Foreclosure Victims Stories

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The economy is making a recovery? Give me a break! You really need to get out and talk to these homeowners who are losing everything because circumstances beyond their control impacted their ability to meet their financial obligations. Do these banks think these people wanted to stop making their payments. Owning a home is part of the American Dream. Not all of these folks bought more home than they could afford. They had hefty downpayments and now their homes aren’t worth nearly what they paid for them. This loan modification process is a farce. If your loan was securitized, sliced and diced into little bitty pieces and sold all over the world, you’re really screwed. The bottomline investors are starting to sue the banks for their losses. I had no idea my loan was going to be owned by numerous parties not known to me. I think this information should have been disclosed. I tried working out a loan modification since July of 08, and my story is the same as everyone else. A complete run around. Hired an attorney to file a lawsuit. The complaint was filed and all parties notified prior to the trustee sale. Guess what? The “servicer” took the house back even though my attorney was on the courthouse steps with the officially filed paperwork. Now the “servicer/lender” is on the verge of filing bankruptcy. It is a huge mess that the taxpayer is footing the bill for. We should have let the “too big too fail” companies fold instead of bailing them out! They certainly haven’t returned the favor.
Posted By Sandi, Phoenix, Arizona: August 17, 2009 10:56 am

A sucess story after 4-5 months of trying and already given up hope. I think they are picking up the speed. Citimortgage finally refinanced our loan. Hoping that things are changing and that there are more positive stories here. Thank you Mr. president!
Posted By AN, Manchester, NH: August 17, 2009 7:42 am

How much longer do we have to put up with this. Is there any one in Washington that isn’t on the take. In February just before the Obama Plan was brought in I refinanced my loan through GMAC. They gave me a horrible experience that I dont want to go through again. They did this voluntarily when I got behind on my payments. Of course why wouldn’t they? They charged me $2,500 up front $5,000 on my principal and charge $280 a month for PMI for the last 3 years. The new payment was $50 less than what I was paying before. WOW big help. I had no idea that was how it was going to work out since they refused to give me a packet with the actual run down of my payments. Instead they said the payment was lowered, the interest rate by a .25 percent and increased the principal. When I requested something in writing they only sent a general packet NOT showing they were still going to charge me PMI of $240 a month. It took 30 days to get this packet when I asked for something more detailed they said they can send the same packet in 30 days but will resume foreclosure unless they get it signed and returned. They gave me 14 days to decide to keep my home. What choice did i have. 3 months later my wife was laid off from her job and now I am trying to refinance under the Obama plan. It seems worse than before. They give no guarantees or explanations of what will be done after my 3 month trial. When I try to get solid information they are extremely rude and tell me to get another job or find another source of income if I dont like the way they do it. I already work 60 hours a week. All I have asked them to do since this whole thing started was to reduce or eliminate the $240 PMI from my payment of 1,036.00. Which happens to be the difference between a reasonable payment and getting screwed every month. They obviously refuse. Most homeowners pay $40 a month if at all for this. Its a fee that is completely unregulated and I have no choice but to pay it. I am sure this refinance will be no different if I get a lower payment it wont be more than $50 a month. Thanks for nothing to our politicians for sale in Washington. Lets keep giving money to the ones that already have it.
Posted By John, El Paso, TX: August 16, 2009 2:37 pm

Isn’t there anyone out there with a success story? I have been trying to get a mortgage modification since Jan. of 2009, even borrowed 2,500.00 to pay a Mortgage Recovery outfit to help me.. Had a mortgage with Countrywide, now with B Of A. I have borrowed thousands from my parents to keep current with a $3588.00 monthly mortgage payment. End of May I was told that by mid April I would be eligible for the new HAMP program. My Mortgage Recovery people keep telling me to hang in there, that they are conferencing with B Of A people on a regular bases. End of June they tell me that B Of A will not considder my loan modification until I become at least 60 days defaulted. They tell me (wink, wink) to go to 60 days and keep it rolling until I get my modification. July 16th comes and I do not go to my folks for mortgage help. I cannot sleep at night. I contact B Of A on my own and give the guy on the other end of the line my financial’s and he tells me to take in borders and get a second job. On the 30th I went and borrowed more money from my folks to pay July’s mortgage. I contacted the Mortgage Recovery people and asked for my money back since their contract guaranteed loan modification or money back. I have $2,000.00 to my name and I just got payed. By next Monday 08/17, my mortgage (which now has a $147.00 late fee attached will be late and by the 30th, I will not have Aug. payment. I spoke last week with HUD/Hope and they are submitting a request for modification for me. I am really frightened to play their game of get delinquent and we’ll take a serious look at you after reading some of the comments on this thread. On the other hand, I do not know what else to do.
Posted By Phyllis, Fallbrook California: August 14, 2009 6:37 pm

“The economy is making a recovery” was reported on HLN a.m. 8/14/09. I don’t know if CNN is stupid or just lazy.
How can you report the economy is recovering when only 164,000 loans have been modified out of the 3 to 4 million who need loan modifications? People are out on the streets destitute. In July 2009, 2,300 homes were foreclosed on EVERY DAY.

The provisions of this administration’s HAMP program are not being followed and there are no penalties for those servicers who do not follow it and still receive TARP money. Wells Fargo/ASC is one of those. Even though a homeowner requests a loan modification they march to foreclosure while the loan is under review.
Here’s an article by Acorn Housing that is a great review if the HAMP program with recommendations:
But, I think CNN is too lazy to go out there and report real stories. The ones written on this blog. CNN just rewrites press releases and reports them with talking heads. It’s confusing. Am I watching the news or America’s Next Top Model?

You have been thrown a bone with Obama’s Healthcare Initiative. One in three of American homes are on the auction block while our leader is out hawking healthcare. Reminds me of Ancient Rome’s Emperor Nero. I guess you won’t report the wholesale destruction of American home ownership until it has completely gone up in flames and it shows up as a Reuter’s press release on your desks.
Stand up and be a news organization that you are supposed to be and report on the inadequacies and fraud of private section and government. Hire some real reporters would you.
Posted By Barbara Montgomery: August 14, 2009 12:26 pm

I called the Office of the Comptroller of Currency (gov agency that supervises all banks – 1-800-613-6743) to complain about my bank issue and they said to log onto:
Posted By Fred, San Diego, CA: August 14, 2009 8:31 am

Hey, everybody. JUST SAY NO!!! If we all say that we will not send in the 4 payments that they require before they will give us modification details, if they approve you at all, they will stop the game. The pattern I am seeing is a bait-and- switch strategy with the SERVICE COMPANIES just trying to get money from us so that they look good for their investors and to collect fees. SERVICE COMPANIES should not be doing this job. They only have the job because they are the easiest interface between the parties involved. But this is a farce because the SERVICE COMPANIES will make less money with a loan modification. THIS IS A CONFLICT OF INTEREST. GIVE THE JUDGES THE CONTROL IF IN BANCRUPTCY OR A WELL-DEFINED PLAN THAT BOTH THE CONSUMER AND THE BANK CAN MAKE QUICK DECISIONS.


Posted By Kevin Tallant, Cordova TN: August 13, 2009 11:31 pm

I applied last February to ASC, mortgager servicer for Wachovia, and they have now, for the second time, given me a 3-month payment that is higher than my original mortgage payment that I cannot pay. They have simultaneously filed for forclosure and I have a sale date of August 21, 2009. They wait unit 2 days before the sale date to delay court-step sale. They will not give terms of a modification. Nor will they commit to a modification even if I pay. Only that I am to make three payments that are higher than my current mortgage payment (where is this money applied to ???)and then, maybe, they will discuss a modification. They will not give me terms. I have read that they will not get paid by the government until I make these three payments. But they won’t give me the terms of the modification so that I can make a rational decision, that is, to pay it or file bancruptcy. This voluntary program is a farce. Bancruptcy judges with cramdown authority is needed. NOW.
Posted By Kevin Tallant, Cordova TN: August 13, 2009 10:38 pm

I have faxed the Chase loan modification package twice now the first one on June 3, 2009 and another package on August 12, 2009. I confirmed on the phone both times that everything was received.
On August 5, 2009, I received a letter saying that my 1st package was incomplete and therefore they closed my file. I confirmed with a Chase rep that called me and advised they had received everything the first time. I called them back on August 10, 2009 to find what was going on and they advised me to refax everything because it turned out I was lacking a signature on a copy of an electronic tax form. They further instructed me to fax the packet again because there are additional documents required now. It’s already been a stressful process. I will update as this all unfolds. I feel regulation is necessary as these banks do not provide the proper customer services necessary for such a sensitive transaction. Good luck to all who are in my same situation:)
Posted By Vickie, Sacramento: August 13, 2009 6:51 pm

I work for the State of California and they have trimmed a month’s pay out of my annual salary. This reduction has put me in financial jeopardy. MY GOVERNMENT AND EMPLOYER HAS FAILED ME.

I bought the $320,000 home in 2005 and put my life savings of $120,000 into it. Like homes in the neighborhood are selling for the mid-$200,000. I am upside down and stuck.I have poured $230,000 of my money into that home in 4 years.

As a single person I pay more taxes so when they apply the 31% of gross rule, my payment is already there. But, my house payment is 55% of my net. I have a 10 year interest only loan at 6.25% with a second line of equity fixed at 7%. I need to combine these loans and get the interest rate to 3% to make it affordable.

My mortgage is with American’s Servicing Company. I have been trying to get them to send me a loan modification package and I get nothing. I asked for copies of the loan documents because the mortgage broken never gave me executed copies.

I got stuck in this loan because the title company Fidelity National Title in Eureka, CA, California Lifestyle Realty and Rainland Mortgage of Oregon misrepresented the amount of the house payments on a schedule of payments they provided to me. They did not figure in the second loan and did not include current property taxes for the escrow account.

I think they did this to get me into the house. When I brought it to Fidelity’s attention they brushed me off with a “that’s too bad”.

Moreover, Fidelity National Title in Eureka, CA transferred title to me with taxes owing from a previous owner that were not disclosed at the time of transfer or even later. I found out when the assessor came after me. My realtor, who used to be my friend, stuck for the title company, not me.

The mortgage payments were about $600 less a month than what they really were. By the time the loan was transferred to ASC, who caught the mistake, I was behind in real estate taxes for over 2-1/2 years.

I NEVER WOULD HAVE BOUGHT THIS HOUSE HAD I KNOWN THE CONDITION OF THE TITLE. Yet, Fidelity National Title of Eureka, CA said what they did was legal.

Now,I am facing default and there is no help from Obama. I’ve written to him repeatedly and I get no response.

I guess if I was a man he would want to sit down and have a beer. But being a middled-aged woman we have nothing in common so I don’t even get the courtesy of a reply.

Is there a lawyer who can help me?

P.S.: I can’t even consider the health care issue because my brain is trying to figure out how to survive and keep a roof over my head. Obama’s health care plan is ill-timed when the bulk of Americans are facing homelessness and unemployment. In July, 2400 Americans a day lost their homes to foreclosure. How is that not more important than health care?

I have no one in this world to help me. I am utterly alone. My government has failed me.
Posted By Megan McKenzie, Eureka, CA: August 13, 2009 6:49 pm

I’ve had the same experience with B of A. When I heard about the “Making Home Affordable” program I had called B of A and gave them required information on the phone and submitted them online. I kept calling to follow-up and no one would return my calls. I kept calling until finally I was told that someone will try to reach me once B of A rolls out their program for mortgages with PMI. The program has already rolled out and no one has tried to reach me. So I called again, again and again and was transferred from one department to another and spoke with several staff at B of A only to be told that I’m not qualified to refinance because they can no longer lower my mortgage rate. I was also told that loan modification is not an option because we’re not behind with our mortgage payments. My husband lost his job for months and and is now back to work but with a much lower income. We’re struggling with our mortgage payments each month and barely making ends meet. It seems that B of A is not really reaching out to people like me crying for help. Isn’t “Making Home Affordable” program created for people like me?
Posted By Anonymous: August 13, 2009 5:45 pm

Enclosure you read a letter that we sent today to GMAC Mortgage – Customer Care.

August 13, 2009

GMAC Mortgage
Customer Care
PO Box 1330
Waterloo, IA 50704-1330

Ref: Account #

To whom it may concern:

The purpose of this communication is to let you know that we are really disappointed with Homecomings Financial (now GMAC Mortgage) and we are requesting a written communication regarding the status of our Loan Modification Package.

On March 2009, Mrs. Melendez called Homecomings to inform that, Mr. Ortiz lost his job and the income in the family will be decreased. Per request we send a “Financial Analysis Form”-package (was signed on March 10, so probably we sent maximum two days later). Mrs. Melendez was following up making phone calls almost weekly to find out the status of the loan modification and the answer was always “we are working on“. For our surprise when Mrs. Melendez called in the middle of April a Customer Representative told her to submit a new package, because of the new President Obama Law, the other package was obsolete and the new one would probably will have more benefits for us.

So, we submit a second package on April 24, 2009 to the Loss Mitigation Department. We started again to called regarding the status of this second package and the Customer Representatives were asking when we submitted? how we submitted by mail or fax? and even one person said “did you know how many documents we received in a daily basis?”, etc. Finally, Homecomings put in the system that our package was received on May 22, 2009.

Since then Mrs. Melendez is calling weekly to know the status of the Loan Modification. (And we know that we need to wait up to 45 days). Unfortunately on June 2009 in one of the multiple calls an employee of Homecomings put us in a repayment plan from $918.31 to a new temporary payment of $912.95 (a saving of $5.36 monthly) until September 2009. We were not requesting any kind of repayment plan, all this time we are just waiting for our loan modification.

We called last month before July 17th (the due date for the temporary mortgage payment) to let Homecoming know that we didn’t have the money to pay the mortgage for that month, the Customer Representative told Mrs. Melendez that if we didn’t make the payment, ‘Homecomings will not be considering our Loan Modification‘.

Yesterday, August 12, Mrs. Melendez called again to find out the status of the loan modification, again another surprise, Homecomings needs copy of the pay stubs. We submitted pay stubs back on April 2009 in the package. Every time that Mrs. Melendez called is something new. What is going on? Where is the “Helping Families Save Their Homes Act” program?

In a letter from Homecomings dated February 16, 2009 one of the lines stated: “In our current economy we understand and sympathize with families like your where your are experiencing unfortunate financial difficulties. It is our commitment to you that we will work with you towards identifying possible options which may provide a solution to your situation”.

Our Mortgage company, Homecomings (now GMAC Mortgage) and employees are failing to give us an
outstanding customer service, and failing in their commitment. We didn’t have in the past any kind of problems making our monthly payments, WE ASK FOR HELP back on March when in the household was a reduce in the income. Mr. Ortiz is receiving his unemployment, and is only a FT job income in the house. We would like to keep our house, but we need your help…. we need a loan modification.

Posted By Lorna, Orlando FL: August 13, 2009 4:31 pm

I have been talking to Countrywide/BofA since October, 2008, but only spoke with rude people in India. They said I wasn’t eligible to have my mortgage reviewed until April 2014. My house was losing value daily, my husband has Muscular Dystrophy and I had to take a pay loss. They just don’t care. They sent me a letter of intent to foreclose. First American I spoke to said to mail the keys back. I moved May 1st and mailed the keys with a note that the house was now vacant (certified, return receipt) and NOW they are calling me wanting to talk. About what? How I had to lose my house and downsize to a 1 bedroom apartment because I couldn’t get any answers from India? They should be ashamed of themselves. Just pigs. Lose my number and good luck mowing the lawn.
Posted By K.Mason, Boston, MA: August 13, 2009 4:06 pm

I have been in the process for a loan modication since beginning of June and as of today still hasn’t has any luck on this.
Posted By My Le Hoang Portland, OR: August 13, 2009 3:55 pm

In 2007 we tried to refinance our adjustable rate mortgage.As we were dealing with a broker we tried to do a modification. ASC (Wells Fargo)sent us an agreement to make electronic payments for 3 months. at that point we could come to a modification agreement. The broker we were working with pulled our credit and discovered they were reporting each payment 30 days late. I complained to ASC because nothing in the agreement said they would be reporting the mortgage late and we had not been 30 days late up to that point. After writing to the head office I received a letter stating that since we are up to date on our mortgage we do not need a modification. It also stated that they would remove the late payments from the credit reporting agency. They have never removed the lates. No bank would refinance us and we have applied for modification 7 times and have denied every time. I was working with a counselor with Hope for Homeowners. After working with her a week I attempted to contact her with information and was told I would have to call back in a few days because the phone system had been changed and they could no longer connect me. It has been over a year and I have not been able to speak with her since.
Posted By Renee, Putnam Valley, NY: August 13, 2009 3:54 pm

I also checked into the program as I am worried about rising heating bills, along with all other bills that keep going up due to inflation. I meet all the requirements for a loan modification with the exception of my loan being a Fannie Mae/Freddie Mac Loan. I spoke with both US. Bank and Wells Fargo…both said they could do nothing to help although both were kind enough to give me excessive phone calls an emails to open up additional credit cards and lines of credit because I am in good standing. So, I am glad the government is giving our money away so that crooks can continue being crooks and that people can cash in their clunkers for Hummers and SUVs so that failing US. Businesses, that deserve to go belly up for lack of good business practices and for sleeping around with oil companies, can continue to stay in business. What a joke. It would have been more fair to give everyone a stimulus check. At least then we could buy down our mortgages…which may be more effective anyway. This whole thing is a joke, the way it’s marketed is a joke, sadly the American people aren’t the ones able to even crack a smile. I’m thoroughly disappointed.
Posted By Maria S Duluth, MN: August 13, 2009 3:52 pm

As much as I agree with the lack of things being done to pull us out of this slump I feel that there is a completely different side that is being ignored that matters quite a bit. I work at a bank and the number of people filing for refinances coupled with the new regulations that are being put in place are making it very difficult to get anything done. We are so tightly staffed that we were just barely getting by getting all of the paperwork done on the loans we had to begin with. The change in influx of applications and all of the extra measures having to be taken are causing a standstill in most banks as far as loans go. Obama is not a banker and knows little to nothing about what it takes to keep a company in this business successful. The new procedures that no one is familiar with are causing most of the problems, not the banks lack of care for its customers. The banks employees have familys and houses and mortgages too.
Posted By Katie, Dallas, Texas: August 13, 2009 3:24 pm

I have had some terrible experiences
with loan modifications, this
Obama plan is simply not working.

You have to go through the eye of
a needle to get help, If you make too
much money they turn you down, if
you are unemployed they turn you

No one tries to work with you, its
just a BIG runaround.
Meanwhile your house is in
jeapordy because it cannot sell
and the bank is ready to take it.

Posted By dave paterno: August 13, 2009 3:15 pm

My problems started when I refinanced two years ago and chase came back and told me our refinance paperwork had a typo and our mortgage went from $2023 to $2700. In going through the hardship of changing jobs and earning less money, but never being late with our mortgage I thought I should apply for the loan mod. I started in April and was denied, tried again in June and was approved, was approved for the three month trial period but I never received any documents in the mail, kept being told not to pay until I got the paperwork. Guess what, the paperwork never applied, and like harry potter working on his magic, my loan mod approval disappeared. All of the sudden we had been denied! after waiting and waiting and talking to many people at CHASE who still said I was approved until this past Wednesday. I have until Saturday august 15th before my credit is ruined and I am sent to foreclosure. How could something like this happen? I have the names of all the people at CHASE I spoke to, but that doesn’t matter because my only option is to reapply. So I am going to finish up reapplying with the NJ homeownership center on Saturday and hope I have good news. After the hell they have put me through.
Posted By Lorena, Denville NJ: August 13, 2009 3:08 pm

Same thing. ATTN: BARNEY FRANK! Chairman of the Finance Committee: PLEASE GIVE THE CONTROL TO BANKRUPTCY JUDGES TO DETERMINE future loan modifications and help for struggling families and take it AWAY FROM THE LENDERS. The banks are Disingenuous!
I was told by GMAC Mortgage upon receipt of my “work-out” application and supporting documentation that I indeed met all of the Obama administrations’s financial hardship qualifiers for receiving a modified loan package. 5 days later GMAC filed a notice of default and put my home into foreclosure and refuses to give me any explanation as to why they turned around and declined me package and put my home in foreclosure.
Posted By Colleen, Los Angeles, CA: August 13, 2009 3:04 pm

Wells Fargo is the services whatever that means for Bank of America that owns our Mortgage, information that I was told by wells I was not allowed to know ?? Try and get through these two gate guards! Started down the modification Garden path with Wells in December 2008 two submittal s a forbearance zip nada nothing We are current on payments an injury auto accident and less work hours it has become cumbersome to balance, I called Wells Aug 6 2009 to tell them about the spokesperson at Wells who said they were streamlining the mod process to one phone call two days SENSIBLE yes no? I reminded her the Banks took the TARP money{{ or Loan Modification if you will}} that process will take months to implement and they paid all the money they took back and I could not afford a reduced payment Thank you have a nice day, the dashed dreams and hopes, wasted time pursuing a modification have left us standing at the altar a stones throw from the tomb of Mortgage modifications, as the ship of state takes on more water the pumps cannot keep up one phone call two days HELLO !!!!
Posted By Paul Faber Garden Home Oregon: August 13, 2009 3:00 pm

I do not blame Obama! I do blame the banks that received all the bail out money and are know doing nothing. When I ask what about the Obama plan at Wachovia (Wells Fargo) Bank says they DO NOT have any of those loans. They took money from the government.
My wife and I have lived in our home for 18 years and we have never been late on our payment in all those years. I retired after 30 years with the local county. Medical and back problems and finally became too much for my wife who closed her licensed day care after 35 years. That was the final straw for us we began to supplement our house payment from our savings. October 2008 I called Wachovia and told them we need some kind of payment cut. Our total monthly income from my retirement and both of our social security totals $2850.00 a month with a house payment of $1465 monthly that is 50% of our income and we have cut back on all other expenses over the last year we do not go out to eat, make purchases that are not necessary.
The banks first offered to refinance the loan to payments we could afford by splitting the loan into and telling us to get a second for the remainder. Paying the other half (over $100,000.00) some other way ( Rob a Bank???) WHAT?. After over six months of no help, our savings were gone and everyone told us the bank would do nothing if we kept making the payments on time. I hated to do it , we have always had good credit however, if it would make the bank do SOMETHING I started placing the money into my savings. Six months have passed and the bank has sent two possible modifications but both were about the same payment $1349.00 and $1365.00 for the first 2 years however within 5 years we would be paying 1800.00 or more and extended our loan for 10 years. When I ask what about the Obama plan the Wachovia (Wells Fargo) bank says they DO NOT have any of those loans. They took money from the government. They keep telling us to hang in there? which is what we been doing. I think the banks not doing anything because they are awaiting for the government to give them a NEW BAIL OUT.
Posted By Martin Tilman Victorville, Ca.: August 13, 2009 2:55 pm

We are currently with Wells and we started the process back last december to refinance directly with them. Our income has not changed but it is very tight with everything going sky high. We had refinanced with a higher rate because of all the bad loans, but we needed to finish the remodel on the house. Which we did and figured we would refinance within the year and get a lower rate we could afford. Wells offered us a $900 reduction in December 2008. We provided everything they needed, repeatedly and jumped through every hoop they wanted us to. They kept looking for a reason to turn us down but there wasn’t one. I paid $500 for the appraisal and it comes back $50k lower than we needed. How convenient is that. It took me almost a month to get a copy of my apprasial to find many mistakes on it and they even used ridiculous low comps. I found 4 other comps and sent them to them and they said they wouldn’t accept them because of the size of the houses on my comps. My comps were more comparable to my home then the ones they were using. They offered me a higher interest rate or to pay PMI. I said I want to look at the Obama plan. He said I don’t qualify because I pay my bills on time. Wow but I have to pay for PMI, to prove that I pay on time. That is ridiculous. They do automatic withdrawals on the 1st, not any days into the grace period and I have to prove myself. Wells is horrible. They do nothing to help any of the home owners. Don’t every use them as a bank or anything. they only want to make their fat wallets bigger.
Posted By Becky, Torrance, CA: August 13, 2009 2:34 pm

Obama and his plans have failed. I was the target audience for a Loan Remodification: Struggling to make (but making) payments on time, Loss of income/decrease of income, single home owner and with GMAC.

I sent in all my paperwork for the remodification in late March. I gave it a couple weeks before calling, only to receive the explanation ‘We’ve received it and will need 45-60 days for review from the date we received your information.’ Ok, doesn’t that really negate the purpose of this plan?

60 Days pass and I call back, asking for the current status, to which I am told that they are figuring a plan for me and to wait patiently… call back next week. I call back again, they request that I be patient and that they will have an answer for me soon.

110 days pass… finally an answer in the mail. ‘Due to your lack of income, we can not approve the loan remodification program.’ WHAT!?!? This is the exact reason why this plan is in place, to help those that are struggling due to many different circumstances?

I even sent an email to the White House, only to never receive a response. This is all smoke and mirrors, people. They are trying to show that they are helping americans, when in fact, they are only talk.

