received the final mod.... I had wanted to finalize a modification before filing bk. Couldn't wait any longer and filed 12/31/09. This put a stop to the modification. Got the trustee to abandon property... gave them permission to talk to me... the judge lifted the stay in Feb 10 but ordered them to talk about mod etc. Went through all the hoops all over again and in July 10 they denied the mod on the basis that I defaulted on the first modification when I stopped making payments after filing bk. NOTE: I did NOT stop making payments... they refused to take them and even sent checks back. So, I appealed the denial on that basis and won. Within days of winning the appeal, I was served with foreclosure papers. I figured screw them... let it go. Now, in Oregon, banks have to offer to meet with you IN PERSON to discuss a mod before they can foreclose... and it has to be with someone who can actually approve/deny it right there and sign papers. I figured I'd drag it out and ask for the meeting... but before I even got the papers returned they sent me a 'final modification agreement'. Keep in mind, I did NOT reaffirm first or second and the house could sell for the balance of the two with nothing left over to pay agents. The mod they sent me was for the same payment as my initial modification, with a couple years added to the loan and interest rate dropped to 2% for first five years etc..... actually seemed like a great deal... but as I started doing the numbers... i would be stupid to sign it because by this time the late payments were 30K that would be added to the loan. Yeah... they didn't start foreclosure until I was 30K behind... and that was all because I was trying and trying to do mod with no luck. So, I get this final mod and it gives me 1 week to sign... I decide screw it, it's not worth it and I'm just gonna let it foreclose. Sale date set for 12/20. So, I don't sign, don't answer their calls or anything... that was in September (the deadline for the mod)... and they've been leaving messages TWICE A DAY for two months saying to please call so they can have a notary come to my house so I can sign my final mod papers. LOL Cracks me up. They just stopped calling though and now I got a letter asking if I'd be interested in talking about s short sale or deed in lieu with possibility of renting back below market... so I said sure. (NOT!)... actually I would consider a DIL with some serious conditions...1) it be reported as 'Paid' on my credit 2)that the DIL be recorded IMMEDIATELY -- lots of banks hold off recording them to try and drag out the time you're responsible for the property taxes, hoa dues, liability etc. 3) 3K cash for keys 4) 'rent' back for 6 mos with NO rent -- or minimal, like $100. Hey, it's gonna cost them up to 75k to foreclosure so that would be a deal ... and frankly, they'd be thrilled....here's the prob - i have two mortgages, so I can't do a DIL... but I will continue to drag it out and live here free for as long as possible to save money...I'm pretty confident the sale in Dec will go on and I'll move then....unfortunately, in oregon, there's a 6-month redemption period ONLY if it's a judicial foreclosure (it's not)... otherwise, you have 10 days to get out... otherwise, I'd stay here for another 6 months payment-free... but figure this... I really haven't made a mortgage pmt in TWO YEARS with the exception of the first trial period....5 pmts. before they quit taking them. But here's the lesson for you.... just because they're denying you a mod now... and may start foreclosure... they don't want to foreclosure... and there's a good chance that as a foreclosure comes closer... you'll get an offer from them for a mod.... they're still begging me after denying me twice. but I'm not doing it now and it's their own fault. they can have it. ps.... keep in mind, to qualify for a mod, the 'ideal' situation in their minds is for your current full mortgage pmt (not including any 2nds) to be 45-55% of your monthly income....if you can manipulate your numbers to get ot that, re-apply and you're golden.... then they'll do what they can to get your pmt down to 31%. Good luck.

[clamp]

oh yeah.... btw... while i only made 5 pmts in the past two years.... they continued to make my tax/ins pmts even though the escrow acct is in the negative.... but, I just realized that there's one key thing you didn't mention in your post that I originally took for granted... you made no mention of bankruptcy.... have you filed and been discharged?... or are you just trying for mod.... if the mortgage has been discharged.. then yeah, I'd stop making pmts, stay there and save up til they foreclose and you have to leave...or save until they offer you a good mod... if they've denied your mod at this time and you think you're headed for foreclosure, why continue to pour money into something you may not be able to keep and are not responsible for anymore... HOWEVER, if this is just about a mod and you haven't actually been discharged in bankruptcy.... that's a WHOLE other story. :-/