Obama, you have failed me. Thanks for giving Billions to the banks, only for them to continue to watch us hard working americans suffer. Cash for clunkers is saving the Auto Industry on only a few billion… so sad. At least I know which direction to vote.
Posted By Tom Larsen Washington State: August 13, 2009 2:31 pm

I applied on March 7th and have been calling Chase ever since with no resolution. It took them until June to put a program in place for those who are not behind but will fall behind. My husband has been unemployed since Oct. In June Chase advised me I needed to send all new updated info. Which i did, then Chase said, a month later (after calling them) I needed send more info. Now I’m told I have to re send everything and get new updated statements, etc. It seems to me the banks are unable to execute this plan. In addition I am now falling behind because we simply have run out of funds. I work, but with a 7.3% rate and a 10,000 tax bill my salary does not cover the house payment. If I could get a lower rate we would be able to make our payments. Personally I think the bailout money should be going directly to the people rather than the banks, because they are unable to execute the plan and people are loosing their houses from it. In my subdivision alone with only 304 homes. Their has been about 10% that have received foreclosure notices. In some cases both the husband and wife are out of work.
This response has been summarized, I have written President Obama, in detail regarding this and I am waiting for a response.
Posted By CherylVlach Manhattan IL: August 13, 2009 2:30 pm

I live in AL and this is my first home three years ago value 160,00.00…now with people losing their homes..the banks are selling them now for the same home for 120,000.00. Even though i have good credit, made payments on time paid down the 20% it means nothing. the house is not worth it, no wonder people are walking away from thier homes. If it was just myself, i probably would too; but i have a family. In the meantime i just struggling along; thank God i still have a job. Lose that i am not sure what will happen, then again i will be eligible for the Obama programs.
Posted By Gene, Prattville AL: August 13, 2009 2:28 pm

I’m on my fifth attempt at remodification with America’s Servicing Company and this has been going on for about one year. Cutbacks at my husbands job and family crisis caused me to fall behind on my payments. I’ve had to start over more than once because my payment was late by one day. This last time they sucker punched me with a contribution amount I had to pay of about $3000.00, no payments, due when they said it was due, no grace period, nothing. I don’t want to lose my house because my bank keeps playing games. The house isn’t even worth what I owe but it’s mine. I just need to start over but the bank doesn’t seem to want to give a inch.
Posted By Lupe Saunders, Lexington, Kentucky: August 13, 2009 2:16 pm

Dear Mr. President

If you’re reading this please note that this plan is not working. I have submitted pay checks, bank statement, letters of hardship etc… to BOA with little to no response. To the best of my knowledge only a handful of people have been able to recieve these loans and most of them have not been in areas where the need is not great. This is my fourth time appling for this loan and like every other time I expect I’ll be turned down for one reason or the other. Frankly at this point I don’t care. When I’ve had enough I’ll just leave the keys in the mailbox and you can move in.
Posted By Khris NJ: August 13, 2009 2:15 pm

My mortgage is through Wells Fargo. In March of 2009 I applied for a modification I sent in all my paperwork on their online services. They gave me a payment to pay for 3mths and said the fourth mth I will go into review to see if I qualify. The fourth mth came and I called to see what my status was. They stated that I had been denied, because it showed my income was sufficent. I advised them that could not be true because I lost my job in Sept 2008 due to Ike and we have been living on one income. They didnt see that my file stated anything about me losing my job. So the info I sent them was not updated! So I had to restart the process in July 2009. In May 2009 my mthly mortgage payment went up $200mth due to escrow. And my home is now $20,000.00 less in value. Im paying $1587.00 for a $135,000.00 house right now. I lost my job and have been looking for almost a year now. If there is an job opening there is over 700 people applying. The competition is to high. Living on unemployment and my husbands income is not enough to pay my mortgage and the rest of my bills. Since July 22nd 2009 my file has been in review with Wells Fargo. I have been calling every week to check on it. I got a letter stating if I don’t pay $5,000.00 by Sept 1st my house could go into foreclosure. I need someone to make a decision at Wells Fargo FAST! I dont understand why it takes soooo long. They obviously see I cannot make my payment I need help, so why cant they just make their decision. I cant lose my house. I have never felt so much anxiety or depression in my life until now.
Posted By Deborah Bukowski, Pasadena Texas: August 13, 2009 2:07 pm

I also appled for Loan Modification back in April. I really started the process in March but due to long hold times when calling my mortgage holder and then their receiving my required paperwork, they didn’t get everything until April 9th. It is now August 13th and there is no information from Taylor, Bean & Whitaker if I have even been accepted. News stories indicate that if the loan has been packaged as an investment and sold that the buyer has final say regarding modification. As a Freddie Mac backed loan can these loans BE packaged and sold? But to answer your question, started process back in April and I’ve been given the run around since.
Posted By AJL, Phoenix, AZ: August 13, 2009 1:55 pm

I tried to do a loan modification through my lender and the website kept giving me error messages. When I tried to save the information I had already input, it would not let me. The next time I went back, I had to start all over again and kept getting the same error messages. This happened 3 times before I just gave up. I sent an email to the lender advising them of the problem but they have never responded. Help!
Posted By Robin, Sachse, TX: August 13, 2009 1:51 pm

On another note, I have several friends and family who have gotten loan modifications……..but not until they were behind in the payments, what a shame the banks are playing a game with us, it isn’t the government guys….they put forth the plan to give us relief, we are at the mercy of the banks, and you guys who bemoan big government, do say a word, cause this is what you wanted, for them to stay out of your business, well I have to tell you, who is going to make the money movers do the right thing by us little people?????
Posted By Thea, Rocklin, CA: August 13, 2009 12:41 pm

After going through a divorce last year which resulted in a 40% reduction in income, I contacted the bank for some relief on the high payments, my interest rate is 7%, I got the icy treatment from the bank and received a loan application with a request for a check in the amount of $1,800 in order to assume the loan and remove my ex husband from the loan…What???, first of all I would not qualify for the loan on my income alone, and secondly, there isn’t any equity in the house…I thought that I was doing the right thing by not walking away from the home, my ex threatened to do this if I did not stay in the home and assume all responsibility..Now I am dealing with the bank, I contacted HUD and both the counselor and I contacted my lender and got no where, I completed a loan modification packet in May09 and received a denial in July09, I finally depleted my savings that I had borrowed from my 401k in order to cover the payments and pay off all my debt, I am now not paying the monthly payments and waiting for the bank to either take this serious and offer me some relief or move on…
Posted By Thea, Rocklin CA: August 13, 2009 12:37 pm


I am at my wit’s end. Therefore, I pray that you will take the time to help me because I am in a “catch 22” between the different departments that service loan modification. On 07/14/2009, I finally got the loan modification papers that I have been working on since 06/08/2008 only to discover that they had left off the “e” in my middle name “Marie”. In addition, the modification notice said that the documents needed to be notarized and returned by 08/10/2009.

I called on 07/14/2009 when I saw that the modification papers had left off the “e” in my middle name Marie. I was told by the Hope team (877-221-0825) that a request for corrected documents would be sent to me, but by 07/29/2009 no corrected documents had arrived. Therefore, on 07/29/2009 I called the Hope team and spoke with a supervisor, Raphael, who said to go ahead and send in the documents with the missing “e”. However, when I went to the notary he would not notarize the documents until I corrected the missing “e” because he had to legally go by what my driver’s license stated. Ever since then, I have been sent back and forth between the Hope team (877-221-0825) and the Home Retention team (800-669-0102).

08/01/2009: I received the documents back with a rejection notice stating, “Data conflicts with original note modification created and sent (Loan Modification Document has been altered or changed when compared to original document sent out)”.
08/03/2009: I talked with Roy from the Hope team who stated that their system had my middle name still spelled “Mari” and, that I should call the Home team to tell them to send verification that my middle name is “Marie”. Therefore, I called the Home team and spoke with Camaria who said that the Home team’s system had my middle name as “Marie” and she would gladly send a screen shot to the Hope team.
08/06/2009: Lacy (ext. 4933) from the Home team stated that she escalated this problem to a supervisor.
08/07/2009: Teresa Drummond, a supervisor from the Home team at ext. 4806 said that I should not worry because new documents were being sent out. On the same day, I spoke with another supervisor from the Home team, T. Barrett, a supervisor a, at ext. 9669 who said that I should not be denied my modification because Bank of America made a mistake and that she would take full responsibility to make sure that I received corrected modification papers. Furthermore, she told me to immediately fax to her the rejected documents at 817-230-6811 in order that she could address the issue in an expedited fashion. On the same day, I went to a Bank of America Home Loan office in Loveland to have the misspelled documents that were returned to me on 08/01/2009 FedEx back to the processing center in order that T. Barrett could have the original documents in by 08/10/2009. A mortgage loan officer, Nela Kay Huntsinger, printed out my original signed documents which clearly showed my middle name as “Marie”. Then with the originals, the modification papers, a scan of my driver’s license, and a note which she wrote that stated that in her opinion the modification papers “should not be denied on the basis of Ms. Sicilia correcting the spelling of her name.”
08/12/2009: I talked with a supervisor, Kenny at ext. 9491, from the Home team and he got me on a three-way call with a member of the Hope team, Tasha Bell. Between the two they said that I should only talk with T. Barrett who had said that she would escalate the problem, but to wait 48 hours before I called her. The really strange statement from this three-way call was that Tasha said that my middle name in the Hope team system showed “Mari” and it was not going to be changed to my correct spelling. This makes no sense.

I really need help. I cannot get Bank of America to admit that there was a mistake that could have been easily corrected when I first alerted them on 07/14/2009. I am being punished for their error–why? I really need this modification because initially my hours were cut at the beginning of the year and, then, at the end of June my position was eliminated due to budget cuts. At this point, I am working temporary assignments.
Posted By Loveland, CO: August 13, 2009 12:06 pm

My husband and I are suffering from the same extremely bad experiences with Bank of America that these other homeowner’s have mentioned. My husband has been unemployed for a year, I’ve been working two jobs during that time to help make ends meet. BOA will not return calls, are not communicating in any way regarding our request for a loan modification that will make a meaningful financial difference to save our home of 13 years. They have definitely taken the stimulus money and are investing it and making a great deal of money while they are forcing their customers into foreclosure. President Obama and his administration is not paying attention and like many other things, they talk the talk but with no positive results. We’re in a depression by the way even though the administration won’t say the words, just like the previous administrations wouldn’t say the word “recession.” I’m a saddened and disgusted American.
Posted By DCH, Cincinnati, OH: August 13, 2009 11:35 am

The Obama plan is useless.
The average negative equity goes from 30% through 70%. People need to move because of job reasons and they can’t sell (those are not cover as primary residents)These banks received taxpayer money and they are not working with borrowers. The foreclosure nightmare and the recession will last forever if they don’t do something big to fix the real estate. Fix the real estate market and you fix the economy!
Posted By Amy Tampa FL: August 13, 2009 11:25 am

Called BOA (previously had loan with Countrywide) about refinancing as my husband had a large cut in salary and we are having trouble making ends meet. They never told me that my mortgage was held by Fannie Mae. I found out myself. I called back the refinance person and told him of my discovery and he replied….”oh, didn’t we talk about that???” When he didn’t have the answers for me, he transferred me to a “specialist” with the “making home affordable refinance/modification” program as I thought a load modification was just what we needed. I was told by the specialist that because we had a late payment in Sept of 2008, we did not qualify for this program. We would have to wait until Sept 2009 to apply and he did not recommend it. He did not make any sense at all as he further told me that the interest rates would be higher than what I already have and that my monthly payment would be more. Something just didn’t sound right as he was strongly steering me away from this program so I called a HUD approved loan counselor who said that information was all wrong and she wrote up a report and supposedly sent it to BOA. I have not heard anything yet. It has only been a couple of weeks.
Posted By Joan Milford, CT: August 13, 2009 10:14 am

I have spent months trying to get Coldwell Bank to even to return my phone calls. I even had a lawyer send a letter. Nothing!!.

Where is the assistance?

It is time for us to stand up and protest.
Posted By Ryan, High Bridge, NJ: August 13, 2009 9:39 am

Our house is both underwater and because of a loss of nearly 2/3rd of the income we had had applied for remodification or refinance which has not been approved. If a very straightforward case like ours is not getting help, we wonder any help going to those who might have a little more complicated mortgages. Our first and second mortgage is with the citi bank and in one of the many phone calls for help a loan officer told us that under the presidents plan they can refinace our house for a cost of $5000 and now its been 4 months and we wonder maybe refinancing at that time when the interest rate was lower would have saved money tahn waiting for help because now even the interest rates are going up.
Posted By NH, Manchester, NH: August 13, 2009 9:25 am

After trying to modify my loan and repeated calls to Wells Fargo, Hope for Homeowners and other agencies and being denied or stating that I was not eligible and promises to help. I FORECLOSED ON MY HOME. What I can’t understand is if I had no credit cards, no other bills than just a car note with a $50,000 income for what reason was I not eligible? It would have been better to modify my loan and allow my family and I to live in our home instead of tearing a family apart leaving parents struggling to find a place to live. I also think because the programs was not willing to help people that the creditor should not be allowed to have foreclosure on their credit report, allowing people to purchase another home for their families. It’s not our fault that the programs are not helping people. IF I COULD HAVE GOTTEN SOME KIND OF HELP I WOULD NOT HAVE WENT INTO FORECLOSURE. It is a SHAME that the GOV. IS NOT HELPING THE AMERICAN PEOPLE BUT WILL RUSH QUCIKLY TO HELP OTHER COUNTRIES.

Thanks for no help
Posted By NEW ORLEANS, LA: August 13, 2009 8:47 am

Wow. I am not happy about the stories, but glad to see that I am not alone in the process. I am divorcing and as the major earner and house being solely in my name I was left to take care of the house, kid, car, etc. I have maintained the home for two years while it has been listed for sale at what I purchased it for and I now find it a struggle to continue payments with a glitch with my pay and missing a check for next month.

I started my correspondence with GMAC in Feb for a loan modification. I have been denied four times for the Traditional and Gov’t based plans.

I have now asked for a deed in lieu and have to give up the home this way or in foreclosure. I am tired and VERY concerned about my credit being destroyed if I wait any longer to move.

I too have never made a late payment. My lawyer says to withhold a payment to see if they finally grant my request. This is really a tough time or as some would call a season.

I agree with the poster who said…it really makes you consider what is important. Family, peace, and a place to call home. Not necessarily your dream home, but home.

God bless all of you/us in the process.
Posted By Needs Reprieve, smalltown, PA: August 12, 2009 11:28 pm

Something needs to be done. I have had the same problem with Citi since November 2008. Lost my application (5x), constantly changing numbers and rules, changing names of various departments…Just a run-around. Have they already been given gov’t money?? Are they using it for the cost to foreclose mortgages and stock piling homes? Certainly, I have seen no relief.
Well, let me tell you a couple stories… A friend’s ex-wife had a second with Citi last year. She owed $170K and was NOT upside down, just high interest rate (mine is 13.75%). She quit paying her mortgage in CA. That was the only way that she could get Citi’s attention. They haggled and haggled until Citi took $15K cash and wrote the second OFF! Another CA home owner stopped paying her mortgage in December and has not received any notice of default. I’m not sure who her mortgage co. is, but it is called “shadow foreclosures”. Some of these lenders are hoping to see an upturn then come after you rather than paying for the cost of the foreclosure. Another guy, I was told, found out that his lender no longer existed, that the gov’t took over the bank and settled his mortgage for 40 cents on the dollar.
I just told Citi that I am no longer making a mortgage payment since they are no willing to work with me and have wasted SO MUCH of my TIME. I have a judicial contract, so they will have to go through the courts. Plus, THEY own my loan…no just servicing it…
I just can’t live like this anymore. I am on the road constantly to pay my mortgage, have no health insurance, and NO car insurance!
Posted By jennifer, billings, mt: August 12, 2009 6:22 pm

We bought our house in November of 2004 and since then not only has our household income been reduced by $60,000, but like so many others, its value has gone down under our loan balance.

I faxed our loan modification application to our lender, Indymac now One West, on May 23. They said it would take 30-60 days to get an answer, and when I called after 6 weeks they said they needed further documentation, which I immediately provided. Then 2 weeks later they actually called to inform us they would have a determination by August 23rd.

I realize its a toss-up whether or not we’ll be offered any help at all, but really the best help would be a reduction of the pricipal on the loan, and thus lower monthly payments. We have a rate of 5 5/8% and of course lowering that further would help, but not if it would mean the rate would go way up higher in 5 years because we’re no spring chickens and even if the economy bounces way back, which of we hope it does, our income is not going to be rising with that tide. (And in order to get that rate I had to cash out a sizable chunk of my IRA and pay taxes on it in order to refi on our already-by-then devalued home.)

In any case, reading so many other depressing accounts here, I’m even more anxious than before about the process because of the inconsistency of the requirements among the various banks. For instance, I’m getting that:

– Some lenders require the borrower’s household income ratio to mortgage payment to be no greater than 31%, while others require it to be at least 31% or greater.

– Some lenders require PMI, while others will deny modification if the mortgage has PMI.

– And most confusing, many lenders require the loan to be 3 months in arrears, which is precisely what we’re trying to avoid in order to avoid foreclosure.

Though we have only one more month before we will get behind, can anybody advise me if you can apply again to some other bank than your present mortgage lender if you are denied by them?
Posted By SC, Moorestown, NJ: August 12, 2009 5:41 pm

i have not had a good time with b of a. they just canceled my modification request because they said i did not responded to their request for information.thats what it said online.
i called them and after being asked a list of questions i had already been asked by the automated system he asks “and how may i help you today” my reply “i had a request for a loan modification and now the system says that my request has been canceled” he reply s “one minute please……………. oh yes it was canceled because they did not receive requested info” i say ” yes i know that but what i would like to know is where did you send the request? i have given you 10 ways to contact me and i have received no request” he says “one minute please sir ……….. ok its not that its been canceled. well it has but thats because you applied back in may and you were being considered for a different plan. now we have a new plan but we need updated financials. you should receive a letter in the mail this week. in the meantime you should get your financials together and call this number”
well i will go through it all again. heres hoping
look at this report. it shows that b of a has only modified 4% of loans that would qualify. thats 4% of over 600,000 loans that are more then 60 days late.
Posted By rick murphy, newhaven ct: August 12, 2009 12:08 am

My husband lost his job when the Birmingham office of his company closed. I lost my job a month later due to downsizing. We had 4 kids in college at the time! Fortunately, 3 have since graduated but our youngest is still in school. We have had our home for 16 years and had NEVER made a late payment. When all this happened I contacted Countrywide now Bank of America for some sort of hardship help. I was granted a 3 mo. forebearnce which meant I did not have to pay Nov,08-Jan,09. I received the paperwork and signed it to have those 3 months spread out over several months. My husband had started a free lance video business that was slow in getting started up and when we were preparing to pay our Feb, 09 payment a certified letter came stating the forebearance on the loan was cancelled by the lender. No reason was given and we have NEVER gotten a reason. The following day, we received a foreclosure notice that included hundreds in late fees. We therefore spent every cent we made from Feb-April catching up the mortgage. As a result, we ended up having to file bankruptcy. We have lost just about everything. we took in our basement and garage and made the office for our business there so our home is not only our residence but it is also our place of business. We have to keep our home. I have tried 2 different times for a modification with BofA but was told both times we do not qualify. Our business was very slow in June so I now owe for July and Aug. We got a letter today notifying us that if July-Sept. plus late fees were not paid in full by Sept 4th they will begin foreclosure. We have been treated so horribly by Bank of America. If this new president really wanted to help, he should have paid off American’s mortgages rather than bailing the banks that will not work with those same Americans.
Posted By S. Sutton, Birmingham, AL: August 11, 2009 9:00 pm

We have been trying to get our mortgage modified since Feb of 2008 and we are still have not gotten any further today to a modification than we were 18 moths ago. Where is the help?
Posted By Linda, Lake Worth, Florida: August 11, 2009 7:49 pm

Wow–I have less hope than ever after reading this blog. I reiterate what everyone else has said. I started this process many months ago and have done all that was requested…the endless faxes, the weekly phone calls. Apparently the plan doesn’t exist, or there isn’t enough pressure/incentive to comply…or the banks make more money on foreclosures and short sales. They can probably write those kinds of losses off on their taxes.
What a crummy situation. I hope the banks get theirs in the end. All that help with bailouts, and no help for me…not even a few hundred a month.
Posted By Christopher Healy, Portland Oregon: August 11, 2009 5:11 pm

we had the same situation. I was informed that Fannie Mae has to approve the loan. You have to show you are making close to what you owe.
Posted By Laura, Hollywood, Florida: August 11, 2009 3:57 pm

I do not know why the Government and yes even my president thought the bank would do the right thing because it is the right thing to do. I can not believe how I have been treated by BofA. First you go through the process of faxing all your financials and paystubs. You also fax a hardship letter that is no easy thing to write and you wait months for reply. My partner lost her job and she covered all the utilities, I asked for a $500 decrease because I can almost hold it all down but it is too tight. Well after months of waiting I was put on a 3 month trail with a whopping reduction of $300 dollars. I felt BofA was setting me up to fail. Whenever I tried to speak with someone it was like the money was coming out of their pocket, I still do not understand why the banks is so unwilling to listen and truly help. On my last conversation with BofA with gentlemen asked curtly “is there anything else I can do for you” I answer yes some empathy, understanding, compassion, or just customer service, he then hung up on me. At the end of my three month trial which is in Sept my mortgage goes back up to the original amount while BofA has 120 days to review if I am eligible for the loan modification. What kind of a cruel joke is that…
I feel as though Bank of America does not care what the president asked them to do. Our government has to enforce this our government needs to grow a pair quit acting scared to be seen as liberal, like that’s a bad thing and really help people. Come on Barack please lead and regulate and do what you have to do to get things done. I am tired of Democrats seeming scared of the Republicans and their opinion. I don’t care what other people think about doing what’s right, just do it.
Posted By Leann Robinson, Antelope, CA: August 11, 2009 1:00 pm

I just hope that the government will reimburse our money spent faxing papers, the stress we were put into and the time spent on phone calls, holds, checking the website to check for any updates and just to see the status on the screen saying give us 30 days and gone after waiting for that 30 days and reapplying and waiting another 30 days for 4 months now. They have thousand rules changing everytime, it seems that foreclosing the property in our state is more profitable for the bank than helping us out so we give up! We wish we had spend that precious time with our new born baby and didn’t have to go through the stress of trying to get any government help. 4 months of trying for a refinance or modification with citimortage -what a waste of time!
Posted By AN, Manchester, NH: August 11, 2009 12:02 pm

I live in Maryland. My husband and I own a single family home in 2006 that has lost nearly $100,000 in value, so we can’t refinance through regular channels. Since this program became available, I’ve been contacting my lender (I do have a Fannie Mae backed loan) First Horizon to see what can be done. And to date, nothing is their answer. I don’t qualify for a mod because I’m sacrificing to make my mortgage payment on time. I can’t refinance because I have a 2nd mortgage and First Horizon (the holder of both mortgages) won’t subordinate on loans that are more than 90% loan to value. What I have heard is “we can’t help you because you’re not behind”…well, what’s the guarantee you can help me if I am behind? My tax dollars paid for these banks to stay in business, and I’ve been responsible making my payments…but apparently, there’s no interest in helping the people that bailed out the banks…nice.
Posted By Mabel Valdivia, Laurel MD: August 11, 2009 11:46 am

Applied with CitiMortgage on March 10th. Received one phone call and letter on May 26th that we were being considered. Since then nothing. Have left messages almost weekly with contact person and have received no response. Also, the E-mail address given in the letter does not work. I’m current so far and I’m patient by my savings is limited and will run out very soon.
Posted By Anonymous: August 11, 2009 11:45 am

I inherited property with a mortgage. It has sentimental value. I have done everything I can to refinance or have loan modified so I can hold on to the property. I paid Regions $467.77 fee for what they said was a modified loan agreement. They lied. What a surprise. My experience has been a repeat of all the other comments, repeatedly sending in documents, lost documents, being switched from person to person to delay the process, pretend offers, hours on the phone. No more. I can’t pay what they want nor is it reasonable. They can foreclose, the property is worthless to anyone else. I guess they will get their fees but it certainly won’t be what is owed on the mortgage. I was willing to pay the mortgage at a reduced payment, the whole balance. Maybe 1 + 1 = 2 isn’t true for mortgage companies. I’m going to send someone to make an offer on the court house steps maybe I’ll have the last laugh.
Posted By Anonymous: August 11, 2009 11:36 am

I have bween trying to get my mortgage modified by CitiMortgage since March. It has been a nightmare. I had to call to find out what was going on. In June, I went to a credit counselor for help. Later that month,not related to the credit counselor, I called and found out my case had been given to a third party the bank was using to help it. After asking me questions thqat were already in the paperwork I gave him, he told me that I should just “walk away” from my house! I was shcoked! He told me I was eligible becsause my6 loan was held by Freddy Mac, but he didn’t think modification would help me!
Now, my counselor has resubmitted a plan to modify my loan. I arranged with CitiMortgage to let him help me and we had to start the process over again. Meanwhile, my company has cut my pay and made me take two weeks off without pay. I am struggling and feel like no one really cares.
I tried to get my second mortgage, now witrh Bank of America, modified and was told that I had $85 left a month after paying my bills so the system won’t klet them modify my second mortgage!!! I need a bail out!
Posted By Susan Epstein, Old Bridge, N.J,.: August 11, 2009 10:48 am

Im a a 42 year old married and a father of two ,I work in the auto business and I have had my income drop 40-50k per year, and when i tried to get help from GMAC i was told that I do not quilify because my income dosent meet the 31% guide line,I thought that is what the program was for,was for people like my self ,still current on their morgage and with good credit and struggling to make ends meet evey month,where is my help I did every thing right and by the book ,I work and pay my bills on time and this mess that the U.S.A. is in is no fault of mine ,yet I am being effected and told by my lender GMAC to sell my house because I cant afford it ,what kind od s*** is that,when I have been in my home for 9years and paid extra every month and on time and now when I need the help they turn their back on me ,I hope GMAC crashes and burns just like the other a-hole morgage lenders ,we need help and because we are not behind and dont meet the 31% we are just out of luck,real nice GMAC
Posted By up set with GMAC: August 11, 2009 10:01 am

I can only say that the Wells Fargo is useless. I haved faxed in letter after letter.. still no loan modification has been made. I started Feb 20 2009, and six months later.. No reply.. No call.. no nothing.. Everytime I call they tell me they are still working on it..It’s as if they are just waiting to see if I will default. If Obama had inteneded this plan to work he should have designed it with a centralized process center. I don’t kow where to turn to..
Posted By Brenda, Cave Creek AZ: August 11, 2009 9:41 am

I called my Chase representative to inquire about the Chase loan modification program. She laughed and stated that there is no such program as a Chase loan modification program. She then stated that if there was such a program she would be the first one on line. She then offered a refinance that had high discount points, therefore high fees.
Posted By M. Barnes, Newport News Virginia: August 11, 2009 5:39 am

I also am so frustrated! I do not know of one single person that these so called programs have helped! We bought our home over 6 years ago, we were never late until we lost our Limousine Co. last Nov. due to the economy. After numerous attemps to try and work with Citi Mortgage, I have givin up! We tried short-selling, received an offer for over the asking amount and the bank denied it. Which we were actually happy because we have no place to go. I proceeded to try one last attemp to save our home, by contacting the bank again. I spoke with a very rude man, who told me that I have nothing vested in my home (numerous amounts of x’s he told me this) because I am months behind. I explained that we had put down over 60,000 on this house, not including all of the additional upgrades we did the last 6 years. I told him our circumstances and that now my husband and I were working and that we will be paying a substancial amount if we lose our hm and have to rent, and I would rather be paying them and trying to save our home. Well, he proceeded to be rude, and I gave up. I don’t know where these banks get off being so rude to people when all we’re dong is trying our best to save our homes. They get bailouts and we get kicked out of something we have worked so hard for.
Something needs to be done fast to these banks. There are so many empty homes around us, and mine will be next. I feel like we always tried to do the rt thing by owning our own home, now that dreamed is flushed down the toilet like millions of other people. I pray these banks start treating people like humane-beings, and that reallllll soon some program actually starts working for people.
Posted By Michelle, Dixon, Ca: August 11, 2009 5:05 am

Interest stuff. I have been working with Wells since Sept/08. My situation is same as many others. Husband is employed however, cut is salary. I was told back in Sept then October that I did not quality for any of the 4 programs they were offering. One being a repayment of any back payments (hello! of course I can not afford this). I again was in tears after speaking with the rep from Wells as they made me feel even worse about my situation. This was in October. After a long hard talk with my husband, we decided to make no more payments. This was hard for us as we have had our loan for 3 years with Wells and NEVER missed or had a late payment. After 1 month past I called Wells again and was told to send in financials which I did. I was contact in February/09 that I was now in review for the HOPE FOR HOMEOWNERS program and any foreclosure would be postponed. Not even a week after that I received the dreaded Notice of Trustee Sale. I called the bank WEEKLY to get updates. They insisted that they are working with me and no sale will occur while in the process (send me a letter also informing me of this). I am now feeling pretty confident that Wells is going to help me (especially after seeing a few friends lose their homes). WRONG! Now, we are approaching August/09 and still no answer. I was just informed that I must provide new financials (8 months later) which I did. I noticed that I am no longer speaking with the H4H dept but rather Customer Service who is taking all overflow calls. SCARY! I have a sale date approaching for the 3rd time and was told that I am not in active foreclosure by not 1 but 3 reps, when in fact I have call the Trustee directly to confirm my sale date. Looks like the right hand is not speaking to the left. To top this whole mess off, I just received a letter from Wells asking once again for financials and only offering me the same 4 options that they did back in Sept/08. My husband and I are so fed up with being in limbo. I can see why people just say screw it and let their house go. It is not worth the stress and the constant pressure on not only my husband and I but our entire family. At this point we are all about SIMPLIFYING our lives and if that means losing a our home of 5 years, SO BE IT! It doesn’t matter where we live because we can make any house our home. Things happen for a reason : )
I can tell you that going this this hardship has really made myself and my husband much more humble and has helped us to realize what is most important in life. THANKS WELLS!
Posted By Holly, Gilbert AZ: August 11, 2009 12:27 am

I think we should do a class action lawsuit or CNN should do a huge story about this loan modification process and show what’s really going on. This is ridiculous. Been waiting since 04/09 and nothing yet. It’s tiring. I want to walk away from my home, but my husband won’t allow it. We too are struggling. It’s truly not the bank’s fault that we agreed to sign a contract and now want to revoke it. However, since our tax payer dollars are being spend and the banks were given billions of dollars, they should help us. My husband did have a better plan before they gave out all the money to the banks. He thought why not just pay off everyone’s mortgage, or a huge percentage instead of giving it to the banks. Obviously we all knew that that lending the banks money wouldn’t work. Obama’s hasn’t given us no Hope at all. Changes, plenty of that, and I am sure there is much more to come.
Posted By Anonymous: August 10, 2009 9:32 pm

Sounds like I’m have the same problems as everyone else in this blog no one knows what is going on. I applied for the Home affordable program back in March and completed my three trail payments by July 1st (which my payments were only $75 cheaper then my original and they were about 47% of my gross monthly income (what a joke)). I called Chase and the home retention group multiple times and I still have no ETA on when I will be receiving final documents. At this point I have no clue if I am even approved. I have been told to wait on making a mortgage payment until I receive my final documents. Meanwhile fees are pilling up and I am not even sure if I am approved or even if my payments are going to be reduced. I guess the worst case scenario is I will be giving my house that is $65000 upside down back to Chase and they can deal with it then.

This program has good intentions but it’s too bad the banks are spending too much time analyzing on how they can make an extra buck or two rather then helping out the people in this country. It’s not like a few billion $ of bail out was good enough.

Good luck to everyone and sorry about at the hardships that we are facing.
Posted By Terra, Portland, OR: August 10, 2009 9:00 pm

I can not begin to tell you how completely disappointed I am with this whole home owners assistance program. I will summarize my story, I submitted my paperwork back on January 9, 2009 and sadly to say still today, August 10, 2009 have no response what’s so ever on my mortgage options. Every time I call, no one seems to know anything due to the fact that reps don’t always update the notes in my account. I’ve dealt with a million people. I started to write the names of reps I dealt with to see if perhaps this would expedite the processing of my application, useless. Several instances I was asked to provide financial information that was provided numerous times to them via FedEx and fax and yet still nothing happened. This is not only frustrating but disappointing to know that there is really no help out there as it’s quoted in the websites of these banks. If there was a way for me to send this message along to the CEO of Washington Mutual now Chase, I would let them know how poorly they are managing there staff and not to mention have no consideration to the customers. This is how I get compensated for having good credit and being responsible in making my monthly payments on time, yet continue to get myself in debt because I am pulling money from everywhere to ensure my home is paid for. I am in desperate need of assistance and my own bank can’t provide me with this help.
Posted By D. Vargas New York City, NY: August 10, 2009 3:49 pm

I applied for home modification in April 2009 with Flagstar bank. My income has been drastically reduced. I was told I took 90 days before a mortgage analyst could even look at it. I was promised a resolution at the latest; the end of July last month. I The mortgage analyst will even talk my calls. No calls, no letters, nothing. This is not working. I don’t think Flagstar wants to do anything for me. My letter to the President is already written. I don’t know what good one letter will do. But perhaps if the President received thousands of letters, He could push the banks. The same banks who received taxpayer money and are not cooperating with the President’s plan.
Posted By Lola, Phila, Pa: August 10, 2009 1:24 pm

I live in Ga and have Taylor Bean and Whitaker for my mortgage holder. I have been trying get a modification for monts now. I have sent and resent documents and there is always a problem. I can’t get a live person to talk to me and there is no real information available. I have tried HUD and other groupes but no help. What is the answer????
Posted By Robert Gilbert Loganville,GA 30052: August 10, 2009 12:59 pm

I live in SC and we got our home four years ago value 170,00.00…now with people losing their homes..the banks are selling them now for 106,000.00 to 120,000.00. We have one son starting his second year in college…(full scholarships thank GOD) and our youngest is a senior this year…we are like of others..we need or the government needs to do something about the home value price going down…we are paying for our home that has lost almost 70,000.00 in price…Could the banks not help and either put loans for people who are like us..more people are going to losing jobs…which means they will lose homes..and the price will keep going down…what is the answer
Posted By Beckie Johnson. Murrells Inlet, SC: August 9, 2009 10:17 pm

My husband and I bought our first home in January ‘08. The same day we signed the papers, I lost my job (we signed BEFORE I found out I lost my job – otherwise we would have NEVER signed). My husband has a great career as an engineer and has a stable income. To date we have not missed one payment on our mortgage or any other financial obligation. We purchased our home with CTX mortgage, which was sold within two months to JP Morgan Chase.

In January of this year (09) my husband contacted Chase to inform them that we were hitting some financial hardship and would like to work something out. We contacted them several times and even filled out forms. Still we didn’t hear anything. PLEASE NOTE: We were being proactive, we were current on our payments with no late payments.

Finally in the beginning of April we received a letter from Chase stating we “might qualify for home re-modification”. From what the letter said, it was something they had sent to several borrowers based on the Affordable Home Plan program – and there was no apparent relationship between our request and this letter. This letter included a contract indicating that we had no financial obligation to pay for the home loan modification fees. It was offered to us at no charge. The contract included 3 trial reduction payments from $2200 a month to $1500. The letter also stated that when we received the modified loan we could either accept or deny it. We felt it was safe to try since they clearly stated we were not obligated in any way – and if for some reason we are not happy with the modified loan we wouldn’t have to pay the remainder of our normal mortgage payment left over after the $1500 trial payments.

We sent all the paperwork in, and when they requested further paperwork we promptly sent it. The first trial payment we sent with the first batch of paperwork, as requested. The second trial payment my husband tried paying online (there was no indication of where to send this money in the letter… and in hindsight we should have called, but we assumed that we could pay online like we always do), but Chase website doesn’t allow you to change the payment amount. Then he tried paying with Well’s Fargo bill pay, which was rejected by Chase. Chase did not contact him to let him know the payment was rejected, and my husband did not know until Wells Fargo sent him an e-mail stating it was rejected. He received the e-mail over the weekend, and wasn’t able to contact chase until that Monday. He paid over the phone and the customer service rep assured him everything was fine. Since this, our payments have been received and cashed out on or before the due date.

A couple of weeks after this, we received another letter stating that the trial period had been extended and we needed to continue the 1500 trial payment for another month. During this entire period my husband has been receiving, almost weekly, collection calls from Chase stating that we’re delinquent. Every-time he informs the rep that he is part of the Affordable Home Modification program, they make a note in their system and tell him to disregard the call. Because of this, he himself has contacted Chase to talk about why he’s receiving these calls and what’s going on with his paperwork. He is continually bounced around from department to department telling him that there is nothing wrong with his account and nothing to worry about. On one occasion a rep told him that he should no longer be receiving the collection calls.

He has also contacted the Affordable Home Modification Team, and they have been telling him everything is fine and all of our paper work seems to be in order. They would tell him if they needed anything they would contact him. Following you will see this is not the case.

We finished our 4th payment on August 1st, so my husband called and asked what he needed to do next to keep the home modification rolling. On Friday he contacted the Affordable Home Modification Team who surprised him by stating there was a problem with our account and we were being kicked out of the program. Up until now, they have ONLY told us NOTHING is wrong. My husband was on the phone with Chase and with the Affordable Home Modification team for almost 3 hours on Friday. Finally it came out that the AHMT (affordable home modification team) and Chase were not on the same page. The AHMT told m husband that the problem was coming from Chase and Chase told my husband that there is no problem on their end.

During this conversation, a Chase rep figured out that my husband was talking to the wrong departments all this time (he himself had no idea about the program or who the Affordable Home Modification Team was – he had to get the number from my husband to call them and after he called them he informed my husband there was a separate department who was handling the paperwork for the home modifications.) He was transferred to this department and the woman he spoke with seemed quite knowledgeable of what was going on, and she informed him they were overwhelmed with backed up applications. She also said there was absolutely NOTHING wrong with our account and she saw NO reason why we would be kicked out. Our information and application is in the system waiting to be processed. From what we were told, her department makes the final decision. So, we accepted her answers to our questions and our minds were at ease.

Well, on Saturday we received a letter from Chase stating that our mortgage is now in default and we owe almost 5,000. (Which doesn’t add up, since our trial payments were only $700 less than our normal monthly payments). We feel cheated and upset especially since we have done EVERYTHING asked of us and we have NEVER missed a payment. Chase has handled documentation and communication poorly, they have not upheld their end of the contract we signed for the trial payment period. The contract stated that these trial payments would NOT effect our current paying status (which, like I stated before, is an EXCELLENT record) and would NOT cause our mortgage to go into default OR foreclosure. But it seems that this is not the case.

It seems unfair that people who are honest and actually pay their bills on time are treated like this. We feel it is our responsibility and our obligation – even a privilege – to pay our mortgage… after all it was our decision to buy the house. We are contacting our state senator, Harry Reid, on Monday and will be pursuing legal advice.

For anyone who wants the Affordable Home Modification Team contact number, here it is: 1-800-435-3412
Posted By Brenna & Jamison Frady, Reno, Nevada 89521: August 9, 2009 9:09 pm

We have tried with Chase and have gotten no help at all. They have put us in such a bind that bankruptcy is all we can do now. We filled in Feb. after I lost a very good job. My wife was laid off soon after that. No help at all if you are on unemployment. We have always paid on time. M&I has a second mortgage on our home and also has done nothing. We are losing everything at this point. They only want you to keep current and don’t care if you keep your home or not. I am actively seeking work, but can’t make the money, I made after 29 years of helping children and families. I worked in a non-profit that closed. I have over 100 resumes out and do job interviews every week.
Posted By Gerald Maher Torrington Ct.: August 9, 2009 8:55 pm

My husband lost his job a year ago, he is only working part time and collecting unemployment on weeks without job. We have been digging our children’s educational funds to keep us uploat to keep our mortgage payment on time. I know that in a month will be in trouble paying our mortgage because my kids moneys gone, no more money to dig for our mortgage payment. We started sending out papers last March with no response. We sent out papers again last May, they turned us down because they said we are making enough money which is not true because we are 50% income ratio, half of our income goes to our mortgage. Then, we sent out another bunch of papers last June, this time they said we are not making enough to sustain our monthly payment,they turn us down one more time. I don’t know what else to do, either we are making too much or making too less and can’t afford the payment. Last week, we finally got a package of papers for the trial payment, the payment they gave us is still a 48% of our entire income although I specifically asked for 31% income under the Presidents income ratio. I have no plan of sending this papers back knowing that this payment will lead us into another round up of eminent default. We bought our house for $325.000 which is now worth $150.000. Our neighboors who bought their house a month ago are only paying half of our mortgage which are the same model and living area. Our mortgage is guaranteed by Freddie Mac and have PMI payment of $194 a month. I don’t even know what this PMI can do to help us since my husband can’t find a full time job. I feel so tired, sometimes I feel that giving up the American dream is the only solution. Although, it is hard for my children to accept that we are loosing our home because the bank refused to work with us. We attended several Foreclosure Prevention here in Las Vegas but Wells Fargo is hard to deal with. It seems like people working in these banks does’nt have heart at all. They’d rather helping people living in another country than helping the American people in our country.
Posted By Las Vegas, Nevada: August 9, 2009 3:33 pm

I am with Flagstar Bank and Started the procees right, first they had to see if I qualified for a refinance, which I didn’t. The after several phones calls i finally got to the correct department got the paperwork after 6 request and never showing up. faxed the bank 72 documents and know i’m told that it will take another 90 days just to get the paperwork assigned to someone. we need the help now not in 90 days.. none of the money that has gone out has help my family one bit,,,,my brother in law can’t find work and they are trying to sell their home and move,,, we are losing family because of this. my younger brother worked for Ford in Kansas City MO, He had to take a severence package or risk being laid off with nothing, now he has been out of work for two years and can’t get a modification because of no job….I am at my wits end with this.. WHERE’S THE HELP–WE NEED IT NOW! Also on the health plan let me tell you. We make to much to get any type of coverage through Medicaid and we don’t make enough to afford it.. We are both very hard working and everydime we make (goes right back to the goverment) but we can’t get help (fast) when needed.
Posted By Lisa Orabona: August 9, 2009 6:16 am

My husband and I tried to apply for a refinancing of our home with Bank of America. After submitting the necessary dox, we were just told that we didnt qualify. we inquired why, and they just told us that the computer says we didnt qualify. how helpful is that?
Posted By Bernadette: August 9, 2009 3:38 am

In Feb 09 I asked the bank to help me modigy my loan due to the loss of cash clients and lossing my medical insurance. I am ill but still working. I need surgery but it will have to wait but shouldnt. I aks the bank to take 3 month back payments and add them to the end of my loan and lowerer my interest rate. They said no. The came up with a plan. I had been making all the payments 1400.00 a month but they wanted those 3 months. and now. So they took the back payments and broken them down inot 6 months, a 2500 a month payments i told them i could try but I doubt it, That is allot and I am losing cash clients i made all my 1400 and now they are refusing my payments I went into forclosures and now thye will modify!!! I have my credit messed up with for closeure and a 10,000.00 fee added to my loan that is crazy. I have had accorn housing working on this from Feb 15 and no one has helped. I did all of it right. It doesnt work. I will never buy a home again. I am 54 and have had about 6 homes. Never ever would I ever try to get anyone into a home loan. Home owner ship has hurt me so much,
Posted By rumadyet: August 9, 2009 3:05 am

OK. Now I guess I feel somewhat better just to know how normal my lousy experience was.
I am/was current with Washington Mutual/Chase on my first mortgage of $375,000 and second of $95,000 but was borrowing money sometimes just to make ends meet. As a result, my debts were growing.
I went through a two-month effort of filing for modification with both loans through separate departments.
The 2nd mortgage people lost my first filings and after I raised heck, I got a supervisor to say send them directly to her. Then she refused to return my calls to check on them.
I finally got a person who was supposed to be monitoring my first mortgage. But in an innocent call just to check on paperwork I was told bluntly that my first-mortgage request was refused because it was less than 31 percent of my income. I COULD HAVE BEEN TOLD THAT WHEN I FIRST FILED. Then I was told that the second mortgage can’t be modified if the first is declined.
This failure to allow the second mortgage to be included in this “ratio” is ridiculous.
Now I am purposely not paying my mortgage for two or three months to pay down other debts.
Then I’m going to get into my 401k to get current again. Chase has a form letter all ready for me (of course, they do).
Maybe I’ll get more of a chance for help when I’m two months behind, but I doubt it. The same 31 percent rule seems to hang over everything. It’s not clear from what I ready whether Obama’s recent 2nd mortgage help plan can be used if the 1st mortgage doesn’t qualify.
I voted for the man and still support him, but this plan for “helping” is a joke.
It’s obvious the big banks are only going through the motions to seem to appear to help. And as usual rigid government regulations make common sense a casualty.

Posted By Bob B., Phoenix, Az.: August 9, 2009 12:46 am

I am so so frustrated, stressed out with Indymac. They are giving us the run around about our Loan Mod..I dont think that the Bank will help us at all. We all should be given another chance because Its the Bad Economy to be blame.We lived in our hom for 5 years and never been late on the payments but when my Company closed dwn and used up all my savings and tried to modify must shut us off. I hope that Mr President will do something about this
Posted By Rosa,California: August 8, 2009 4:33 am

I have never been through such a bad process and I have been in the mortgage business for 18 years. I worked for a division of Merrill Lynch that closed down a year and a half ago. I have been working odd jobs and make enough money to qualify under Making Home Affordable. I have a 15 year fixed and only asked my servicer, Home Loan Services (now owned by Bank of America) for a 30 year fixed. I started the process in December of 2008. I have been told everything from we do not have your paperwork, to we have changed our process, please resubmit. I have faxed my info numerous times and I call on a weekly bases, only to be told we are working on it. My house is now 30 days away from foreclosure because I can not get just a little help. This process is so messed up that it is going to take mandatory government rules to get these lenders moving. Just look at the report and see that my servicer, Home Loan Services, has helped no one with a modification. I think it is time for Washington to quit helping the big companies and start helping us struggling homeowners!
Posted By Jeff Turner Belmont,NC: August 7, 2009 2:52 pm

Get out while you can! We’ve been trying to get a loan modication with Wells Fargo since January 2007. All of the loan mods they came up with have been ridiculous. Always something we could never afford. We’d refuse the mod, and then we’d tell them that we were gonna sell the house. “oh no, don’t do that. I’m sure we can get a loan mod that will work for you.” Well 2 years later and 9 load mods, still nothing. They’d lead us on, and tell us that “if you send in $4000 today, we’ll be able to put this modification in action”.
We’d pay, and when the papers came for us to sign, it wouldn’t be the same mod that we had agreed to on the phone. “Well, verbal loan modications are only good for that day”. Ah, WHAT??? Shame on us for being so gullible…we’ve sent in over $12K! Now with all the late fees, interest, penalties, fines, lawyer fees, and taxes, there’s no way we can sell the house and pay the loan off in full. We should’ve just sold it in 2007 like we had planned. It’s sad that these conglomerates can get away with such tactics. Lets join forces, and go for a class action!
Posted By Shelly A, Sun Prairie WI: August 7, 2009 2:02 pm

I wanted to modify my loan from an adjustable rate to a 30 year fixed. I wasnt able to refinance because like many homeowners, the value was 30% less than my 2004 purchase price.

So I applied for the loan modification in March. After getting the run around from Chase’s customer service, refaxing out dated documents 4 times, countless calls into their service center, I was given an answer on July 31.

Chase said I wasnt eligible because I was current on my payments and had more than 3 months cash reserve in the bank, so there was nothing they could do.

Furthermore, one of the Chase reps I spoke with said, “perhaps you should be deliquent on your payment. We’re more likley to help then.”

It’s just frustrating that we work hard, save, and then these banks just will not help the average US citizen.
Posted By don Albany, CA: August 7, 2009 2:00 pm

I have been working on a modification starting on 06/08/2008 with Countrywide.
On 04/25/2009, I had to reapply with Countrywide for the “Home Affordable Plan”.
Finally on 07/14/2009, I received my loan modification papers from B of A, when I looked at the documents, I noticed that B of A left off the “e” in Marie my middle name. I was informed on that day that corrected documents would be sent out–they never arrived.
None of my other communications from B of A have had my name spelled incorrectly; just the most important document to me.
On 07/29/2009 a supervisor said to send in the documents with my misspelled name. However, when I went to the notary, he made me add the “e” to my middle name in order for the documents to match my driver’s license.
On 08/01/2009, those documents were returned with a rejection letter stating “data conflicts with original note modification created and sent (Loan Modification Document has been altered or changed when compared to original document sent out)”.
Since this has happened I have been transferred back and forth from the HOpe team and the Home retention team with each blaming the other for the error.
The end result is that I am suffering for B of A’s error. I have been told that I must start the process all over.
This is absolutely ridiculous!!!
If there is anyone that can help please let me know. I have already contacted one of the local news media.
Posted By Rebecca Marie Sicilia, Loveland, CO 80538: August 7, 2009 1:35 pm

We tried to get a loan modification or a refi under the Obama plan but we were told we did not qualify since we make too much money (65k/yr). Also the second mortgage will not be considered at all since HUD and the government consider that a LUXURY!!!!
Bottom line – this PLAN does not and will not work since it leaves out most of the homeowners!! If the government thinks that this PLAN will ease the mortgage crisis, think again – it is going to get worse!!!
Posted By Jenny Martin, Tampa,FL: August 7, 2009 12:16 pm

After reading a New York Times article on July 30th, entitled, “Lucrative Fees May Deter Efforts to Alter Troubled Loans”, it all became clear to me.

This article is probably available online right now. It is well written and explains that lenders actually collect more fees from foreclosure then they would make under the Obama Plan. Surprise, huh?

It’s the INVESTORS who lose and the homeowners. The BANKS make the fees and they are the winners.