[tobee43]

oh yeah.... btw... while i only made 5 pmts in the past two years.... they continued to make my tax/ins pmts even though the escrow acct is in the negative.... but, I just realized that there's one key thing you didn't mention in your post that I originally took for granted... you made no mention of bankruptcy.... have you filed and been discharged?... or are you just trying for mod.... if the mortgage has been discharged.. then yeah, I'd stop making pmts, stay there and save up til they foreclose and you have to leave...or save until they offer you a good mod... if they've denied your mod at this time and you think you're headed for foreclosure, why continue to pour money into something you may not be able to keep and are not responsible for anymore... HOWEVER, if this is just about a mod and you haven't actually been discharged in bankruptcy.... that's a WHOLE other story. :-/

now...maybe i missed it, but that's really not difficult for ME to do nowadays....but clamp....is there any equity in your house??


we had chase....we went through the loan mod game just like you. and while awaiting our answer we were hit with a summon to foreclose.

we had lived in our home for 33 years...brought our kids home from the hospital there and watched them leave for college....in and out that same front door.

after months and months of being on the edge...we finally filtered thur the fears, tears, and pulled heart stings...and realized it was in fact, time to go. it was a sound, realistic, decision...one that would end up helping to rebuild and reform our future only for the betterment of the rest of our lives.

i just LOVED how chase MADE us (we had never been late in those 30 + years) be late with our mortgage payments...stating the ONLY way we could apply for a loan mod was to be 3 months behind...and THEN apply. we did everything they said...we had NO missing paperwork...i gave them 10 years just to cover EVERYTHING...they were just full of it.

so....we decide it's time...i call the atty...it's been about a year or more....he says lock and leave it...but no, i contact the loan mod officer and also emailed him we were leaving...behind all of our memories, our home...our hearts.....NOT!! the black mold....the cracked foundation, the house needed a new septic, well, leech fields...let's NOT forget it NOW gets flooded YEARLY since the town changed the curb in the road....and the at least 10k fence needing replacement ...NEEDS new plumbing...electric...you know WHAT??? .................CHASE HERE'S MY HOUSE....KEEP IT.......... and we left...the best decision we ever did.

we filed bk and surrendered the house......you're going to laugh at this one.......so our bk was discharged 8/4......2 weeks later....who comes a callin...and NOW we live 1700 miles away.....but CHASE....saying..."oh....would you like to reaffirm your mortgage...we see you JUST (excuse ME???) applied for a loan modification....? WHAT??? no way i said are you crazy......who opened a loan mod application for us..."oh...YOU did"....FRAUD!!! what is it about "surrender" that YOU do not understand....where were YOU during our 341.....??? or did you contact our atty....NOPE the HOUSE IS YOURS....

here it is...approx 2.7 years later...they still haven't completed the foreclosure and the deed is still in our names...but we have no legal or financial obligation...although i offered them a warranty deed and asked them to sign a general release and call it a day....they didn't even know what that was.... i said i'd like the deed out of our names and i have a MORAL obligation to do that .....Chase responded well if you have a moral obligation then take back the house...I said NO that moral obligation is to ME and our family....NOT TO YOU...who put us out on the street and now 2 years later wants us to reaffirm....like i said...go talk to your supervisor and send me a warranty deed blah blah...hangs up and within 48 hours the you know what hit the fan with all the messed up mortgages...chase being the first to claim there were problems...i haven't heard back....and won't. i'm certain.

i will eventually go to the dept of the office of controller of currency and get the deed out of our names...but for now i'm just going to watch the sunset for a while.

sorry about the one and on!!

[mom2three09]

Have you tried contacting the Office Of The President? If not, that is what my next step would be if I were you. Two days after contacting the OOP we were assigned a negotiatior who offered us an in-house loan mod the same day she received our financial info. An in-house loan mod will NOT have any trial payments. You will receive permanent loan docs to sign and have notarized & you will be required to send in your first payment with the loan docs. If I were you I would check out www.loansafe.org (the forums area) -- go to the Bank Of America area there and you will find a TON of info that you will find very useful (including the contact info for the OOP & what you will need to say in your email to her).

Good luck!

[AngelinaCatHub]

Please, no harm or criticism meant personally. I just cannot read a thesis of non-paragraphed thesis'. I attempted but I get lost. I can only respond to the OP's original:

In my humble opinion, live it out. Make no further payments. forget what is in escrow, your taxes are paid up to their denial. It is now their problem. It could be at least six months to two years. Live free, start practicing a new start. Keep your new wife at distance of your bk if you are able to do so. Give them the place back so that they can pay for the taxes, upkeep, repairs (after vandalism) and put it to their books as another failure of their own making.

In the meantime, shop for a bargain place, save for it, get the bk behind you and start a wonderful new life with your new bride. Grats on both items. 'Hub