I have dealt with my mortgage companies (Bank of America and Chase/WAMU). Like everyone else, they claim they are overwhelmed and repeatedly request the same docs be sent in…then there is a huge wait,(seven months) a run around and a decline.

Basically they are saying, “You pay by the original terms or lose the house. We’re not going to give you a break no matter what your situation is. And the government can’t make us. Deal with it.”

Fortunately, I still have my home, but for how much longer I don’t know.

I’ve always known that bankers were bad guys, but this has given me and the rest of the country irrefutable proof.
Posted By CM, Fred, Virginia: August 7, 2009 11:53 am

I started a loan modification process with WAMU AKA Chase over 6 months ago, first time around they closed my file without telling me when I called to follow up. Chase claimed I didn’t have the correct supporting documents which I had faxed over to them twice. This was 3 months after the first request. Now what, well Miss customer you have to resubmit another request. Which means now I had to contact my accountant to update my profit & loss financial and since so many months had passed had to send 2008 tax returns. Being self employed it’s not as easy as faxing pay check stubs, you pay your accountant to reconcile your books, money that could go to the mortgage. After sending in the second request I was sent letters to send missing documents that had already been sent with a confirmation number, sent them again. Chase added another document they needed so off to fax more documents. Finally I was offered a pre-trail agreement where I would pay for 90 days a lower payment and then they would review my financial again to see what they could do for a final offer. Because Chase has taken so long to work with me (7 months) I am now in a position to have to file Chapter 7, so the pre-trail making home affordable agreement may become null & void. I will send the agreements back to them fullly signed with more requested documentation, it’s a miracle I have the money in the bank to make this first installment of the 90 day trial period and will let the cards fall where they may…but the frustration, incompetency, lack of compassion and understanding has been stressful to deal with.

I am not even sure what the term of the loan will be once the pre-trail period is over. Chase isn’t able to tell me what it is either…
Posted By Karyn Armstrong, Portland, OR: August 7, 2009 4:05 am

1. Indymac Bank services my loan.
2. Freddie Mac backed loan.
3. Never late on mortgage payment since I bought the home 4-1/2 yrs ago.
4. Mortgage soon to adjust.
5. I’ve been sending papers/calling Indymac bank since 4/09.
6. Today is 8/6/09 and still no remodification.
7. All I am asking for is a low fixed rate. My home is worth what I owe on it.

Thank you for your help Obama.
Posted By K. Turner, Cordova, Tennessee: August 7, 2009 1:02 am

Wells Fargo contacted me in March, and told me that the qualify under Obama’s plan to be refinanced. I began the paper work process in late March, and have been waiting since. I called today 8/6/09, and was told I needed to come in and sign some papers. When I went into the office they were not sure what papers I needed to sign, and or how much longer the process should take. I wish this program was set up so that if the banks did not hold up there end of the deal, they lost their bailout money. They might me more willing to help.
Posted By Heather Henderson NV: August 7, 2009 12:48 am

My house lost over 100k in value, my business lost income, my wife transitioned to a new job, then got breast cancer, so we sold a car and have cut way back. I have applied four times for a hardship modification from Counrywide, now B of A, and have been denied each time. I’m only asking for them to roll in 4 late payments, and they won’t. Didn;t my tax money bail them out? It is not working, and I voted for Obama, so help!!
Posted By Greg, Sacramento, CA: August 6, 2009 11:54 pm

I have been trying to obtain a mortgage modification from Bank of America since last January. After sending them my documentation twice, and making dozens of 45 minute to an hour phone calls I discovered that the agent who had been working on my loan had not removed the “codes” so it could be reviewed – its been sitting since last February with nothing being done, even though others have told me to call back or they would contact me. When I asked them to remove the codes so it could be reviewed I was told they couldn’t find the agent and only she could do it. After months of waiting – worrying and scraping money together to make the payment, I’m being told this. Its obvious that Bank of America has no intention of really offering any of the plans the President outlined. I have tried to work with them by providing everything they asked. In the end it has been a dehumanizing experience and has caused severe emotional distress. I will be missing my first payment since I bought my house in 2004. I can no longer keep up and there is no help in sight from Bank of America. Hopefully someone from the White House is reading these comments. If you are the Making Homes Affordable program could help people stay in their homes but for now its all words and no action. Hollow promises are of no help when your about to become homeless.
Posted By SK Tampa Florida: August 6, 2009 10:27 pm

Regarding: Refinancing under Obama Plan
FYI: Don’t try to get a refi from Bank Of America! They scammed us for the $400.00 application fee and did NOT disclose discount points!!! I have filed a complaint at the Federal Level. Of course, we haven’t received a reply from that complaint. BofA said they would refund the fee, but as of today, we still haven’t received it back. BE VERY CAREFUL ABOUT THESE REFI’S….. BUYER BEWARE! Make sure you receive all the discount point disclosures.

Posted By Diana Harris: August 6, 2009 7:18 pm

I am mortgage loan officer with a major bank where I also have my mortgage. I attempted a refinance using the Making Home Affordable Plan. Unfortunately my condo, original purchased in 2005 for $141K, just appraised for $38K. The 105% MHA limit, soon to be 125%, does little to help homeowners who exceed that guideline. I have exceptional credit and have never missed a mortgage payment, however I could not refinance using the plan due to one of its many limitations. Even as an employee of the bank where my mortgage belongs I was denied a MHA modification.

I took what I though was a low risk real estate investment and it’s not turning out how I would have liked. While rates are low and home values are going to continue to fall, I have accepted that I signed-up for my loan based on what I knew was a good deal at the time, both home value and interest rate.

While I understand mortgages better than others, and I do my best to put homeowners into loans I would only feel comfortable putting my own parents in, the borrower ultimately has to take a majority of the responsibility for the loan they obtained and for the value they purchased or refinanced their home for. The government, the banks and all the investors of mortgage-backed securities are great at listening to the complaints of disgruntled real estate prospectors, investors, and homeowners and unfortunately there is very little they can do or are willing to do, short of spending a bunch more tax-payer money perhaps. The MHA plan will have very little impact, if any in turning around the housing crisis.

So for those of you own a home, I know how you must feel. And if you cashed out when values were high, took a chance on the pay-option ARM or other exotic mortgage, or simply lost some equity due to the sinking economy, and you’re neighbor or friend has a better rate than you and your mortgage company isn’t helping, deal with it and stop complaining. Next time you lose at the blackjack table, trying asking the dealer for some of your money back because you didn’t fully understand the game and see what happens.
Posted By Nathan, Fort Lauderdale FL: August 6, 2009 6:28 pm

We had applied for mortgage loan modification with CountryWide back in March of 2008, after much run around and them telling us we did not get the paperwork in even though we sent it to them three times they said we were in defualt and they would begin foreclosure in July 2008. We hired a lawyer who called CountryWide a couple of times and they agreed that our paperwork was in on time but was misplaced in their office he was able to help us get the modification finalized but Countrywide still entered a foreclosure onto our credit even though they never actually foreclosed on the house. So we got to keep our home but with the foreclosure on our credit anyway we should have just let them take the house as we are now stuck with them because no other mortgage company will refinace us.
Posted By Cindy, Denver Colorado: August 6, 2009 6:28 pm

We apparently are too bad off and can’t receive help from Obama’s plan. I have gone through our lender, and they went thru Freddie Mac who said that we don’t make enough for them to help us – we just need help until my husband can work again after having a brain tumor removed in Dec ‘08 – and of course SS denied him too, he is on his 2nd try to get those bennies…seems like none of our government agencies are helping us. We are hard working NON-illegal American citizens. I was laid off for 6 mos last year, then he got sick. He lost his business in the mean time – No bailout for him!! I work for the DoD and he served in the Navy. We have 2 girls, and are afraid we will lose our home in Oct…we were granted a 3 month forebearance to allow me more time to earn $1500 more a month – I am working 60 hrs a week to try and achieve that goal…but it does NOT guarantee their help…We are scared…too much in the last year has been taken from us…it isn’t good!
Posted By Lisa Colorado Springs, Co: August 6, 2009 5:46 pm

My property taxes jumped from $1811 to $2364 in a year’s time. My one credit card increased from 0 to 6.9 to now 15%
My salary didn’t – an I can’t get a part time job to help!
I tried repeatly to “HOPE”- no results
I tried through Tower Federal Credit Union ( who my mortgage is through)- and was told they didn’t receive any Obama money- can’t help me because the debt ratio is too high.
Then I go to Lending Tree- 5 banks say NO- debt ratio too high. One does agree to help me after telling him that my debt ratio was too high-Home Loan Funding, after I pay $300.00 (I had to borrow)for an appraisal, they tell me my debt ratio is too high and no they won’t refund my money.
Posted By KarenDavis Brooklyn,MD: August 6, 2009 5:06 pm

We applied for a mortgage modification with Citi! We did the application online and fax them only recent bank statements and we’ve been waiting for a month! The n we called and checked a status on it and they said they will need to do house value! We waited 3 more weeks and called the other day -we’ve been approved for the modification program and they will lower our payment from $2240 to $1379 a month! That is so exciting!!!
Their customer service is great – they are very hepful and very polite!!!

We are completely satisfied and we are very thankful to Obama’s administration!
Wish luck to everyone!
Posted By Plamena Georgeiva, West Yarmouth MA: August 6, 2009 4:50 pm

I started calling Countrywide (now Bank of America) in March. My husband had lost his job and I wanted to get help before our savings ran out. I kept getting transferred to different people, then finally I was told to call back in a month. Since then, I have called back every month and each time I was told to call back in a month. Finally, I was told we didn’t qualify for the modification, but we could try for the refinance. But the refinance department told me to call back in a month. Then I called back and they said we could apply for the modification after all. Now our savings is out and we are being considered for the modification that will take 45-65 days. I get the feeling they really don’t want to help us. I think Obama’s plan was a good one, but I don’t think the banks really want to use it.
Posted By Joan Perich: August 6, 2009 4:48 pm

I’ll make it quick. I wish not to add any redundant comments already made by everyone here.

I have a fixed 30-yr @ 6.25% with Bank of America (BAC). According to the website I am eligible for refinancing. However, after a long…hold, BAC representative tells me that my loan does not qualify because of mortgage insurance. That’s right! If you have mortgage insurance, which really insures the lender (in this case, BAC) in case of default, you do not qualify for the program. BAC rep could not provide any further details other than the decision was made by the government (Freddi Mac, which owns by loan) and not BAC… that’s right! blame it on Uncle Sam!

BAC rep was kind enough to put my name in the “waiting list” for the next “phase”. Of course, he was not sure when that phase will be available, but promised to call me back when it is. Sure…

I will try again in a week or two, just to see if BAC’s story changes…but my impression is that the banks are not eager to help their debtors, I mean customers. Especially, when they have already been bailed out by Uncle Sam and the apparent market recovery at hand.

Does anyone really believe the banks are out there to “help” you save money in their own expense? To me, they are doing the bare minimum to be able to please Uncle Sam for bailing them out. So, that Uncle Sam can make claims that the current program is a complete success!

I have to say that everyone’s experience with the program has to be unique, but the overall consensus seems to be “Where the XXXX is My bailout?”
Posted By Jason, Atlanta, GA: August 6, 2009 4:32 pm

I was all cheers when I heard about the Obama plan, and our mortgage company even told my family that the Obama plan would help us to save our home. My wife and I both lost our jobs in September 08 and I immediately called Wells Fargo to explain our situation. They told us we had to miss 3 payments in a row before they would talk to us about modification options. After two months, we saved enough money to make a payment. When I called Wells Fargo to check on our status, they told us we had to start over, missing 3 months IN A ROW. After 11 Financial Worksheets, 2 Hardship Letters, and constant updates, we were told in July that we didn’t qualify for one plan because we were too delinquent. What? Whose fault is that. We did everything they asked us too, and we called 1 time every week to check our status. Well, last week (August 09) we got our modification. READY FOR THIS??????
Our original mortgage was $1,386.29 NOW, our MODIFIED MORTGAGE IS $1,501.23 You read it right! IT WENT UP! My friends are shocked! I’m seriously numb, and I have no idea what to think. I have no idea what to do. I’m exhausted.

Charles Rowley in Florida
Posted By Charles Rowley, Venice Florida: August 6, 2009 4:18 pm

Nightmare! I’ve Wells Fargo Home Mortgage, I filed with WF on Oct, 2008 by phone qualification is acceptable to WF for loan modification when I was working at that time but shortly I got laid-off then Jan 2009, finally WF told I need to do their application plus other expenditure listing to approve I’m in Hardship, which I did then three months of follow up then one day I called to know I need to do second one in May, after more follow up to know WF is reviewing my case asked me to be patient, luckily I got a new job at that time in May, so I asked WF Home advisor do I need to do loan modification or refinanace instead, they told me I’ve a choice, so now I let WF Home Mortgage to do whatever they like for loan modifcation, because I decided to work with other lenders for refianace now, WF is not doing their job when I saw the interest rate was low so I pushed them to lock in then to find out not even close to that part yet. WF HomeMortgage is design to let those people to through foreclosure then just resell to others, because WF is not profiting this so they rather sell lower cost to new buyers. I think banks are not follow the US Governement ruling, this ruling will cost WF more money, bankers don’t care.

Obama’s Government should know this and launch some sort of investigation, people are losing their homes, this is wrong sirection we’re heading.
Posted By JJ, Saratoga, CA: August 6, 2009 4:08 pm

We have been trying to get WellsFargo to do a loan mod since Jan. 09.We’re told there isn’t anything they can do for people like us.We can afford to make our mortgage payments but we are about 50% underwater. We live an area that has been hard hit buy rediculous loans that people could never afford. We have a 30 yr fixed rate loan and have about $100,000 invested in our home. We paid $400,000 for a home that is now worth less than $200,000. They will not even reduce our interest rate because we are too far underwater. We just keep submitting our paperwork every 90 days because it expires and are being told that they come up with new programs all the time — but we never qualify!!! We are considering walking away. Why keep paying and throwing good money after bad. We did what was right when we bought a home we could afford and now all of us who did this are the ones being screwed!!
Posted By Cindy Litchfield Pk Az: August 6, 2009 3:52 pm

Our mortgage company is Wells Fargo.My husband took a different job and we lost some income. We have two children. Both him and I have stable jobs but with the lost income it was becoming harder and harder to make ends meet. We applied for a loan modification back in April. We got a letter in May saying we had to resubmit all of our paperwork. When I called to check on this they said they didn’t have the paperwork, we pressed further only to find out our paperwork was sitting on someone’s desk. So we waited and waited. We started getting phone calls giving us updates that they are working on it and it was on a Negotiator’s desk. We were told a Negotiator would call us. Well we never got a phone call. We got a letter in the mail at the end of July, 3 months later, telling us of our agreement. The agreement was to pay our regular monthly payment for the next three months and then the fourth payment was a balloon of what was behind (because we were advised not to pay while we were waiting). if we paid the 3 payments on time, they would consider taking the 4th payment and do a modification. The letter made it clear that we had to qualify at that time for the modification. The problem is we submitted all this paperwork because we were having trouble paying our mortgage payment. So how were they helping us, they didn’t lower our payment. So we called them and told them that the agreement was not what we applied for. They told us not to sign the agreement and resubmit everything. We called a week later to check on everything and they told us that we had to pay the agreed payment even though we didn’t sign the agreement before they would consider helping. We have explored many other options to no avail. Since our loan is a VA loan we called them to see if they could help. They told us there was nothing they can do. So here we are. We have come to the conclusion that we are going to try to short sale our house and if it doesn’t sell then it will go to foreclosure. Wells Fargo strung us along and lied to us several times. Instead of trying to help people to stay in their houses, they could care less. I will never ever deal with them again.
Posted By Amy Martinsburg WV: August 6, 2009 3:41 pm

I heard today that only 15% of the people eligible for the home modification program are taking advantage of it. I was one of the people that tried to take advantage of it immediately upon its inception. I called my mortgage company as soon as the Obama modification was made public and I was told I needed to call back after a specific date in April to be apply to apply. I called back as they instructed me to do and they gave me a list of information to supply them with. I did this and kept calling them to make sure they had all the info and they said they did and someone would be contacting me. I finally got a letter, about two months after I submitted my application, that stated I was denied and gave me a number to call. I called and they said I hadn’t proven I couldn’t refinance through them. I worked with them and ultimately the holder of my home equity loan would not subordinate, so it was determined I indeed could not refinance through them (which they were goig to charge me $4,000 for anyway, only worsening my situation!). They put me back in the modification pool of calls and after being transferred multiple times, they determined they had never sent me the packet for the Obama modification, despite my clear request for that specifically. They had tried to run me through their own modification program which ultimately tried to divert me into refinancing so they could collect more fees from me.

I finally got the correct modification papers and submitted them a little over a week ago, and now I wait again….nearly 4 months from the time I initiated this process. I wonder how many other people are getting this runaround and are trying to be diverted to programs that will make the mortgage company money, instead of being given what they are actually asking for, the Obama modification packet. I truly believe this may account for the fact that such a small percentage of eligible people have applied. It likely is not that they are not trying, but they may be being misled. They get the denial letter from the wrong program and do not follow up, or do follow up and are told they need to try to refinance for the exorbitant fees (when they are already in over their heads), or they just get frustrated with the process and being misled and diverted.

I have made every mortgage payment, on time, and am trying to be proactive in preventing my situation from getting unmanageable. After all that has gone on and the position the mortgage companies are in with all the foreclosures, it seems they are still being motivated by greed.
Posted By Gretchen, Minneapolis, MN: August 6, 2009 3:35 pm

It sounds like my husband and I should count ourselves lucky, in that our modification was approved. It wasn’t necessarily timely, but it was smooth. We started last October with a call to Chase, requesting modification. We were told it could take 8-12 weeks to hear back from an analyst. Someone called in December letting us know that we were being put into forebearance. We had to make 3 on-time payments as an act of good faith. Those payments were made and in April we were told we’d have another review to see if our modification could be approved. This is the only time I got nervous, as I assumed this was already a done deal. Our mod was approved in June and we signed our papers in July. Not only was it approved but our rate went from 6.50% down to 5.25%. To say we’re grateful is an understatement!
Posted By Lynn, Pflugerville TX: August 6, 2009 3:34 pm

My husband lost his job as a market research analyst in November 2008, and has been job-hunting ever since, to no avail. Since we know we cannot qualify for a refinancing of our current mortgage based on my salary and his unemployment, we applied for loan modification in April 2009 through our lender, National City. We filled out everything properly, and they even recontacted us to get more information in June, which we quickly sent. In late July, we got a call from National City stating that the investors that have control of our mortgage have not yet bought into the Obama stimulus plan, so we cannot get a loan modification. National City did say that this could change at any time, but gave no time frame. Wouldn’t it have been nice to have known that in April when we first inquired about applying for loan modification? We’re back to square one with no hope in sight for a loan modification (and little hope for a job for my husband).
Posted By Winona Patterson, Aurora, IL: August 6, 2009 3:29 pm

I am stuck in the single most ridiculous government sponsored hell!

I am being told by Homecoming Financial that I have to miss three consecutive payments before I qualify for loan modification, and I am unable to refinance without a substantial cash outlay because of the massive drop in value my house has experienced.

So, because I am responsible, although struggling badly, I get no relief from the Obama plan. I just get the pleasure of paying taxes that are meant to bailout Wall Street and and fund it’s Lawyers! Yippee.
Posted By Peter, Atlanta, GA: August 6, 2009 3:18 pm

We are middle class, (Not the $250k middle class; the $50k middle class) I am looking for work following job cut-backs. To date, we have spent $1,100.00 in an effort to refinance our Home Loan. We don’t have $1,100.00 these monies are on credit, now accumulating interest rates at outrageous rates! In each case, just as the loan is about to close, additional monies have been requested of us at closing. In the following scenario, $55,000.00! Monies that we do not have. Yes, we receive and sign the required “disclosure” documentation. But, as we are told these “dollars” are only “fair estimates”.

Following is an example of how “banks” are handling the trillions of dollars provided by our tax dollars. I suggest an investigation into not only CHASE home lending, but other lenders and brokers as well. The REAL middle class needs to be in a position to EASILY and COST-EFFECTIVELY refinance/finance our Homes. How can we take advantage of the newest greatest low interest rates ever? How can we afford to stay in our homes and to raise our families? We are desperate.

March 26, 2009
Dear Mr. Robertson – CHASE
We are requesting a refund of our $750.00 and then we will not pursue our refinance with CHASE or the fraudulant appraisal by CHASE any further.

As stated by Ms. Miller, “this has never happened before”. We believe that the appraisal has now been tampered with and that it is no longer valid. Please refer to the attached email to Ms. Miller. We do not wish to continue to work with CHASE as a lender. CHASE MUST REFUND our money.

Dear Ms. Miller,
Viki L. Miller Chase Bank HLD Senior Loan Processor
Please send me a letter, via US Mail and email, describing in full detail and providing all revised appraisal documentation per our telephone conversation on March 23, 2009 concerning our Home Loan. During that telephone conversation, you told me that Mr. Richard Walters, the Appraiser that CHASE hired to appraise our home was told to lower his original appraisal from $335,000 by Underwriting at CHASE. Mr. Walters, at CHASE Underwriting’s request then did lower his appraisal to $280,000.

We still have not been successful at re-financing our home. We did not get our money back.
Posted By Violette, Roswell, GA: August 6, 2009 3:10 pm

Wow, I feel better seeing I am in the same boat with a lot of others trying to get help with my mortgage.

My mortgage company is Wilshire Credit Corporation and they are no better than the others. My husband is laid off and has been for over a year. We are struggling to pay 2 mortgages. We got taken when it was time to refi this one a few years ago and were told it would be 1 mortgage and fixed. Went to closing and it was 2 mortgages and variable. One is 10.5, other is 6.8 but set to go to 11.5 unless they do something!!. We made the big mistake of listening to a sales pitch to consolidate our credit card debt and boost our mortgage. Now our mortgage is double and more than our home is worth. I too have applied for the HAMP. I have been waiting since March. Every other week I call its the same old malarchy. Fax in updated bank statements or some other bull and they do nothing. I’m current but we don’t buy groceries only maybe once a month, twice if we are lucky! I even wrote the president to let him know how bad this is. I think he needs to know from more people that the big mortgage companies got money and are not helping us out like they agreed to do!!!!
Posted By Mary, Union Springs, NY: August 6, 2009 3:06 pm

We are also fighting Taylor Bean and Whitaker.

With the crashing market here in Las Vegas the value of our house has dropped almost 50% from when we bought 2 years ago. We have called/emailed/faxed Taylor Bean and Whitaker multiple times every week since March. If we actually get through to a person (after being on hold for at least 30 minutes), they are never the one who can help us and then transfer us to another department. Usually in the transfer we are disconnected and have to start again. When you email them, you get a nice automated response that tells you that they are swamped and that someone will be getting back to you. In 4 months, not one person has got back to us.

Since due to our current value of the house, which by the way the news is reporting is dropping another 2-3% a month, we do not qualify under the home owner affordability program.

We are a military family and will have to relocate in the next year. When this happens we will not be able to sell this house because it is not worth what we owe. On top of that, we will have to at least rent another place in our new duty station. There is no way to rent for our mortage and no one would want to rent knowing they could go out and buy our same house and pay 1/2 of what our mortgage is and way less than rent.

Recently they told us that we could send them the documents and apply for hardship. We sent them all 3 weeks ago, and big surprise no response.

We are not sure what else to do. We have called the VA, they can’t help us. We have called the HOPE line, they can’t help us. Each and everyone tells us to contact our lender and discuss it with them. We would, if we could ever get someone on the phone that was finally in the right department – whatever department that may be!
Posted By Michelle, Las Vegas NV: August 6, 2009 2:53 pm

I have my loan with Chase as well, I have been “chasing” this modification dream for almost a year now without any real success. I have a higher than normal fixed interest loan with Chase , which is not affordable at this time- they decided not only to add my property taxes in but to increase my loan payment from $1300 a month to $1974, which is totally unaffordable at this time, my payments fell behind I went into foreclosure status. Have mailed, emailed, faxed modification paperwork at least 4 times-(lost, never received, can’t find it, did you really send it etc) was put on a “trial modification” at $1466 (still higher than my original payment amount) called them back they reduced trial down to 31% of my GROSS income- which is nothing of what I take home. I have a 14 month old with a disability as well as an 18 year going to start college in the Fall. /reduction of my income. I just want them to give me a temporary break on my interest rate- and they won’t let it happen. I have contacted a non profit organization NACA- they started out gung ho to help and now it has taken weeks and weeks just to get a status report on my paperwork. I have given up with them. I contacted a lawyer in Florida- they specialize in forensic studies of loan documents – which sounds like a great gig in the present time- but they charge a fee of $2400 to help you- I have figured out that the banks don’t have a reason to modify and get their $1000 payment from Obama- when they can in turn foreclose and get $12-20,000 from their investors(approx. don’t quote me- just know its more to their advantage it seems and their actions portray this as well)…yeah I dont see their incentive to keep my loan nor try to help me keep it. I feel very disheartened- and now is the time to get a new loan as interest rates & prices are at an all time low… I am just sad that there truly isn’t anyone who wants to help those already in their homes stay there. I havent given up the battle yet- I will continue to contact my local representatives- write on Obama’s website- contact every agency I find that states they can help without any fee’s until I get a resolution : ) Good Luck everyone!!! I really hope someone from Obama’s administration looks at this page!!
Posted By Dani, Ashaway, RI: August 6, 2009 2:45 pm

I started working to modify my mortgage the day Obama said the Banks were open for business. That was March 15th. After putting all the paperwork together and taking it in to Bank of America, I did not hear from them for 2 months. I called once a week for status. I was told they were working on it. finaly I called Tim Geitners office and they sent me to someome that took down some info. They told me to call the Bank of America in two weeks. By July I was finaly working with someone at Bank of America office of the Chair. Here is the Phone #800 838 6238 ext 2309 Irene. She was with the complaint Department. I now am working with another person named Veronica. I have been rejected once now. She is trying on more time. I seems like they want the house back. I realy have no hope that this will work out. I will never use a large Bank again!! B of A or Citi or any of them.

By the way you ought to look into the ARC loan with the SBA. I have tried to get it for my Business. This one is imposible. I would bet they have not given any of this money out. We were rejected on it too.
Posted By Bruce Anderson, Mendon, Utah: August 6, 2009 2:31 pm

It’s another day, see my last post below, from yesterday.

I called to check to see if my file had indeed gone to underwriting. NOT! Shonda, at Chase, did not code it properly in the computer to get it moving.

So a nice chap, Rory, has assured me that he has coded everything properly. First the file goes to processing for a quick review/audit to verify that Rory was correct in sending it on for Underwriting approval. After that short stop, it will then go to Underwriting.

I am still working on the premise that we are looking at another 30 days. I was told that there are 60,000 loans in the pipeline.

I told Rory, that I would be calling back next week to check his work. He assures me that he’s been with Chase for approximately 30 years and he has done his job well.

I will still call.

Also, I will fax in new paystubs, over the weekend, and request they be added to the file.

I am trying to avoid Chase’s quest for additional documentation by staying one step ahead.
Posted By BMK, Phoenix, AZ: August 6, 2009 2:26 pm

Earth to People!! After reading all of these, I just have to shake my head. Do you not realize that there are organizations that work strictly for the purpose of modifying YOUR loan? Yes, it will cost you a little bit of money (anything higher than a month’s mortgage payment is a waste of money), but think how much TIME, ENERGY, and STRESS you will save if you have someone doing the legwork for you. This someone knows exactly who to talk to with your lender, exactly where to send your paperwork so it doesn’t get “lost” and exactly what paperwork you need so there is no holdup. Why would you want to do it on your own? After reading all of these, do you trust your lender? I wouldn’t. I also wouldn’t trust a mortgage broker who decided to get into loan mods either. There are a lot of good people just waiting to help you. Quit being proud, quit being cheap, and quit thinking there is no help for you. There is. You get what you pay for, so if its free, you will receive “FREE SERVICE” Think: Restaurant vs. Soup Kitchen. Take matters into your own hands. Stop depending on the people that put you into the loan to get you out of it. Hope this helps!
Posted By Robyn Govert Phoenix, AZ: August 6, 2009 2:21 pm

I applied for a refinance through Countrywide/BofA under the Obama plan in late April. My previous financing was for a 15 year mortgage, but since then both my husband and I had lost our jobs and our income is now significantly lower, so we wanted to change it to a 30 year mortgage in order to cut the payment nearly in half. I was told I met the criteria and I paid the $400 application fee. I received the initial paperwork, signed and returned it within a week of applying. For the next three months I had no contact whatsoever from BofA even though I left several messages for a return call. In July, my checking account was mysteriously credited with the $400 application fee.
I talked to someone on the phone at BofA who gave me the e-mail address of my original BofA representative and he responded to my e-mail by telling me that my refinance had been denied because of a bankruptcy within the last two years. The bankruptcy was in 2004 after we were the victims of fraud and we were released from it over a year ago. Earlier when I had applied I was told that they couldn’t refinance because our income was too low. I am not trying to get any additional money, so what sense does it make to refuse a refinance so that I can afford the payment? I have tried to contact BofA but have received no further response. I have continued to make my payment but with the understanding that my payment would be reduced I have put off payments of other things. Now I don’t know what I am going to do. I can’t keep this up on my current income. I guess they would prefer to force me to default.
I would like to know when I get my bailout?
Posted By Nora, Cedarburg, WI: August 6, 2009 2:13 pm

Posted By JOHN, COALINGA CA: August 6, 2009 2:02 pm

Reduced salaries and cancelled bonouses resulted in me falling behind in my mortagage. I immediately contacted Chase Home Finance and applied for a loan modification, back in April. I went right to their office in Paramus with all the proper documents which they said would certainly fast track my application. I’ve followed up with my representative every 2 weeks or so looking for updates and have yet to receive any solid status. Each time I call I get another delay. In late June they told me I would certainly know by early July. As of today–nothing. My representitive told me that even if I do not qualify, Chase does not notify you – interesting…how are we to get through this??
Posted By Susan, Suffern, NY: August 6, 2009 1:55 pm

I tried to modify my adjustable loan also with my lender and they ask for my information i give it to them at the time i was working i did it three times they still cant modify my payments and i think im getting closer to get a letter soon. If they cant modify whats the use of getting all that stimulus money they should give it to the tax payer and let the tax payer pay there bills and pay back the govt. thanks
Posted By Anthony Las Vegas Nv.: August 6, 2009 1:39 pm

I’m saddened to hear that there are such bad experiences- we were fortunate enough to have a relatively painless (if a bit drawn out- about 2 and a half months) refinance, and moved from an I/O ARM to a 30 year fixed with a better rate once this package went into effect.
Posted By Jonathan, South Riding, VA: August 6, 2009 1:29 pm

These blogs are scary…As I also have a home mortgage through Country Wide/ BofA and have now for several months been trying to get our home loan modified. Initially every time I called in to find out what the lender could do for us, I got a different answer every time except for them constantly telling me they won’t do anything if we are not 3 months behind in payments, which is a absolutely ridiculous suggestion. We also currently have PMI and was told there was no help for us until a phase II was released for any refinance options. Every time I call back on the refinance option they keep telling me the release date keeps moving back and has been for several months now from when they told me this would be released and something that we could potentially be eligible for. I was finally able to find out what we needed to do to get our information reviewed for the modification, all the pay stubs, W2’s…and so on. I faxed that information over to them had to wait 5 days before they could even tell me if they received my paper work. It has been over a month now since my information has been sent, I have been calling a couple times a week to check in on them, and all I get is no update yet, and a couple of times the rep wanted to go over my financials again, which I sent in paper work for and also spent a good 2 hours on the phone updating their records prior to me sending them all the necessary docs. No one over at BofA is on the same page, and feel that we will never be helped as we are current on our payments, and no one over at BofA knows what is going on. Something needs to be done to get BofA to process the requests timely as stated by the stupid Obama administration. I have been seeing stats of what has been paid out to help homeowners and the percentage is still in the single digits…what are they doing with all this money??? Don’t they understand that this is a timely issue for home owners and the process can not and should not take over 60 days to process. I see goals set by lenders to help so many people within the next couple of years…do they really think if people are struggling now will make it for another year or two?? These people are nuts and will find the foreclosure rates will continue to rise at their pace.
Posted By Ryan Minnesota: August 6, 2009 1:13 pm

We have been trying to modify our home loan with Countrywide now Bank of America since June 07. Since then, every excuse from a so-called rep has been from it’s being reviewed to we’ve somehow lost your documents (paystubs, financials). We have lost all faith in our mortgage company and feel we are fighting a never ending battle. I once told a countrywide representative that it must be nice to have a job where you pick up the phone from 9-5 everyday telling most of your customers, “sorry, no information for you at this time, but by the way, when will we be receiving your next payment”?!
Posted By BW, Hartford, CT: August 6, 2009 1:13 pm

I had a bad accident in my home on Jan 15th 2009 and now have a spinal cord injury.My income has changed drastically and I started in Feburay (after getting out of the hospital) to do a loan modification with Wells Fargo..I still get the same answer today I got 4 months ago..”You are under review”. I have worked all my life and have never been late on my payment.I called Freddie Mac and they said i qualify for the HAMP but yet i wait. The fact that i have had to run up my credit cards just to hold on and make my payments is only hurting me in the process for they tell me im current…The worst thing is I can NEVER talk to anyone who can really help me ,it is always just someone answering the phone who just looks at the file and tells me its in review…Why cant i talk to who it is review with…”OH WE CAN’T GIVE YOU A NUMBER FOR THEM” gezz
Posted By Anthony Wilson Gadsden AL: August 6, 2009 7:46 am

I too just recently applied for this program. I was told by Bank Of America, that they would need $2500.00 up front to give me a modification. This $2500.00 would show my commitement to getting a mod.

I was told the reason this is requested is because i have had 3 modifications in the past. I have not had 3 modifications. I had a repayment agreement 2 years ago, that i could not afford after agreeing to it as my husbands hours were reduced. I then was given a modification that actually increased my payments. Shortly after that, my husband became completely unemployed. At that time the attorney general’s settlement with Countrywide was announced. I applied for that program, which reduced my payment, but it put me in a 10 year interest only loan and then reverts back to a 8% fixed. My payment will increase on a yearly basis until that 10 year mark. I currently am again behind. This payment i have now is about 36% of my gross income. I am trying to get under this MHA program to lower my payment to the 31% MHA guidelines and get a lower fixed rate that will help me stay in my home.

I did the trial eligabilty calculator on the Making Home Affordable Site, and it states i am eligable based on my info i submited. I understand there are other peramiters.

I dont understand how BOA is able to get away with this?
Posted By alison, Kirkland Wa: August 5, 2009 10:29 pm

I wrote earlier but forgot to tell you
I think the only way we are going to get our loan modification is for the
Government to take the money back and
modifiy our mortgages themselves. They
should be fine without the money since
they have enough to hand out millions
to each other of the country tax money.
They must think we are pretty stupid.
Posted By San Francisco, Ca: August 5, 2009 9:54 pm

My story is the same as a lot of people
I have done everything Wells Fargo has
asked me to do to get a loan modification. Hardship letter, 3 payments. I made a payment this months
so I wouldn’t get further behind. I called yesterday and asked where I stood and he said I was five months behind. I told him to check because
that was wrong. He said they are not
counting the three payments of $975.
Those payment are being held for the
loan modification process. I think they
are doing this to show of the books that they have a biger loss to get
write offs. HELP
Posted By Anonymous: August 5, 2009 8:14 pm

This is NOT an Obama issue. This one belongs to the banks. We have kept up with our payments, but we are on an ARM set to adjust 10/09. We have contacted Hope and Hope Now, met with a HUD counselor and repeatedly contacted our bank, all to no avail. We had our original loan with WAMU, which has become Chase. After submitting a loan mod application in April we got no response. We then called and they said that they had moved and could not find our paperwork. So, now it had been to long, and we needed to resubmit everything again. We did this at the end of July, and of course have heard nothing.
When we tried to work something out to get a fixed rate on our HELOC, we were offered a fixed rate 4 points above the going mortgage rate–now there is a deal.
When we originally took the ARM loan, we were assured that we could easily refinance in 5 years. Of course, now we can’t because the house has lost so much value. And, though we make about the same income as 5 years ago, we do not qualify for the SAME AMOUNT loan. Go figure.
So, like all others, we have been trying to get through and get some answers from ANYONE since Dec 2008. Clearly, the banks have to be making more money on writing oof these loans, than on refinancing them. I do not understand, and we are as frustrated and paniced as everyone else. Unlike some people however, we built our home and inversted hundreds of thousands of cash into our home. We stand to lose much, while the banks, which have taken our interest payments every month for 5 years, stand to lose???? Not sure.
Posted By Deb Diaz, Gilbert AZ: August 5, 2009 6:01 pm

I’ve been trying to refi since feb.first countrywide gave me the run around now bank of america. they tell me we cannot refi because we have pmi on our loan and that they have not worked that out. why should that matter? either leave it there or take it out. At this point Im thinking they just dont want to do it and are waiting for interest rates to go up and than offer the refi. We bought a new car, we invested in America where is the help when you need it????
Posted By marisol,allentown pa: August 5, 2009 4:48 pm

I have a 7% Freddie Mac loan financed with Wells Fargo. Everytime I talk to someone at Wells Fargo, I get a different answer on why my loan is not “qualified” for the mortgage refinance. When asked why it is not “qualified” I never get an answer.
Posted By Daryl Jenkins, Lawrenceville GA: August 5, 2009 3:29 pm

Tried to work w/Chase…forget about it. Bought our house for $610K in ‘04…they are selling it for $449K now and hoping that they don’t have to go lower…others like ours are selling for a lot less but we had a big yard. Stopped paying our mortgage when it hit $6,500 a month!!! Didn’t want Chase or Ocwen to lower the mortage to match the current house value….just wanted them to reduce the interest rate so that the home was affordable. Ocwen offered to take our 2nd from $1100 to $400 but we had to waive all of our legal rights. Couldn’t take that offer since we were chasing the people at Chase for a loan modification. After a year of working with them, they came in with a 1% reduction in interest rate….Hmmmmm…let me think about that….NO THANKS. By this time, Ocwen’s offer was off the table too…and don’t try to call them. You get a direct line to India where they have outsourced their customer service. OMG!!!! The banks now have the house and we are moving on. We never bought a house with the plan of going into foreclosure. Almost had a nervous breakdown through this entire process. Our marriage; our kids and nerves all suffered through this. It’s time to move on. At the end of the day, a house is a house and we’ll be able to revisit home ownership in 3 years and will probably be able to get something a lot bigger at a lower price. Until then, I don’t have to pay home owners insurance or make repairs on a house. We’re happy renters that have learned a valuable lesson. Good luck to all of you that continue on the path of loan modification. We really hope it works out for you the way you want it to. I wouldn’t wish this experience on my worst enemy.
Posted By T, Los Angeles County, CA: August 5, 2009 3:27 pm

I am a broker from CA. This plan simply SUCKS. Endless waiting time, unneeded trial period. People want to stay in their houses and pay as much as they can afford. The program allows you to reduce the current interst rate up to 5 years. What is going to be in 5 years???
Guys, open your eyes – the program WILL NOT WORK!!! PERIOD!!!
Posted By Broker, CA: August 5, 2009 3:05 pm

I have a current Wells Fargo Home mortage at 7.35%. Called to refinance
and was turned down. Need help fast.
WellsFardo offer no other plan or option for me.
Credit issues in the past prevented
the refinance, even though I have never miss a payment or even been
late in more than 7 years.
Posted By Wells, Senatobia, MS: August 5, 2009 2:36 pm

NO! PMI, PMI, PMI. I have been told twice a month since April 09 from BoA that I can refi if I want (no problem) but that I will then have to start playing PMI. So here is the number crunch. If I refi rigth now I save about $300. But then I have to pay about $165 in PMI. Net savings of $135 a month. But that $165 over 12 months is $1,980 a year that is not tax deductible. So my savings in the long run is very little to nothing.

Now the reason I have an issue with PMI is that I was told under the Obama plan that if you do not pay PMI currently then you will not have to after my refi. Boa’s loop hole is that even though I am not paying it, they are for me. Now if I refi I lose the no fee plan that I signed up with and thus get charged the PMI.

Back to my April statement. Twice a month I call BoA and ask if there is an update. Because since April I have been told that the Obama plan will be rolling out Phase II to address this PMI situation. On 07/17 I was told BoA will have an answer by 8/1. On 8/3 I was told by the middle of August. See the issue, this is what I like to call the run around…
Posted By Tom, South Bound Brook, NJ: August 5, 2009 2:35 pm

9 months of gut wrenching stress for me, my wife and 3 young daughters and still counting. Lost my job of 15 years in July ‘08. Am employed again after 8 months, but at a substantially reduced salary. First contacted BofA in Nov ‘08 knowing I wouldn’t have a new job soon enough and would start missing our mortgage payment. BofA wouldn’t help until we were actually behind. Called regularly for a couple of months thereafter trying to get help from them to no avail. As the Obama federal program regulations were not in place, we approached a not for profit organization NACA. They submitted a modification proposal for us in April ‘09. We were then served with a foreclosure proceedings notice at the end of June. We have continued to call BofA, contacted all our state reps and consulting legal representation to pester BofA any way possible to expedite a decision. As of last week we found out our foreclosure is now in dismissal pending a loan modification, so something seems to be finally moving, but we have yet to see the actual modification terms yet. You need to be tenacious and fight with every means at your disposal. It has not been easy, so hang in there!
Posted By Christopher Durfee, New Berlin, WI: August 5, 2009 1:42 pm

I can’t believe Banks are being bailed out, but can’t pass the bailout along to the average consumer. I have been waiting since April to hear from Chase regarding my application for a modification. I lost my job (at a Bank) and was unable to find a comparable position. I am currently earning a fifth of my previous income. However, I am told that I can not even be given an estimate as to when my case will be reviewed. I am so angry. I hate Chase.
Posted By Amy, Chicago, IL: August 5, 2009 1:42 pm

We thought we had seen the worst of the Michigan housing market when we purchased our house – but it dropped an additional 20% in the last 3 years. We contacted our mortage company and they spent more time trying to talk us out of a modification than trying to help. We were told that we would be required to have PMI (we don’t now), we would have to escrow (we dont now) and that the interest rates weren’t that attractive (I dont know how 4.78% vs. 6.5 more attractive). I finally just gave up and decided it wasn’t worth it. I’ll throw extra money at the mortgage. Like the gentleman in the first story – it would have given us some breathing room. I took a 7% pay cut. If you are making the payments and current – they are not willing to work with you. Better yet we have a house in Indiana that hasn’t sold and we can’t do anything with that because when we refinanced 6-8 years ago instead of a mortgage the broker wrote a home equity loan – so that house doesn’t qualify for relief because of the way they wrote the paper. Obama and his team of “wizzards” think they are helping, but it isn’t and with no bite to force the lenders to have to make modifications – 90% of us are basically left hanging with no recourse short of bankruptcy or a short sale – which hits our credit reports that the banks use to rate us moving forward….
Posted By Anne, SE MI: August 5, 2009 1:33 pm

Okay folks, here is my most current update. See my ongoing fiasco under BMK Phoenix, July 31.

I faxed all my most updated docs on Monday and I called today and spoke with Shonda at Chase, she confirmed everything was in order and that the loan was going into underwriting today. I will be calling tomorrow and asking for status. DO NOT, I REPEAT DO NOT listen to these folks or simply hang up and believe what you are told.

YOU MUST BE PROACTIVE. Be sure to write down every name and every date you speak to someone and keep calling. Because these folks are all new hires, expect that they do not have a clue.

Whenever I call the phone number it always says they are experiencing high call volumes, yet I never wait at all. They don’t seem to be that overwhelmed. Oh, and my call last Friday, I was told due to additional new government guidelines that not one Mortgage Modification was underwritten or approved in July.

More evidence that the program is just a HUGE MESS . . .
Posted By BMK, Phoenix, AZ: August 5, 2009 1:26 pm

Requested home loan mod. Told we qualified, sent in loan mod fees and were told documents would be on the way. We were told to make reduced payment which we did. After 2 1/2 months of making the payment we were directed to make while waiting for documents, we got foreclosure notice on front door. This was first time we knew we didn’t qualify for mod. Bank said 1. we never sent paperwork back (we never got any from them to fill out) 2. Indymac doesn’t do home loan modifications anymore. Now we were told we had to pay balloon payment and much higher monthly payment if we wanted to keep our house. We went out and sold everything we could to come up with money. We were charged late fees, interest, penalties and attorney fees, because we had not made full payments, which by the way, was never disclosed because they gave us no loan modification documents, just a verbal agreement over phone. Finally, we were given a forbearance agreement. We are not sure account is being credited even though we have made payments exactly to the letter of the agreement. Today, I had someone who kept walking by my house, and I finally went out to see why he was there and he told me that my house was going up for auction tomorrow. Not sure if this was accurate information or not because we don’t get statements from this bank. Nothing!
I have made every payment since forbearance agreement and made them on time and in full. We called an attorney and were told that if we have proof of payments and they still sell our house, we will have grounds for a lawsuit. Lot of good that will do us if we loose our home. People are being tricked into asking for help and when they take it, they are sent into foreclosure because if you don’t make a full payment and make the payment that bank agrees to accept, they say you didn’t make a payment at all because it was in full (the original amount).
They tack on late fees, penalties, interest and attorney’s costs. These profits are far greater than the $3,000 that a bank gets for modifications and they are not regulated at this point. Only people who are able pay attorney will be able to get justice and if your losing your house, you probably don’t have money for a lawsuit.
Posted By Hope: August 5, 2009 3:06 am

chase what a fabulous joke told me not to make payments it would mess everything up now they are going to foreclose say i make to much money to get loan modification just keep sending papers to them and get transfored to different peop[le last time I was on phone one hour 20 min then got disconnected great customer service chase glad i got my home loan through you
Posted By david,brookville ohio: August 4, 2009 11:50 pm

We have been forced to file bankruptcy as National City Mortgage has really put us through the ringer. I lost my job and I called for help BEFORE I was late on my mortgage. They told me I needed to be 30-60-90 days late for them to really help me. Well, I had no other option I only needed help for one month then my income was back however they wont except a payment from me until we come to an agreement on a modification. NOT AN OBAMA modification a NCM mod. They have “lost” my documents that I faxed or “it was no complete”. Bottom line they do not want to help me and they will not take my payments, this has been going on since October of 08. They want me to pay foreclosure fees because they “accidentally” closed my mod request which put me through to a foreclosure attorney. This is a terrible joke. My assessment went down 20k this past year so they want me to pay $$230k in mortgage and “fees” on a house assessed at $179K. Nice, real nice
Posted By Bell Clive Iowa: August 4, 2009 9:36 pm

It is safe to say that the average American people, like you and me, are not benefiting from Obama’s mortgage rescue plan at all, but rather suffering from it. We need to arm ourselves and fight for something that we are rightfully given. And most of us lose the battle after a long fight. Has anyone had any success? I have been battling with my lender, Countrywide now Bank of America, for over a month now and I am just getting runarounds. Although the government plan states clearly that anyone with a mortgage of more than 31% of their gross income may qualify for the loan modification plan, Bank of America says they have their all guideline, which is 37%! Instead of helping me with the loan modification plan, they told me to cut down my grocery bill, sell the car, take a room mate or sell the house! What kind of service is that! Why can they have their own regulation when the government clearly states the rule? Who can we average American turn to for help?

We all have shared our frustration here, but what’s next? Who is going to stand up and say “We need to do something with the banks so they don’t run over the good American people any more”?

When can we have a government plan that works for us, the good American people?
Posted By Mary, Honolulu, Hawaii: August 4, 2009 9:36 pm

We applied for a modification from First Horizon Home Loans, who is supposedly one of the lenders that agreed to Obama’s program. We had a huge medical bill debt from two unexpected surgeries in the few months prior and my husbands hours were cut due to the economy until finally he was laid off completely in March. I faxed the completed application they provided online and didn’t hear anything back for a month. I finally started calling them once a week through April and was told they hadn’t received anything. Finally I called and they verified they had received my application but that the supporting documentation was not received, so I had to refax everything again several times. After a few more weeks of calling they finally confirmed everything had been received that it would take 30 to 45 days to review. It’s now August and we still don’t know anymore now than we did when we started this process.I still call once a week to talk and leave a message to the voice mail that says they will return our call within 24 to 48 hours. We still receive letters telling us how much we’re behind.We haven’t gone into foreclosure yet but life is in limbo.We’ve lived in our home for 11 years and want to stay here. You would think they would want help families anyway they can as opposed to letting them foreclose. I don’t get it.
Posted By K McCall, Emmett Idaho: August 4, 2009 9:34 pm

Why can’t you do a story about innocent victims of this mess, like we are? People who bought within their means, have perfect credit, never had a late payment, BUT are taken down due to the careless lending practices of greedy banks. Those of us who now have homes with underwater mortgages who would like to sell and actually move UP, but are stuck watching our neighbors foreclose. I am sick and tired of paying for those who look for handouts and help. What is the incentive to do the right thing? We pay our mortgage but cannot afford to sell because we would need $40,000 cash to close if we could even find a buyer. It’s so unfair when you need to move for a job, but are stuck watching your neighbors fill the U-Haul truck and leave you behind. These people never should have been given mortgages in the first place, let alone trying to help them modify now. They don’t have jobs! I’m disgusted at the greed of banks and mortgage brokers during the boom. Now we are stuck through no fault of our own
Posted By Tracy , San Antonio TX: August 4, 2009 8:30 pm

We filed our first paperwork with James B. Nutter in early April of late March. Then we were told, in writing that it would take several weeks. Then in June we received another request for the same documents we had filed in April and told it would take two weeks or so. Then we received yet another request of release of our income tac forms and were told it would take another 3-6 weeks. Then we were told we were in no danger of foreclosure since we had applied for the program. Less than 7 days from the last 3-6 weeks notice, we were told we could not even apply to the program. Why does the Federal government always put the money in the hands of profiteers and corporations. Our mortgage is on a 15 year note and it could easily be refinanced to an affordable 30 year rate with our arrears rolled into the loan, but now our credit is ruined and we wait to be homeless. Both myself and my wife of 33 years work full time and I donate plasma for $60 a week so we can survive. Thank you Mr. President. When you hand the next million to a foreign country, corporation of group of millionares, thjink of me and my wife out in the street. We hope our votes helped you with the “changes” were are experiencing. Hunger, stress, despair and now homelessness. That’s change you can count on. Remember?
Posted By Jerry Wilson: August 4, 2009 7:48 pm

I applied for a modification of my first mortgage with GMAC in June. Within two weeks I received a FedEx with the paperwork to modify my second mortgage, also with GMAC. I executed the paperwork feeling hopeful that the first mortgage would follow. Not so. My income was too low so the mortgage to income ratio fell below the 31% rule. I received a letter from GMAC recommending I sell my house. Apparently GMAC doesn’t share the philosophy behind the modification – to keep folks in their homes!
Posted By Ruth Kendall, Scottsdale, AZ: August 4, 2009 6:56 pm

Everyone should understand most banks nave two different loan modification departments. One is their own modification department and falls under entirely different rules than the Obamma plan. Unfortunately the new hires are not familiar with the Obamma plan. Banks are not making money doing mortgagae modifications.
So, when calling for an Obamma loan modification, the first question you should ask is, ” are you part of the Obamma modification team, or the banks?” If you get a bank modification person ask to be transferred to someone handling the Obamma modifications. They will transfer you.
Next, if you get a person outside the US, and communication is difficult, ask to be transferred to a US representative. You will be transferred on the spot.
Numbers play an important part in whether you are considered a modification candidate or not. Loss of job, and an inability to make mortgage payments does not qualify you.
If you have little or no income, then their position is going to be, we are unable to help. If you can not make your payments at any level, modifying your mortgage will not help keep you in your home.
Be honest and above board about everything you tell the modification officer. Stay on top of the process. What ever paper work is required, fax it to them. It does not matter how many times you call, rarely will you get the same person. It is frustrating, I know, keep calm and re answer the same questions you have answered before.
Write down the names, dates, and times of each conversation you have had. Do not rely upon the modification person to make accurate and clear notes of your conversation. Each call is recorded and that is why it is necessary to keep accurate records. In case there is a mix up, you can tell them where and when and to whom you spoke.
During the process Be prepared to provide the same records several times. If you pre qualify for the Obamma plan, updates on pay stubs, and checking accounts will be required. Make copies of everything you send and as I stated earlier, stay on top of the process.
The Obamma plan has nothing to do with credit. Credit does not matter. All that matters are earnings, to expenses, to value of your home and the actual cause of your hardship. Unfortunately losing your job is not enough. As I stated earlier, if you can not afford to make any mortgage payments, you will not be considered a candidate for Obamma’s plan.
Don’t let hearing different advice from different people throw you. For instance, should I make a mortgage payment if I do not hear from someone within 90 days? You might get a different answer from everyone you speak to.
You need to get pre qualified. Once you are pre qualified your trip becomes easier. The people you deal with understand the system better, it’s very upsetting, but it gets easier to believe something good will happen.
It took many attempts and long anxious phone calls. But now I have received my loan modification program from the Obamma plan.
It’s the plan that goes to Fannie Mae for final approval. I was asked for up to date documents. I provided all the necessary information required of me. I signed and faxed back the affidavit of truthfulness. It is perjury to lie and that is the purpose of the affidavit. A signed 4506 was also required. This form gives the modification officers permission to review already filed income tax returns. This is to make sure that you are providing accurate information and that your hardship letter is for real.
Once you get this far, an approximate dollar amount of your modified mortgage payment will be sent to you. It is necessary to send a cashiers check when making your first payment. All subsequent payments can take any form of legal tender. Personal check, debit card payment over the phone.
Do not miss a payment. If you do not make
the required payments, in the required time, the modification will become null and void.
It does help the process if your mortgage is with a Federal agency.
I won’t bother to go into my personal story.
I will tell you it’s the equivalent of going from a smoking car, into a burning car, and then driving off the edge of a cliff.
I have not been officially approved for a loan modification. I know my numbers and circumstances have been presented accurately and truthfully. I do believe I will have my home saved by the Obamma plan.
Good luck to everyone. We are in rough times.
Posted By GI Scottsdale, AZ: August 4, 2009 6:40 pm

I have a countrywide?bank of america loan, when my wife lost her job I contacted the bank, first I was told i was a countrywide loan so i could not be helped. The second time I called I was told that as of right now I was nto behind in payments and I should fall behind by 2 months and then call back. I called back to be told to wait until July 15th for a new program to come out, I call on July 15th and was told to fill out a hardship affidavit and wait until Aigust 1st for new loan to value program. On July 22th recieved letter stating that they were accelerating my payments have to pay by August 16th or someoen will come into my home and do an inventory to see if they want to foreclose on my house. I called put through to a collection agency and told we did not qualify for any programs and wifes unemployment does nto count toward income, just send them their money. On July 27 recieved a letter from collection agency under bank letter head telling me i may qualify for a home program, I called talked to collection agency said wifes unemployment does count, but still do not qualify. tried to set up repayment, was told unless full payment is recieved it is held in a kitty until total is avaible. which was admitted that all late fees and charges would still be accumalted. Who can you turn to for help when the banks refuse to talk to you.
Posted By Tom Comparetta, Forest VA: August 4, 2009 5:47 pm

I had a very bad experience. We tried to modify an adjustable loan – 11.25% original with Countrywide, now BofA. My modification offer was 9.25% and they made me skip 3 payments. I applied and got approved in January. I have been paying ever since based on modification amount but my credit report says I haven’t been paying for 9 months now and my bank holds money in “other fees” and does not want to release it – I guess it takes 90 business days. So my statements still show I am behind 2 months even though I am current. I hate BofA. I am just hoping after this settles down I can rebuild my credit to refinance with a local bank.
Posted By Kristina, Princeton, KS: August 4, 2009 5:10 pm

I thought I might have a “happy ending” to this whole loan modification mess but at this point, it’s just bittersweet.

After first applying for a loan mod (ANY loan mod!) in October of 2008, my husband and I were JUST approved for a loan modification. We didn’t purchase a home we couldn’t afford, we were the victims of a scam when trying to refinance a previous mortgage and we feel like we’re being scammed AGAIN by the mortgage company that was supposed to help us (Bank of America)!

Our interest rate was lowered from 11.625% ($2,500.00 a month) to 5% ($1700 per month). Sounds great, doesn’t it? It would be, except the mortgage company has also tacked on over $15,000 in interest on our mortgage loan – taking it from $234,000 to $247,000. So now the amount we owe is MORE than what the house is worth! We continued to make the payments so this amount cannot be attributed to late fees. How does this help us? And they’re giving us 7 days to approve these new terms or they will start foreclosure proceedings. This is Bank of America and anything you could do to help us would be greatly appreciated! PLEASE HELP US!!
Posted By D. Jones, Abington, PA: August 4, 2009 4:55 pm

We have applied for the Homeowner Affordability Act (our mortgage is owned by Freddie and I have lost my job) and have heard nothing from our mortgage company. Hours and hours on the phone on hold, no answers. Filed all paperwork March 20th, 2009. Thanks for nothing Taylor Bean and Whittaker.
Posted By Tara Murray Cherry Hill NJ: August 4, 2009 3:12 pm

I sent paper work in the end of March to be considered for a home mortgage loan modification. I call them weekly now that it has been over 4 months and am told it is in the process and someone will be contacting me soon. Of course I’m still waiting for the phone to ring….
Posted By Cynthia Reynolds, Tillamook, Oregon: August 4, 2009 1:02 pm

I was not able to continue payments on a second home and asked for a “deed in lieu of foreclosure”. I was given the run around. Countrywide/Bank of America asked for a slew of forms and docs, which I supplied. They wanted me to FAX more docs and said they wanted to do a short sale instead. I then got a realtor and we got an offer. Bank of America stalled for months and the buyer walked. They said they didn’t receive a form so I FAXed it twice. They received it when the realtor FAXed it.
Posted By AJ,: August 4, 2009 11:45 am

wow, after reading all the comments about the nightmares with the mortgage modifications, Im not sure i want their help!! Did anyone have any good luck with them?? I do wonder about Wells Fargo, who I have my loan with, they are slow at getting some things mailed to me. I may just walk down to the nearest wells fargo office with my filing cabinet and make them all the copies right there as they ask for it. Then I know they have everything and demand them to expedite it. Is that possible??? ah ha, I think not!

Like a million other americans, my pay was cut, and no luck in getting a 2nd job, I decided to go back to school to change my career from sales to medical.

Wish me luck folks, after all this is AMERICAN, THE LAND OF THE FREE AND ALLL.
Posted By TA, minneapolis, mn: August 1, 2009 4:30 pm

The scam of deceptive Loan Modification trial work-out claims by those lenders/servicers will come out on August 4th. Their fictitious and fake trial modifications that they claim they had sent to homeowners will from then be seen as false.
I like the idea of a CLASS Action. If all affected homeowners form a HAMP Implementation Network and help one another with info, legal assistance, even little cash contribution for legal fees to bring individual Foreclosure Default actions insisting on implementing existing government programs and guidelives, I believe the lenders will negotiate.
Posted By Yomi, Queens, NY: July 31, 2009 7:24 pm

Okay, This a long running saga so here’s the update, as of today, you can only laugh at the stupidity of it all:

I don’t even wait for these folks to ask . . . I just keep updating my file. When I receive paystubs bi-weekly I fax them. I just called Chase, again, and now the 4506-T needs to be updated and I must send another copy of a utility bill to prove I live at the residence because it can’t be older than 60 days, for either of these documents. Of course, another month has gone by so I need to send new bank statements as well. Paystubs and bank docs & a utility bill to prove residency are outdated after 30 days. Oh, and there is a new document that is needed in addition to the Hardship Letter that was incorporated into the Loan Application. Per Chase, the government wants a Home Affordable Modification Program Hardship Affidavit. So the nice phone representative at Chase was going to email it to me as soon as we disconnected our call. I’ve been waiting 4 hours and no document. But piss off Chase because I just went to Fannie Mae’s website and download the document from their site.

If you want to know all the rules regarding the Mortgage Modification you should go directly to Fannie Mae’s website so you don’t get completely raked over the coals. DON’T TRUST YOUR LENDER OR ANY LENDER!

So on Wednesday, August 5th I will be calling these LIARS, first thing in the morning. I intend to force it into Underwriting one way or another.

Currently, they have not adhered to RESPA guidelines. When you send in any documentation they must respond within 20 days and they did not contact me for 45 days initially. Loans must be underwrittn within 60 days and they are now overdue by more than 30 additional days.

Now, there’s the issue with the original appraisal that in and of itself is a joke. According to the appraisal I have a Fireplace, but I been living in this house 2 years and I just can’t seem to locate that Fireplace. Maybe, it only appears on Christmas Eve for Santa and disappears after the gifts have been dropped?

Of course, the appraiser indicated that home values were stable in the neighborhood. Pretty difficult to say that when the builder began decreasing prices and including upgrades as early as October of 2005 and I bought my home in 2007. Additionally, new purchase contracts the month I was closing were getting incentive up to $ 150,000 off the home. That put me $ 60,000 in the hole when I closed September 30, 2007. The appraiser calls that STABLE. NOT . . . Then the builder began in December 2005 and every subsequent year, thereafter, to have blow out sales at pretty much any price to unload Spec homes. VERY STABLE REAL ESTATE MARKET! The appraiser just values the house so the sale & loan are completed.

To conclude: I asked the Phone Rep if I fax the additional items how long before I hear something and its 30 days before it will emerge from underwriting. Sure, it is, 30 days and another 30 days and it reminds me of the energizer bunny. But his good news was that they have a system in place to now IDENTIFY the completed loan packages that did not previously exist.

WOW THAT’S EXCITING NEWS! We might all have to pee our pants.

Again, good luck to everyone dealing with the MORONS. I will keep you tell you what happens this Wednesday. It’s sure to very EXCITING!

7/16/2009 – Whoo, hoo! I just received a letter acknowledging that I sent paperwork in for the Mortgage Modification Plan. Let’s see I faxed it on 4/27/2009 and Chase promised a letter within 21 days. Actually, it was 42 days.

Previously, I called and they acknowledged the paperwork was received and they wanted updated Paystubs, Bank Statement and this is really funny a Rental Agreement for a Sold Property. They had already received the 2008 Tax Forms which clearly spelled out that the rental was Sold. So we made it crystal clear by sending them six additional pieces of information to prove the property was sold. I just faxed the documentation.

Now, I call again to be sure they received the documentation and they have it. Yeah! I explain to the associate that the rental property was sold and someone needs to learn how to read the tax documents they already have on file. So she then asks for W-2’s for 2008. Okay, I am looking at the fax cover sheet, provided by Chase, detailing all the documents they want and it does not ask for W-2’s. Oh, it’s the government who wants the W-2’s, she replies. Well we also signed a 4506 that gives them access to three years of tax returns. The 1040 returns show the W-2 income. How many times and how many ways do you need the same information? Dead silence on the phone. I actually thought she hung up, but she was completlely befuddled and could not come up with an appropriate answer.

This is priceless, she tells me it will be reviewed in 90 days add that to the last 42 days and the process is at 132 days. My call a few weeks ago it was only at 120 days.

I ask for a supervisor. Okay, no problem. Then she tells me his busy. I told her I would remain on the line until I spoke to someone. Meanwhile, I have now faxed the W-2’s.

So the Supervisor comes on the line and says that it could take up to 90 days, worst case scenario. I replied with why don’t you just wait until interest rates go up to 9 % and consider the applications at that time. I told him I was pretty much done with the whole scenario and I should probably just walk away. I don’t even have a late payment, but our savings is dwindling because our income was cut in half. (Read below for the previous blog on 6/16/2008)

This guy at Chase tells me that I am speaking to the Modification Area that handles only borrowers that are late no more than one month or not at all. Oh, and by the way, they have hired more people. Good for them. All temporary jobs that they will dump later. You have to feel for the employees, because it’s not their fault it’s Chases’ inability to run a business efficiently. But they certainly have received alot of loot for being so stupid. Anyway, I told him the W-2’s are on the way it’s a clean file, just get it done.

By the way there is no communication from these people, you have to bug them over and over again. I hope that I become so annoying they will just get it done and be rid of me, because I made it clear that I was not only blogging this on CNN, that my next step would be to send the loan package to the White House, AZ Senator & AZ Congressional Representative. If all else fails, I will just send it directly to Fannie Mae. Surely, one of the aforementioned will know what to do, NOT!

I told the supervisor, I realize he has to deal with very upset people daily, but in all honesty, I don’t really care. So just get it done.

Okay, now here is an award winning thought. If they modify a mortgage that has no late pays, will they report anything negative to the Credit Rating Agencies? I have no TRUST in these institutions. But I will be all over them and scrutinizing their every move, until they just get it done.

I wish everyone here good luck, going forward. Stay on top of these folks, until you succeed.

Below is the previous blog I sent on June 16 which might be of some interest to new bloggers.

The Mortgage Modification Plan is “The Great American Scam of All Scams”, maybe Mr. Obama should read these comments. Like many of the people here we bought a new home in September 2007 and put 20% down with a 30 yr fixed at 6.25%. My spouse was layed off in January 2008 and did not gain employment until September 2008 and at a reduced income which equals our yearly mortgage Principal, Interest, Taxes and Insurance. Our credit scores are 800++. We did not miss a payment, we have no car payments and we pay off our credit card monthly. We now just work to pay bills. We used savings to keep pace. We paid $ 478,000 for our home with upgrades and the builder is selling homes to our Canadian neighbors at any price they will pay because they shell out cash. Our home is worth less than our mortgage. We sent in a Loan Modification in April to Chase and after 30 days with no reply, we called. They said that they had the paperwork; however, it had not been assigned and that they are looking at 120 days for this program. We guessed that was for any acknowledgement, not necessarily an approval or denial. They do not have enough people to handle the volume. We only want to have our mortgage payment reduced to a 31% LTV. Any banker or mortgage company that suggests that people miss payments to get help is completely irresponsible and setting up the American Public to be further screwed. The lower your score the higher your interest payments for everything you purchase on credit. What a great idea to make money for the already greedy banking industry, “Who and What was Washington thinking about when they came up with this half butted plan?” As a previous mortgage underwriter of 15 years, I know this business inside and out and trust me after 3 years with, Countrywide Home Loans, I got up and walked out. They wanted me to sign off on an FHA Loan so they could get documents out to title for a loan closing to please the realtor; however, the loan was in no position to be closed. They simply wanted me to sign it without even reviewing the loan file. The Operations Manager was completely unable to make a decision, because she didn’t know how to underwrite loans. Boo, hoo, maybe a little training for managers might go a long way. I stood my ground and they attempted to reprimand me so I left and that was in July 2003. Angelo Mozillo (Countrywide Chief Executive Idiot and Thief). I use to tell people Countrywide was the next Enron, but no one wanted to listen. He should be hauled away and thrown in a deep dark dungeon where he can live happily ever after with the other rats, just like him. Trust me this has been going on for a very long time with all the lending institutions. Nothing has changed. Credit is now tight while the industry figures out new ways to get back to being rich quick and they will. First they get all the money they made over the last years, then our tax dollars and then because their programs were sold by untrained loan originators to people who clearly could not absorb these payments in any economic down cycle, they will get big bucks again from all the loan victims with credit ratings that will be in the dumpster for 8 – 10 or more years. Wow, what a STUPID PROGRAM. Totally disgusted. WAKE UP WASHINGTON. You have no control over these institutions. You can have as many regulatory agencies as you like and rules for them to follow and you will not stop these thieves. Washington has given them a Carte Blanche mentality. They are not Harvard smart they are Harvard thieves. They refer to it as talented and creative. In fact, they are creative, talented master thieves. They walk with millions and we have to pay so they maintain their lifestyles of the rich and fabulously talented. We will all survive this, no doubt, but we will all have to suffer together and don’t bet on any help. If you don’t fit into the box they have built you will get nothing . . .
Posted By BMK, Phoenix, AZ: July 31, 2009 3:54 pm

We are involved in a nightmare that just continues to grow more disgusting weekly.
We, due to legal problems, used charge cards (Bank of America)a sudden payoff caused us back in October to go over limit, just when the Banks were going crazy dropping limits raising interest rates at will every chance they could-never mind the fact I never asked for the limit that I had in the first place but now they decided to drop our limit and raise our interest rates We decided to try to refinance or cash in our 401K to get rid of Bank of America( we could not speak with anyone other than robotic so called staff at BOA. We went thru Lending Tree, and were quickly contacted by SurePoint Lending Brian Kruger who assured us they could help us plus save us a thousand dollars a month…I fell for Sales Pitch within 2 weeks we were at a closing but Bank of America was not paid off American Express was with us getting a large amount of cash back …why?are they in some kind of deal? we stopped the closing…they apologized reworked the paperwork to pay off Bank of America which over paid them by 2,000 after paying them and two weeks later getting a check back from Bank of America would you believe they are now billing us for 533.00 interest for the last month they forgot to deduct…they are thieves,
1 week later, I get a letter from SurePoint they sold my mortgage to Bank of America How deliberate is that… knowing the reason why I had come to them in the first place.
I do not want to do business with a company that is dishonest and disgusting. SurePoint can candycoat this sugarcoat this, roll this in lard
you mislead us bottom line. What is your deal with Bank of America? Should have told us….I do not want my loan thru BOA and I paid far too much closing cost to refinance again…
Posted By Sue Welsh West Palm Beach Florid: July 31, 2009 11:27 am

I am having my loan modification handled by Ocwen Loan Servicing, LLC and not by choice either. My original lender, Downey Saving and Loan “sold” my mortgage to Ocwen and I have nothing but frustrations!!!!! I am trying to get a loan modification and at first I thought it was going to be easy…NOPE!!! I faxed in all the required documents, then I heard nothing for weeks, I would call to check in, and they told me we have investigated and we need proof that you live in the residence, so I sent them my gas bill. Waited, and called again they still assume I am not living in the residence. Unless they got on a plan from Florida and flew to California and knocked on the door I don’t know where they came up that idea. Then every other day I would the receive the recorded message, “please call Ocwen at blah, blah, blah” and I did we would go over the same information and I was told for a good 60 days “your loan modification is the underwriting department waiting for approval.” Then in May I received a call from them asking when I would be sending in my payment, I stated I was waiting for the loan modification, they said, oh it was sent on April 30th…I didn’ receive it. So for 4 weeks back and forth of “we sent it to you again, you should get it in 24-48 hours, NOPE, again, and again, I think we did that about 7 times and when I finally received it June, I was already late on the May payment, so I simply asked them to change the date on the modification to reflect June instead of May…Nope, can’t do that have to reissue a whole new modification meaning I need to send new paycheck stubs, etc. Now they tell me my loan modification under Obama’s plan is denied due to my income, my paycheck stubs I faxed in July were MORE than the paycheck stubs in can that be??? I am in shock, so now they are telling me to fill out an expense form and they will try to get me into one of their own modification plans…..what choice do I have??? I am stuck!! I wrote a letter to the BBB and unfortunately they can’t do anything except send my compaint to Ocwen and I received a copy of that letter dated July 7th, and in the letter the Ocwen Rep. said I was denied the loan modification. I was ready to write the BBB and tell them that the Ocwen Rep. was mistaked, when in fact I received a call yesterday that is was denied. A whole 22 days after it was actually denied and during this time I had been in contact with them and they told me the sametime “your loan modification is in the underwriting department waiting for approval.” NO ITS NOT!!! You idiots denied me 22 days ago and have yet to tell me. Great customer service and communication you have with your clients…just really unbelieveable!!!! I hate OCWEN!!!!
Posted By Kelli, Valencia, CA: July 30, 2009 6:33 pm

I hate Chase. I hate Chase. I hate Chase. They lie. They are the worst bank. Have had my loan modification since March 09, no receipt of fax. Then April I refaxed, they received. Said it was waiting to be reviewed. Called in July, many times before that and was told none of the files were looked at. We were lied to, but they couldn’t say why other than guidelines changed and it would be another 90 days. Over and over when I call they want some other documentation. Still nothing as of today. Had to fax more info. About 2 weeks ago they offered me a credit card. Said that I could use it to pay my credit card. They lied. Can’t use it, sorry. Went to the bank today to pay my 29 day late mortgage, told me I couldn’t use it could only get a cash advance. Called the credit card cust svc told me same thing but when I called back they told me I could. Needless to say I tore up the card in front of the bank teller. Told he I wanted to close all accounts with Chase. I have none other than the mortgage and credit card. But had to call the credit card company to close it. They don’t like the fact I have a $12,000 limit and want to close it. They can stick their mortgage and their credit card where the sun don’t shine. The only reason why I got the credit card was to pay my mortgage. Oh and by the way. I can’t even use their forbearance assistance. Don’t qualify. Some say I do at Chase and others say I don’t. This whole Obama program is a joke. By the way my friend had Countrywide, they offered to lower her payments by $300, they asked her not the other way around. Then when BofA bought out Countrywide just recently they came to her and said they would lower her payments. She only had to fill out two pieces of paper, that’s it. Now her mortgage is getting lowered another $400. Here I wait and wait and nothing. I hate Chase. Many of the people that work there are very nice, but some of them don’t have a clue what they are doing. Is it possible to get a class action lawsuit against them? They are not following the government’s guidelines from what I see…..
Posted By Laura, Elk Grove, CA: July 30, 2009 4:11 pm

My experience is similar to others here. Called Hope Now in Dec 2008 to try to get a modification worked out. Hope Now referred me to a local housing counselor. They spoke with Wells Fargo and Wells offered forbearance but I must make 3 payments on time and with in a certain time frame. After that they would review me for a modification.

I did this and met their requirements so in June they said they would review my file for a modification. On Fri June 26 at around 6:00/6:30pm I received a letter from UPS which was from Wells. It was dated Wed June 24 and said they approved a mod but I had 5 days from the date on the letter to accept it (really I had less than that and what if I was out of town and didn’t receive it??). The mod did nothing but stack the past due amount on to the loan and gave me a fixed int rate of 7%. It was already at 7% because of the arm adj down from 8% to 7% recently. I was very disappointed and on Mon I spoke with the housing counselor and we called Wells and they said if I was unhappy with it I could refuse it and then resubmit for another mod offer. So that is what we did. I felt they could have done better, just not much of a mod.

Well this week I received a letter from Wells which denied my mod request saying I couldn’t afford it although just 3 1/2 weeks ago they approved me for one. They are now going to start the foreclosure process. What are they doing at Wells that makes any since. I have been in this house for almost 6 yrs. Although I did get into a a bad loan I feel in the beginning I have struggled to keep things afloat. In addition I’m better of financially than at any other time in the last 5/6 yrs. I guess I should have taken the original offer and just dealt with it. My housing counselor says Wells is the worst she has dealt with. We contacted Wells today (072909) and resubmitted some updated info to show that my financials are better than what they said in the letter. I hope I don’t lose my home and I would gladly accept the original offer. I’m lucky I still have a job and my wages have not went down etc. Now if I can just keep my home I will really fell lucky.
Posted By Steve, Pueblo, CO: July 30, 2009 3:17 pm

Last Sept.2008 I informed Wells Fargo that I was having problems with making my payments. All the paper work that was requested was lost. On numerious of occassions I have resubmitted paper work and talk to different representatives stated that I would have to be diliquent in my mortgage in order for them to help me. I was always told that you must make all of your mortgage payment. My family members was helping me, until thay couldn’t do it any more. I received a letter in the mail to stream line with this service (hoping that it might make a difference of 100.00) that sent my loan back to Wells Fargo, because of the ecomony, illness and the lost of my mother, my finances just had gotten worse. I call and this hope hotline took all the same information that I had and sent it back to Well Fargo. Once again I was told to do what I have already done and that they couldn’t help me. I have been living in my home for almost 14 years with my son that I adopted this Oct. and I have never missed a payment until this month (7/09). The response from Wells Fargo is that they can’t help me, becauee I haven’t been with them under this loan number for more than one year. Consquently, I have been with them for more than a year, just under a different loan number. They didn’t offer me any type of deferred payment plan, instead told me to just call a consumer counseling agency or other offical that might help me in my community. Also, that my foreclosure procedures will come about in 90 days. I can’t believe that all the monies that was funded to these banks for mortgages; Wells Fargo couldn’t re-modify my loan to what the valve has been accessed by the accessor office in Springfield MA Maybe, if that was to happen, people like my self can stay in the their home, and help their community to continue to developed. We (USA)at home are becoming a undevelop nation. I don’t know what to do, because I have stop paying my credit cards to pay my mortgage and my credit scores have drop 300 point. I did try a counsumer counseling payment, but had to stop because that was too much money. I was leaving my son and I with no food or gas to get to and from work or school. NO HELP IN SIGHT –
Posted By Gina M. Jones, Springfield, MA 01118: July 30, 2009 3:02 pm

We have been trying to get this so called “Mortgage Modification” program work for us to live in our home but be have been very unsuccessful and frustrated. It has been FIVE months we have been talking with CitiMortgage and we are back to square one. Every time we call CitiMortgage for this process, anyone we talk to at CitiMortgage has a different thing to say. We believe the guidelines that the government gave to these banks are clear and precise, its just that CitiMortgage acquired the government bailout to for its sole survival and not to help people like us.
I recently got laid off, we are maintaining the mortgage payment current somehow, and would like to get mortgage modification program start today, but this is what CitiMortgage told us today “Since you are not due for mortgage until September, you DISQUALIFY, our SYSTEM will not let start the process until September”. We wonder what kind of system that is not letting us take preventive action on time. CitiMortgage is just pushing the request for mortgage modification aside and buying time for something else, who knows what.
On the whole, the system at CitiMortgage is NOT WORKING for mortgage modification program.
Posted By ab, Manchester NH: July 30, 2009 1:28 pm

I agree with T from Denver I too am eligible and I am current on my payments. I called Country Wide back in March when I first heard of the program Back then rates were about 4%. I never got passed giving them my information. Every time I called a new rep asked for the same inormation I gave before. Finally After Bank Of America took over I thought I would get somewhere. What a joke. THey tell me now Iam not eligible for any programs they currently have. Before I hung up I told the rep that maybe I should fall behind on my payments then maybe I’ll get a call back with some help. What a waste of time.
Posted By JT, Wilmington, DE: July 30, 2009 6:37 am

My experience is similar to others here. Called Hope Now in Dec 2008 to try to get a modification worked. Hope Now referred me to a local housing counselor. They spoke with Wells Fargo and Wells offered forbearance but I must make 3 payments on time and with in a certain time frame. After that they would review me for a modification. I did this and met their requirements so in June they said they would review my file for a modification. On Fri June 26 at around 6:00/6:30pm I received a letter from UPS which was from Wells. It was dated Wed June 24 and said they approved a mod but I had 5 days from the date on the letter to accept it (really I had less than that and what if I was out of town and didn’t receive it??). The mod did nothing but stack the past due amount on to the loan and gave me a fixed int rate of 7%. It was already at 7% because of the arm adj down from 8% to 7% recently. I was very disappointed and on Mon I spoke with the housing counselor and we called Wells and they said if I was unhappy with it I could refuse it and then resubmit for another mod offer. So that is what we did. I felt they could have done better, just not much of a mod. Well this week I received a letter from Wells which denied my mod request saying I couldn’t afford it although just 3 1/2 weeks ago they approved me for one. They are now going to start the foreclosure process. What are they doing at Wells that makes any since. I have been in this house for almost 6 yrs. Although I did get into a a bad loan I feel in the beginning I have struggled to keep things afloat. In addition I’m better of financially than at any other time in the last 5/6 yrs. I guess I should have taken the original offer and just dealt with it. My housing counselor says Wells is the worst she has dealt with. We contacted Wells today (072909) and resubmitted some updated info to show that my financials are better than what they said in the letter. I hope I don’t lose my home and I would gladly accept the original offer. I’m lucky I still have a job and my wages have not went down etc. Now if I can just keep my home I will really fell lucky.
Posted By S., Pueblo, Co: July 30, 2009 1:28 am

This program is just a bunch of PR fluff, just like the cash for clunkers. It doesn’t help anyone that needs the help. We really don’t “need” the help either. But tried to refinance our home when the program came out. We were working with one mortgage broker that was awful. Wouldn’t call us back, and lost our info. So we dropped him and went with another guy. He was good about getting back to us, but because we owe more than 80% we would have to pay insurance on our loan, which we aren’t paying now. I understand why banks would want to add that to the loan, especially with everything that has happened recently. But adding insurance to our monthly payments would make it pointless to refinance. It would take us more than 6 years to pay off the refinance fees, and we don’t plan on keeping the house that long. I imagine that most people who need help, owe more than 80% on their loan too, and will have to pay for insurance if they refinance too. Although I’m sure the foreclosure will still hit their credit, even though they are paying for the insurance. We are just going to continue to pay the 6% rate we have right now, and scrap any ideas of refinancing.
Posted By t, denver, CO: July 29, 2009 12:45 pm

We were not at risk of forclosure and had made every single payment on time since our purchase in 2006, but under Obama’s plan we were still eligible to refi since our home had lost value and we were under-water. I went through all the proper channels and waited patiently for the process to be completed. With only 10 days left in my rate-lock, I received an e-mail from Wells Fargo (owns my 1st mortgage) that basically said “sorry, your second mortgage holder (1st Mariner Bank) did not approve the subordination so you’re denied.” That’s it – just a “thanks for your $350 app fee and good night.”

I was furious. I called 1stM to find out why they refused to sign the subordination and they said they would lose their insurance on the mortgage because the house was under-water. I told them that I was applying under HARP and that shouldn’t be an issue but they said they refused to carry the mortgage uninsured. I then asked who held the insurance and they said AIG – THE LARGEST RECIPIENT OF TARP FUNDS!!!

THEN…I contacted AIG and, actually, they were extraordinarily helpful. I did have to go through a few transfers but everyone was very helpful and when I finally got a hold of someone he said that they absolutely would have kept insuring the loan and to go back to 1stM and ask for copies of the paperwork they submitted to AIG as well as the denial letter specifically stating why AIG would cancel coverage.

When I called 1stM back and asked for the paper trail their tone COMPLETELY changed. The man I spoke with very politely offered to call AIG himself and in less than 15 minutes I received a call back saying they were going to send the APPROVED subordination to WF. Turns out 1stM never submitted any paperwork, nor even contacted AIG and simply did not want to subordinate since the value of the loan would drop.

I thought everything from there would be smooth sailing, but boy was I wrong. From delays, unreturned phone calls and e-mails, paperwork issues, WF tried EVERYTHING to get out of this refi. They flat out lied about when they sent the subordination paperwork to 1stM as an excuse to let my rate-lock expire (1stM offered to send me copies of the shipping info to prove they were lying, so WF ended up extending the rate for free). And my loan processor was completely useless. She claimed they were swamped, but still managed to waltz in 30 min. late and leave 10 min. early every day, without denial.

I’m convinced that the only way I was able to FINALLY close was to make it perfectly clear that I was going to harass them to witts end until the refi was completed. I called, e-mailed, called supervisors and even sent letters, multiple times daily until they realized it would be easier for them to just approve the refi and get rid of me than to try and delay any further.

These companies are absolutely doing whatever it takes, unapologitically, to avoid refis. I caught both my mortgage companies in several flat out lies and they did everything possible to try to get rid of me. Do NOT blame Obama – it is the mortgage companies who are holding this back.

If you’re facing what I faced, don’t take it lying down. Fight back, tie up their phone lines, make it clear that you WILL NOT tolerate their excuses. You’ll have to do a lot of legwork but in the end we can succeed in forcing these companies to do what’s right and make up for what they’ve done to our economy and livlihoods.
Posted By Susan – catonsville, MD: July 29, 2009 11:17 am

The Obama plan is a joke – since it’s passage, I have written, faxed and called GMAC at minimal, twice a week with no results. If our government had been serious about this, they would have passed the bill allowing Bankruptcy judges to modify loans. This would have lit a fire under the lenders. What incentive do they have to even try? TO be nice? Not so much!
Posted By Anonymous: July 29, 2009 10:57 am

I read these posts and am just amazed that banks use these same techniques over and over to delay and deny a modification or re-fi. Once the economic storm blows over, and it will, who in their right mind would ever want to do business with these banks again?

I run an attorney-based loan modificaton firm and we charge a fee to successfully modify mortgages in Illinois. No mod, fee refunded – period. A lot of mortgage bankers made big money selling toxic mortgages to hard working Americans. At least when I earn my fee I know I have helped, not hurt, my client.
Posted By Charles Howes, Chicago IL: July 28, 2009 11:50 pm

Countrywide / BOA is the worst.
At best they are incompetitent. At worst, I fear they are try to create a situation that a homeowner cannot clear up so they can and will foreclose on your property.

My story…

After falling behind (then catching up) on our mortgage several time over the last year, we received and invitation from Countrywide / BOA to modify our mortgage. In the letter they said we could either “catch up” the past due balance, then modify the payments on the balance or not catch up, add the delinquent amount to the balance, and then modify. Either way, the payemnt for the next 2 years would drop from about $2100 to $1564 per month, giving us the nedded cushin to manage each month. We returned the papers signed, along with income and expense info then waited. When the normal payment date came close and we had not heard from them, WE CALLED and they told us just to contin ue making out payment on the normal due date, but at the lower modified amount. This started in March and each month we call to try to find out “what’s going on” with the mod. We are told it is in the works and to keep making the lower payment, which we do. Then out of the blue, we get a letter stating their (BOA) intention on accelerating the mortgage, the first step in a foreclosure proceding. We called and was told they they tried to call us 10 times to verify some income info but couldn’t reach us, so they dropped us from the modification program. They couldn’t (wouldn’t) verify who tried to call us or what number they called and basically told us we were out of luck. Of course the delinquent balance now has grown because our payments have been for $560 less each month added to the 2 months that were skipped (an option they – BOA – said was OK in the initial letter. After much arguing, they aggreed to restart the Modifiation process and took all the information again. We have continued to make the lower mortgage payment but today reveived another letter saying we have 30 days to pay the full delinquent amount which now is $8800 after late charges. Otherwise they will foreclose. We called, agrued with them and they said our information just got to the modification (2 1/2 weeks) after the rep took our information for the second time and the someone would call us IF they had any questions. In the meantime, the clock is ticking on the demand to satisy the delinquent balance… which we do not have the means to do. I don’t know what to do because we have followed everything they asked us to do.
Has anyone thried the HUD assistance help with negotiating with the mortgage company. It is ACORN Housing Assistance, a part of Obamas band of thieves I believe. Any suggestions?
Posted By W Shireling, Tampa, FL: July 28, 2009 9:12 pm

this is me and my wife’s first house we have two kids when we first bought our house for 189,000 we were paying 1200 a month after a year we refinanced and and payed our car off and bills and we were having our second baby my wife was out on maternity with no money coming in.Our loan was sold and our payments went up then after the first year with that loan we found out that they lied and our insurance and taxes hadent been paid so we had to refinance again and our payments after everything was 1900.We are currently with midland morgage and we mis a month and fell behind due to christmas and my wifes gone back to school and we are unable to make it so we called midland to see if we qualify for modifacation and all they did was put us on a 2 year catch up plan raising our morgage to 2000 a mounth we are unable to pay we are force to short sale my marriage is falling apart due to the financal stress if you or so one could help me and my family please we are a hard working family and we need help
Posted By brian staples,king george virginia: July 28, 2009 7:42 pm

Success – temporary at least. And NOT from any government program.

1st mortgage (Wachovia), HELOC (Bank of America).

Wachovia reduced the principal by 4%, reduced the interest rate, and increased the schedule of the loan in order to convert it from pay option arm to fully amortized; ultimately getting our payments down to 31% of monthly gross income.

Bank of America temporarily suspended interest to 0% for 24 months, and set a minimum payment that is applied toward principal.

The second mod is problematic for a number of reasons. Namely, at this present time, B of A is not the least bit interested in any settlement other than 100% of the principal. The home would have to double from its present value in order for B of A to recover the loan through a forced foreclosure (if we were to stop paying). And their break even point would probably be a 50% rise in value, if the home would even sell after a forced foreclosure.

So, we make the payments, continue to make almost daily phone calls, and hope of the best.

A footnote to this testimonial. Permanent employment was also secured 5 months ago (banking/finance industry), without which, the above mods would not have been possible. It goes without saying how thankful we are for all of these circumstances. We are struggling, but almost able to make ends meet, which is progress.

So to anyone looking for employment and/or trying to work something out on their mortgage, try to hang on and keep at it.
Posted By N.W. Clerk, Meridian, ID: July 28, 2009 6:57 pm

Has any one had any experience with Indy Mac Mortgage Service. We have been trying to modify a loan for over 4 months.
First we get the papers saying this will be your payment, then we get a paper saying the papers have all expired, so send in new ones. then we get a another modification package saying everything is under review.
I really do not think the people that have been hired to work on these modification have had a traning they need.
One Customer Service Rept. says one thing, then the other one says something completely different.
This stimulus was supposed to help those who need the help to stay in their home.
So if you have had any experience please let me know,I would so much appreciate it. Thanks
Posted By wandaCaldwellIdaho: July 28, 2009 6:40 pm

We applied for help through CitiMortgage in March and never received a response, in May there was no way we were going to be able to make June’s payment so we went back on line and filled out all the paperwork again when we tried to send it it would not go through. My husband called them and next thing I know they lowered our payments from 2146.00 per month to 1557.00, I did not believe him and said do we send in the paperwork and then qualify and he said no you qualify now they even canceled our automatic withdrawal on the phone. They said we have to mail our payments in on time for the next 3 months and then the loan would be the same for the next 5 years, then it would go up 1 point each year but cannot exceed what the interest rate was the day we called. Our rate was at 5.87 at the time we called was at 5.25%, until I see after 3 months I will still be skeptic.
Posted By Sandra Vavrek Shepherdsville,ky: July 28, 2009 6:33 pm

Litton Loan serving is the worst.
I did an informal email survey recevied responses from 123 people who applied for Load Modification…NOT ONE got the Modification. All were lied to and dragged along for weeks until finally they were told they did not qualify. Who can stop this madness?
Posted By Anonymous: July 28, 2009 6:31 pm

I am surprised no one here has mentioned INDYMAC BANK! My husband and I have an Indymac (now OneWest) mortgage loan ($500,00). Got our loan from QUICKEN in 2007- interest only @ 5.75% . At the time I was working, but after our 3rd baby in ‘07 I lost my job/income. I AM NOT included on the note- but at the time we were securing the loan the bank didn’t even want my income documentation at all… Weird… right?? I offered my income information several times and we were surprised they didn’t want to even include it on the mortgage (even though my husband’s income alone really shouldn’t have been enough to handle such a note- built our own house had some issues with builder that caused us to go over budget). Our taxes here in NJ are $12,500 a year. So, now we are struggling and I am trying to get a modification with the worst bank in the world— INDYMAC!! My husband started his own business on the side to make some additional income- but it’s slow. Anyway, I call Indymac all the time… same story “in review, call back in a week.” We were told our modification pkg was received May 17, put into the system, June 17, then later told it was put in June 26, now the 50th person we spoke to last week said we may hear something by August 26th. What the hell? OBAMA you have the power. You’re acting like you’re doing something. Just like you always like to start out answering questions by saying, “Listen…” PLEASE LISTEN TO THE AMERICAN PEOPLE- get the banks to modify!!!
Posted By Allison Short, Sewell, NJ: July 28, 2009 6:20 pm

I have read through many of these other comments from other home owners and I agree with most of them. It seems that the ‘loan modification’ or harp programs are nothing but another all talk / no action idea from the big boys at the mortgage companies in an attempt to show Washington that they deserve all the bail out monies they received. It also appears to me that it may also be just another ploy to convince the politicians that if they need more of the tax payers money the politicians can justify even more. I have very little confidence in the big corporate lenders as well as the politicians. My job in the real estate industry is to work as a negotiator between these big companies and potential buyers for the many forclosed and pre-foreclosed properies. I can tell you from first hand experience that these lenders have no motivation to exercise ‘good-faith’ on behalf of the general public. I tried to get a modification on my own home and like everyone else I was told that I dont qualify for some unknow reasons. Just like in the Wizard of Oz the man behind the curtain is not available to explain to any of us why we dont qualify for these programs. My belief is that since they already got our tax payer money they are not going to really help. Its a fact that they want to make the big money and keep it, or when they incur a loss they’ll want to share it with the general public. Zero confidence that the right thing will be done.
Posted By A. Jones Utah: July 28, 2009 6:13 pm

We are working parents living in a neighborhood where the value of our home has dropped around $300K. We tried selling our home when my husband took a paycut in 2007. WAMU would not agree to a short sale at that time because they would loos about $20K, as prices were already dropping. We continued to struggle and make our payments, trying to stay current with them. In December 2008, my husband’s salary was cut again (in leiu of lay-offs). Immediately we applied for a modification. We now owed approx. $300 more than the house appraised for. Multiple houses in our neighborhood were falling into foreclosure, families were disappearing in the middle of the night and houses say empty. We were struggling to accomidate the paycuts, I took on more hours at my office, but that meant a huge increase in childcare costs with 3 kids in daycare. After a month (Jan 09), even before Obama took office, we were told our file was complete and they were processing it. We were told to call back weekly, which we did. Every time we called we were told the file was complete and being processed. We waited and struggled to make our payments. In April 09 we received a letter from Chase/WAMU that our modification was denied because our file was INCOMPLETE! After the shock and outrage, which they ignored, we scrambled to re-submitt the documents they said they did not have. Multiple faxings, phone calls, lost documents, lost faxes, faxes to no where and 2 months after that (June 09)we received a modification offer for $1200 more a month than we already pay!!! When I questioned the person “helping” us I was told that the calculation was a stricked percetage off our gross income and that NO other expenses would be considered. They would absoulutely not consider increased child care costs, pay cuts, increased credit card expenses, taxes or anything else. I told him that was not acceptable and he told me to call and reapply some other time. We had been good customers, could not sell our house due to the loss in value, could not refinance due to the loss in value and when we experienced financial difficulty due to 2 paycuts, they refused to consider – saying their “investors” would not approve it. We are a young family working hard to stay afloat and would like to keep our house, but see walking away as the only way to get back on our feet. CHASE can have the house and get in line with the multiple bank owned homes rotting away in our neighborhood – there have been 8 on our street alone in the last year. Many sit empty right now. They will likely make back nothing, if they had worked with us and helped to make our payment a little smaller while we ride this out, they would have continued to have loyal customers paying our mortgage. They are liars and running a scam. AVOID CHASE/WAMU! CONSUMER BEWARE!
Posted By T. Hernandez, Watsonville, CA: July 28, 2009 5:48 pm

I began the refinance process in April with my current mortgage lender. I assumed this would expedite the process since they have my original paperwork (less than 18 months since initial purchase). This was not the case! During the entire process, I had to constantly keep contacting the lending officer to ensure the process was moving forward. Emails and phone calls went unanswered for days and weeks. Minute progress was only made after each of my calls. I was eventually contacting multiple people within the lending agency to ensure they were speaking to one another! Each time they delayed, the threat of a rate lock expiration loomed until it was extended each time. The process started at the beginning of April and ended at the end of July. Four (4) months to refinance through my current mortgage lender. Ridiculous! And of course, the fees were never straight forward and did not match the original “estimates”. You gotta love an industry that has no repercussions for dismal results. Once you start the refinance process, you are stuck with them, and they know it!
Posted By Nicholas, Johnson City, TN: July 28, 2009 5:13 pm


I have a Fannie Mae loan through Bank of America and have been fighting with Bank of America since May to work with me. They continue to indicate that I do not qualify during this phase, but yet Fannie Mae says I do. BofA has given me every possible road block and excuse. They are definintely doing this intentionally.
Posted By Dan Contra Costa County: July 28, 2009 5:09 pm

My mortgage servicer sent me the document package back in May. I completed and returned all the documents within a few days. To date I have made 18 phone calls (each ending after a 10 minute wait with a mandatory request to leave your name, account#, etc)they never once called back. I wrote 5 letters to the modification department and received zero responses. I received two different modification trial documents for two different trial amounts. I started paying the larger one thinking they could always adjust to the correct amount. I have paid three trial payments and a forth is due in a week. Still no contact from the mortgage sevicer approving the trial or giving me ay signed documents. They still are difficult if not impossible to reach. I am at my wits end. I don’t even know if the trial was approved after 5 months of aggravation.
Posted By A.Mo. , Florence, AZ: July 28, 2009 4:47 pm

Here’s my advice, try refinancing first. Chances are many of you may benefit more from a traditional refinance rather than waiting 2 mos. just to find out if you qualify for a re-modification. I have been in the lending industry for 8 yrs. now and since April, when the Affordable Housing Plan was released, I have talked to a lot of people who opted to wait 2-3 mos. to see if they qualify for a remodification rather than trying to refinance. The problem is that a lot of people already have low interest rates on their loans and already have affordable payment and don’t qualify for a remod because they don’t need it! Most of the applications that banks are receiving for remodifications are from homeowners who realistically don’t need help, but are making it difficult for banks to concentrate on those who do need help. If you have good payment history, credit, income and equity than you should just refinance. It will take 2 wks. rather than 2 mos. and you’re going to get the same market rate. Secondly, if you have a Fannie Mae loan you don’t to work with your current lender or servicer, most lenders are able to write these loans, including the one I work for and it generally takes about 3 wks. start to finish.
Posted By E Detroit, MI: July 28, 2009 2:10 pm

If you have any reasonable equity in your home DO NOT WASTE YOUR TIME. I lost my job in January and we burned through all our 6 months of savings. We started the Two Step process last April. We qualified and completed Step Two by making three trial payments on the modified amount. We signed documents agreeing to everything stipulated by the program in early June.
Two weeks ago, we were told that our modification had been declined because of the fact that we had some reasonable equity in our home.
The whole process is a waste of time and is just a “feel good” process for the Buffoons in DC.
Posted By Bernie Coulson. Highlands. N. Carolina.: July 28, 2009 12:54 pm

How else could the banks have made billions of $$$$$$ last several months. Take our tax payers money and in return charge about $400 for each application. The more denials the more money they collect. Is this how our system should be working? I tried a three step loan with Wells Fargo. I did not get approved because my credit was too high. It would of lowered by monthly payments by several hundred dollars. It was not in Walls Fargo intrest to approve my loan because I am paying them more money with the existing loan. Tried other banks same results.


Take from the poor and give it to the few to decides who goes on and who dies.
Posted By Mike, Chicago IL: July 28, 2009 11:56 am

I called my bank many many times for last several months. Asking help to modify my e-mail. I explained that I have hardship to my family and after 32 years work i have been laied off. They denied my request and now I will loose the house.
What is going on? Is this fair?
Posted By Orange, California: July 28, 2009 11:45 am

I applied for the President’s Making Homes More Affordable plan due to falling behind on my mortgage payments and reduced income and the bank came back and told me that the feds raised my payment more than what my paycheck. When I asked them how could this be when clearly my paychecks aren’t that much, I was told that the feds said that this was the amount they felt I could afford to pay and that I needed to cut my expenses. What expenses? I have things that I need. For example car insurance, a light bill, homeowners insurance etc. This doesn’t include fuel for my vehicle and food to feed myself. I’m extremely disappointed in the President’s plan. I still like him but I doubt if he’ll get my vote again in 2012. Especially if I lose my home to this shady, gangster, thug bank people.
Posted By Rafi ”Ralph” Lake, Indianapolis, Indiana: July 28, 2009 11:38 am

I have a mortgage through national City, originally bought my condo for $120k at 6.745%. Applied for refinancing, waited two weeks after returning my HARP paper work, called the loan officer every week after and got no response. Finlly called the customer service number to find out I am not qualified because my condo was appraised at $59,500! How can my home value be cut in half in two years? Now I am stuck with a high payment and no way to cut it down. Also out $500 for the refinance ap!! Now we have a second baby on the way, need a bigger place, and am stuck. Funny how they would push through any appraisal two years ago, but now appraisals are encouraged to go through as low as possible. I’m now trying for a short sale or Dead in Lieu, but I was rejected because National City claims they have no record of me trying to refinance. This whole situaton is out of control.
Posted By Craig, Howell, MI: July 28, 2009 11:35 am

I just completed a successful refi under the HARP program!! I dropped my rate from 5.875 fix to 4.875 fix 30yrs with NO PMI under HARP at 90%LTV b/c I had a FNMA Note. I had first contacted Wells Fargo but they told me I didn’t qualify under HARP. So I called First Northern Financial Group at #800-737-1366 ext 205 and my loan officer, Jim Devine, was extremely professional through the two month process. He approved me with MetLife Home Loans and I am so thankful that the HARP program existed or I would not have been able to refi w/o incurring PMI(an added monthly expense that I never had to pay before!!). HARP does help homeowners with perfect payment histories, Fannie Mae or Freddie Mac backed Mortgages and will finance up to 125% LTV. I had lost $70K in value since my last refi but still was able to drop my rate a full percentage point, thanks again Jim Devine at First Northern Financial Group!!!
Posted By Kathleen Philadelphia, PA: July 28, 2009 11:30 am

I am a Personal Financial Coach. I got burned in the last housing bubble in the 80’s and learned my lesson. I did not participate in this bubble and in fact called the end of the housing bubble back in June 2005, right at its height, (

Bush and Obama are pawns of the Fed Reserve which created and are profiting from the creation and destruction of the housing bubble.

They cannot or will not do what needs to be done to save millions of homwowners, which is to have the Government buy the criminal loans foisted on homeowners from the banks at today’s loan values, not the original amount of the loans and reissue them on terms the homeowners can afford. This is exactly what was done during the First Great Depression and it saved millions of homes. The Fed refuses to entertain this idea because it would require the banks to take actual losses they could not hide with accounting tricks. Their attitude is the Banks are too big to fail and main street is too small to bail! They are not going to offer any meaningful help as you can read from the majority of these posts. Therefore, I recommend to my clients, DON’T waste your retirement money, your children’s education money on trying to keep your home which you will then in most cases, lose anyway. I advise them to Stop making payments on their mortgage but do Not move out!

Particularly in mortgage states,as opposed to trust deed states, you will probably be able to stay in your home for 1 1/2 to 3 years before you are forced to move, if you have good advice from a lawyer or mortgage consultant. Use this time to replenish your savings and be ready to start anew. Will this hurt your credit rating? Absolutely, but would you really want to be the only family living in the homeless shelter with a 700 FICO?
Posted By Bill Young, Philadelphia, PA: July 28, 2009 11:14 am

We applied for a loan modification. Countrywide called finally (after a couple of months)to tell us that they had worked out a modification and were sending us the paperwork. We got the paperwork and all they had done was to add in our previous late payments and several thousand dollars of fines and fees which made our payments jump from $1300 to over $2000. So we just moved and decided to let them have it since, if we were struggling to pay $1600 per month (the loan plus taxes and insurance), how could they expect us to pay $2000 plus and additional amount for taxes and insurance? That was almost a year ago. That house is just sitting there now and they have never foreclosed on it. We could have saved the rent we have paid for nearly a year if we had known they weren’t going to do anything. I don’t know what is going on with them.
Posted By Al, Canton, GA: July 28, 2009 10:41 am

All we want to do is a simple refi.
I have a job, my credit is excellent, we have money in the bank. We cannot refi because the LTV is not there. Some serious OMISSIONS on the appraisers part DOOMED us. They missed about 800 square feet of house, missed a 4500 square foot barn. These were not reported. Our bank told us we are out of luck, they directed us to the mortgage modification hotlines.
I don’t need or want a mortgage modification, nor do we qualify. You would think the bank knows our account. What a sham. I want a fair and accurate appraisal and I want to refi to a FHA or conventional loan.
Posted By Mike, Virginia: July 28, 2009 10:32 am

We are fortunate to be employed and have a very high credit score. Nonetheless, we applied to refinance our 7% 30 year loan into a 4.5% 15 year loan. We were denied because our appraised value was $20,000 too low and were told we had no recourse.
Posted By Curt, Indiana: July 28, 2009 10:25 am

I’ve been trying to Refinance under the ‘making home affordable refinance’ option. Fannie Mae owns our loan, and we have to go through Bank of America/Countrywide, and they have been giving us the run around since mid April. Because we like millions of others are paying PMI, they are saying that when phase II of making home affordable is introduced then they can refinance our loan. Well, it’s 5 months later, and we’re still waiting. Now they’re saying mid to late August. I’ll believe it when I’m at a closing table. So much for the ‘making home affordable’ program.
Posted By Dan Cream Ridge NJ: July 28, 2009 10:15 am

We were unable to obtain the refinancing of our Fannie backed mortgage from Chase through this program. My husband lost his job earlier this year and my medical insurance responsibility almost doubled (this is an employer backed program which now takes over 10% of my annual gross income as co-pay).

I applied for the program in early May. Fortunately the person I finally reached at the other end of the phone was very helpful and gave me a number to call back to avoid the continual transfers and long hold times. I followed up about every three weeks. Mid-June I was told that I would hear something by the week of 6/22.

On 7/15 I called to check the status. I was told that on 6/22 it was determined we did not qualify for the program. I still have not received any such notification from Chase. The only reason I found out was due to my follow up. She was unable to give me any reasons, numbers, etc – only that we did not qualify for the program parameters.

I believe we are one of many who will fall through the cracks. We do not qualify for a traditional refinance as the house value has decreased and now do not have adequate income to meet the required ratios. We do not qualify for the government program for reasons yet unknown ( I believe that we do not fit into the ratios the other direction – we do not owe enough on our mortgage).

For the time being we can maintain however if unemployment benefits cease (we are already looking at a reduction this month), my insurance premiums again increase, or some other unforseen circumstances arise we will hope that Chase is willing to work with us.
Posted By Katie, Holland, MI: July 28, 2009 9:37 am

I recently lost my job, and we did a VA IRRL (interest rate reduction loan). Thankfully there is no appraisal needed or we would have been out of luck. The new loan lowered our interest rate from a 6 to a 5.25 the reduction alone will pay for the closing costs in 12 months. Due to approx $250 less a month on our payment. We will now be able to skip a payment for a month while my job searching continues. Lets keep our fingers crossed.
Posted By Barry, San Tan Valley, AZ: July 28, 2009 9:35 am

I applied for a Loan Modification through WAMU Chase in December, 2008. I was told that it would take at least 3 months to go forward and could expect an answer or approval sometime within that time frame. February came and I had not missed a payment. I was told that if I missed a payment, it would add more validity to my situation. I was going to miss the February payment anyway. So, I did not pay my mortgage payment and was then told that I had to sign papers for a Forbearance, which would prolong the process, but would actually prevent my house from going into foreclosure. In late March, I was told that I would have to fill out new paperwork and a new package was sent through to me. I filled it out and provided all that was requested. My April, May and June payments were reduced temporarily, yet considerably, thereafter. In June I was asked to sign more documents and was told that I was going to be on another temporary program with a slightly lower payment. I am now paying this payment and have coupons through October of this year(09) and still have not a clue as to whether or not I will qualify for the Loan Modification. I was told that I would find this out in October (09). I am in limbo and do not know if I should be looking for a rental or if I should Short Sell my house…I am truly hoping that I am approved for the modification, however, there is a huge margin of FEAR that I face daily, thinking that I may NOT be approved and the thought of not having enough money for at least a rental for myself and my family is a haunting reality.
Posted By Beth, Anthem, AZ: July 28, 2009 9:22 am

As a recently unemployed person since March, I have been trying to get a loan Modification From Chase FInancial, Well I did all their long paper work then, and faxed it all in. I called a month later and someone said, “In the next 30 days, you will hear from someone regarding this.” I thought ok great. BOY WAS I WRONG. I called them back in June finally and asked what was going on, they said, “well actually it has been more than 90 days, so you need to resubmitt EVERYTHING ..that is all 30pages of it…. IT expires after 90 days. Plus we have been really busy and just opened up a new department to deal with this.” BANKS are getting crooked and greedy. Sure if they loan you the money on a high interest rate they will make a killing, but the moment they need to help you, or you become behind. HA HA GOOD LUCK. Hopefully this meeting with Obama takes care of all of this today. OBAMA Administration, Please Help!!!!
Posted By Stephan Tjaden, Marshall, MN: July 28, 2009 9:13 am

We had a 20% down on our home when we purchased it. Since then we have seen that 20% in our home vanished and no equity in our home. I would have like to refinance our loan so that we could have saved $200 a month. Our loan originator was the builder, but the loan is now with Chase. Every time I call the bank they say we do not qualify at this time because the loan was not originated with them, and call after a month as the goverment keeps adding new rules. I have been trying this since March and nothing seems to have changed.
Posted By Gulabo, Jacksonville, FL: July 28, 2009 9:12 am

My loan rate went from 3.875% to 6.875%
CitiMortgage would not discuss a “Loan Modification” plan. In fact they did about everthing in the book to circumvent the process.

CitiMortgage did everything possible to encourage me to go to a different mortgage lender. Citi wanted me to refinance, to pay-off existing loan, raise capital, due to their rising quarterly loan losses. However, their rates/costs were also too high. I was forced to use another lender by CitiMortage.

CitiMortgage is unethical and practices fair lending discrimination, price gouging and deceptive business practices.

Victimized by CitiMortgage
in Atlanta, Georgia
Posted By MGH: July 28, 2009 9:11 am

Its all a JOKE! There is no “modification program” available for normal homeowners being punished by a sinking housing market.
My wife and I contacted our lender about a mod/re-fi…we were told that since nothing has sold in our area for 18+ months it would be diffccult – but somebody would call us back. After calling the lender 5 more times having to give all the same information, repeat the application process multiple times and authorize our credit reports to be pulled…of which we were told our scores – 740/725….”someone will be in touch to arrange an appraisal”. Then two days later we receive a form letter indicating that we could not be approved for financing based upon our “unsatisfactory credit history”???????
Its ridiculous…the lenders are playing the run around game blaming the govt. for not setting more defined rules – the govt is blaming the lenders for being too tight with the loans…in the meantime the homeowners are still trying to pay mortgages and do the right thing. Where is the reward in that?
I am starting to think my neighbors had the right idea – they put the house on the market, moved and found new jobs, a new home and then mailed the keys to the house back to the finance company – WALKING AWAY FROM THE MORTGAGE ALTOGETHER! It goes against everything were are taught morally….but geez where do we draw the line?
Posted By Alex Chestertown, MD: July 28, 2009 8:41 am

I am a senior person at a strong community mortgage bank. I personally feel that the investors put so many additional guidelines on all products that the government rolls out making it impossible to get these loans closed. If the goverment wants to really make something happen they need to control Wall Street and realize the challenges in the secondary market.
Posted By Eric: July 28, 2009 8:13 am

i was unemployed for 7 months in ‘08…got behind 3 mortgage payments but due to houston’s huracane, mortgage pmts were frozen until mid december…in the meantime i got a job, began to send 150% of mortgage pmt to catch up but in mid december bank froze all payments and since then have not accepted, that’s right, they won’t accept a single dime…so now they come about 25 days ago stating give us $21k plus new mortgage payment is increased 25% or we’re going into foreclosure…this from a bank that got over $20bls from Bush/Obama to do something about late mortgage payments…to top that the home price has decreased about 33% so our mortgage balance is almost $100k over home value…we’re willing to stay in the home and pay mortage but as original not current conditions…otherwise, we’ll become renters again…why is the fed absent from this scenario??
Posted By Dario, Cypress TX: July 28, 2009 8:10 am

Obama’s plan is a joke. It was suppose to help the unemployed and isn’t! We are the most of the forclosures not the employed. The banks are a joke fax, fax, fax, call, call, call and no response for months. Even washington rep can’t get an answer or help, what a sham!!!!
Posted By jean livonia, mi: July 28, 2009 8:09 am

We are now homeless in MI, we have a Fannie Mae loan. My husband works for Ford laid off and on for the last three years. Lost $200,000 from 401K almost overnight. Called Governor Granholm, Atorney General Mike Cox, Senator Levin, Senator Stabenow, emailed the President, Vice-President, used the “Save the Dream” housing counselor. Filled and faxed out the paperwork four times, numerous calls, e-mails and faxes. The mortgage company PHH wouldn’t even return calls to us or the housing counselor. Showed up July 15, and evicted us threw what was left in the house in the trash, drilled holes in the steel doors and padlocked the house. I tried since September 2008 to get a modification loan. I am terminally ill with systemic lupus, we have two special needs children and now we have no home. I work two full time jobs to make ends meet and get Rituxan infusions and am violently ill through those and I still go to work. I have no choice, my family needs me. I can’t believe that they voted to give these banks our money and these banks aren’t required to help the taxpayers who saved them. Shame on Washington!!!!! Shame on us if we don’t stand up for ourselves the American people and vote them out of office.
Posted By Marianne, Onsted, MI: July 27, 2009 1:31 am

I have been trying since March to refinance under the HARP program. Each time I was told Wells Fargo had everything and the loan would close, they came up with something else. I had been reading the guidelines for Fannie Mae & Freddie Mac loans. After I was told again last week the loan would close, at the eleventh hour I was advised that our HomeOwner’s Assoc. was underinsured on the Fidelity Bond. According the HARP guidelines, it clearly states that if the property met guidelines when it originated, it meets them now. When I pointed that out to the Bank, I was advised that Wells Fargo can make their own guidelines.

I would be very interested in finding out if ANYONE has had a refinance approved.

I did contact another Bank and asked if Wells Fargo or any other Bank had authority to deviate from the Federal Guidelines and I was advised they could not.

Wells Fargo is collecting $365 from every person applying under the HARP program. How many thousands have applied? How many loans have been approved?

It appears there may be fraud here.
Posted By Carol, Concord, California: July 26, 2009 9:39 pm

CitiMortgage Rocks. We purchased our home in 2006 for $154,200 with a 5 yr ARM @ 6.93%. After losing my $45K job and medical insurance in October 2009, we struggled to make our payments. We finally fell behind and contacted CitiMortgage in Febuary 2009. The last week of March we signed new loan documents that took $119K off the top of the loan, put all late payments to the end of the loan and went from an ARM to 30 yr fixed. Our payments were $1200 a month, now they are only $239.00. I can now afford my monthly medicines and other expenses without the stress of robbing Peter to pay Paul, and not worry about losing our home.

The whole process was smooth and fast, I don’t know if it was because we were the ones the plan is supposed to help, or if CitiMortgage is just much better at customer service. We spoke with 2 people during the entire process and did everything by fax and Overnight Mail. They didn’t ask for a lot of information just proof of my job loss, monthly prescription amounts, other bills and my husbands income.
Posted By Cherry, Pt. Charlotte, FL: July 26, 2009 6:44 pm

How about 2 YEARS trying to make it work! I bought my house in 7/2006, the loan was sold to Bear Stearns within a month, Bears Stearns collapses and now with JPMORGAN/chase and the SERVICER is EMC. Google complaints against EMC. It is staggering. I have called and re-faxed and called for 2 years…we have been lied to by those we voted for to govern the American people fairly and honestly and with transparency. And now they want us to hand over health care???!! LIES! OMG
Posted By Jec, San Diego, CA: July 26, 2009 1:24 pm

First of all let me say that most banks are only participating in the program if these loans are government-backed loans (Fannie and Freddie). They are not required to participate otherwise, so for those of you screaming that your bank is doing nothing check to see if you have a loan backed by Freddie or Fannie first, then scream bloody murder at the Obama administration. This is how the program is set up.

Recently, I have just completed my loan modification through BB&T(yes the loan is backed by Freddie MAC). It only took about two and a half months to get it done. I myself created a three week delay in that process due to traveling for work. I had a very good experience. My loan officer was very good at keeping in touch with me and whenever I had a question, he contacted me within 1-2 business days with an answer. I was never in any danger of defaulting on my loan(some of us have acted responsibily and purchased loans we could afford). In fact my loan officer knew nothing has changed about my financial status and that I was capable of paying the mortgage as stated. He thought it was a great opportunity to refi and worked to get me through the process.

My advise to those with Fannie and Freddie loans: When you make a house purchase contact a specific loan officer directly and only deal with him/her. This gives you a personal contact at the bank. I know his number directly and he knows all my information as well. We are on a first name basis and he provides great customer service. My loan was adjusted from 6% down to 4.8% and I am just so happy because that is saving me $180 per month. A great time to save more in this recession!!! Thanks loan officer from BB&T
Posted By Crystal, Newport News, Va: July 26, 2009 10:28 am

I meet all of the qualifications under home modification program and have been trying to get it through Citimortgage. They finally inputted the data into the “federal computer tool “MAT” and it rejected me (even though they said I appeared to be pre-qualified). they wouldn’t tell me why, after several phone calls someone finally said their appraisal came in to high relative to the amount owed on the mortgate?? DOES ANYONE KNOW THE FEDERAL GUIDELINE FOR WHAT IS TOO HIGH? Their appraisal came in higher than one from the county tax assessors office, so I requested a new appraisal (could take another 6 weeks and I owe a balloon payment as I have paid a modified amount for 3 months per their istructions). I am sending in the tax appraisal to them. help!!
Posted By Karl Topper Silverthorne, CO: July 25, 2009 7:28 pm

I have called BofA, and since our mortgage is not owned or guaranteed by Fredie Mac or Fannie Mae, they can’t do anything, (mortgage is 520,000) we are still making payments on time, but there’s no help for us, maybe i need to be laid off so maybe and maybe they’ll do something, I wonder wouldn’t it be easier to just reduce the interest and let us refinance our home if we can make your payments on time, i think because all of these auto companies, got a bail out, why wouldn’t I get a reduction on my mortgage, I’m not asking for the bak to forgive my loan, I know what I owe, and I’m willing to keep making my payments, but I guess, it will be easier to just walk out of our home and 3 or 4 years, I’ll have enough money to buy me a new house.
Posted By Norma Jaimes: July 25, 2009 1:47 am

I have a mortgage with wachovia under Bush Plan i was turned down by every reason on the form but i first got a phone call to tell me i was denied after papers being lost and getting phone run around now under Obama plan i have been told they are working on a plan it should be available mid june then end july. oh but before that i almost forgot they told me i was a VIP and they had a special offer for me and transferred me to wells fargo i was offered 6.5% rate for only 200.00 no credit check or anything because i am a VIP that was so ridiculous because i built into my loan a fixed rate option on origination and they tried to trick me into believing they were doing something special for me because remember i am a VIP and there aren’t many others like me they have only seen 4 other VIP’s since Jan. i was so offended by them thinking i was stupid i couldn’t believe it and the wells fargo rep got upset because i told him so. i suggest everyone pull all their money from these banks and see how they like that its a lot of our money that they use to invest and make more money and we cant get help for our most basic need Shelter for ourselves and our Children “GOD BLESS AMERICA” and Save us All
Posted By regina mackey: July 24, 2009 9:24 pm

Back in April I applied for a loan modification at Wells Fargo Bank. I would call every 2 weeks to find out some info. As of July 20, 2009 I was denied a loan mod. I was told I am best qualified for the HARP program. I called the HARP number and told that freddie mac denied my refinance. I was laid off in January 2009 and decided if I don’t find a job by October 2009 I will retire in January 2010. I am down to my last money in my savings and Wells Fargo still refuses to help me. I have never missed a payment and I don’t want to. I have called so many different phone numbers at Wells Fargo to get help and no one seems to want to work with me. I don’t know what to do.
Posted By Linda Moore, Chula Vista, CA: July 24, 2009 2:54 pm

I’ve read so many homeowners comments and many of you are handling it incorrectly. 1st. Call up your lender ask what is needed. Usually you can go to their website and download a loan modification package. 2nd. Fill it out completely, Gather your Check stubs and Bank Statements last. Write your loan number on every page. Call your lender again. Ask what Fax or e-mail it should be sent to. It will usually take about 10 days for it to be uploaded into their system. Once It’s uploaded, call the following week and see where it stands. If they tell you it’s in reveiw call once a week, don’t wait for them to call you. They are to overwhelmed to do so… If you’re upside down rent a room to supliment the income. (You will continue to receive calls from your lender, it will just be collections. You won’t need to make a payment they’re a completely different department. Once your are approved, you’ll possibly be placed in a 3 month forbearance plan. DO NOT MISS A PAYMENT! Once that’s complete you’ll receive your modification. Stopping a foreclosure or trustee sale is also very easy. Trustee Sale Saved… Good Luck!!!
Posted By Freddie Avila: July 24, 2009 1:27 am

this is for the B of A homeowner. If you are current they will not help you. Yet wait until August. They are planning on having the LTV possibly go upto 125%. You do have options.
Posted By Whittier, California: July 24, 2009 1:15 am

We’ve been trying to work out a lona mod with Chase since last year, but every time they ask us to send in the paper work, and I send it in, no one has any idea what happened to it. April this year, they qualified us for a temporary 3 month forbearance plan, I faxed the paper the paperwork they requested and sent it by overnight mail, nobody in the whole company had any idea where the paperwork ended up. I spent $14 at 3 different times sending the payment they asked us to pay for the forbearance plan, and was returned each time, and no one could explain to me why. So, I called again in June and the rep I spoke to said he was setting us up on a new plan, never received the paperwork, next thing I see is a foreclosre notcie for August 4th, I called on July 3rd and spoke to a rep who gave me her name and direct phone number and extention, I called her back 2 days ago to make the foreclosure sale date has been posponed like she told it would, she denied ever speaking with me and said she has no idea how I got her name and phone, but it wasn’t from her! We are about to lose our 4 year old home just because Chase Home Finance has made sure you can’t speak to the same person when you call in, and no one knows the status of your file each time you call in. I’m just exhausted.
Posted By Thomas Ojo, Loganville GA: July 23, 2009 11:35 pm

I too have delt with Bank of American. They are everything people say. I have not missed a payment but I am 85000 upside down in my house. The bank said I did not get a mod because I am current in my payments. Even when i explained tha t I would be retireing from my job soon and would have a decrease in income so a mod would help both myself and the bank because I would continue to pay. But as I told the bank if they want a house 85000 less then its worth then its all thiers. They don’t really care. I think this whole program is a joke. If there is a program out there were we can get together and stop payning for a lot of houses at once maybe the banks will get the message.
Posted By wayne, southbridge, mass.: July 23, 2009 11:06 pm

My wife and I have been in the modification request process for 60 days with Wells Fargo. I received a call from them today and they told me that the loan negoitiator had denied our request because the investor that holds are mortgage note (Freddie Mac), which is now government controlled I might add, stipulates that a homeowner must apply for a HARP refinance first before preceeding with a modification request. Certainly would have been nice to know this in the beginning instead of jumping through hurdles with them. But wait, it gets better. So Wells Fargo provides with with their HARP for Homeowners refinance department number. I contact them and they advise me that our current loan type is not eligible for a refinance under the HARP program. So let me get this straight…..the investor Freddie Mac, did not have the ability to check to see what kind of loan we have before telling us we needed to apply for a HARP refinance that we don’t even qualify for to begin with??? Now, we have to reapply for a modification request and start the WHOLE process over again. Glad my tax dollars are paying for this mess!! What a joke!!!
Posted By Todd Miller, Everett, Washington: July 23, 2009 10:51 pm

We also applied for a loan modification with Bank of America (Countrywide) and a 2nd Mortgage company since our property has declined in value by over 25% and the indebtedness exceeds its market value. We do not qualify for a regular refi, and unless the loan principal is modified, we could not sell the property without a substantial short-sale or loss. We are not in default nor have we ever been late, but due to pay cuts and job loss, we are struggling to keep all current. While the clock is ticking and now nearly 45 days has passed, we have not received any response from BofA. I call BofA once a week and obtain the same “non-information”. Very frustrating. We need an “appellate” oversight by the Fed or some agency to make sure the servicers are complying and being consistent in applying the eligibility rules in a timely manner.
Posted By R.: July 23, 2009 7:30 pm

Posted By LOVEY, KALAMAZOO, MI: July 23, 2009 2:44 pm

I want to make one more comment after reading most of these comments:
It’s true, lets start getting help for us, the middle income families – never mind the automobile industry, the banks, and all the big wigs, right?


What I really believe now is that these loans are a fass, they probably don’t even exist…it’s just a pacifier
there are no such loan modifications…
Posted By Lucy Hennessey, Malden, Mass.: July 23, 2009 1:26 am

In 2007 I had to quit my job to take care of my mom as she was sick. Then she passed away Dec. 23, 2009. I lost my income 2 years ago. Then lost my mom’s as she was helping with the mortgage payments. Two losses of income and Wells Fargo just denied me tonight. They said it takes 3-4 months to get approval or denial. It took them 3 weeks. They said they offered 2 programs Obamas and one they offer. How did they do this all in 2 weeks? Go figure. Then they mailed a letter stating they wanted a copy of the deed and labeled the letter “estate of _____)my mom (who was on the mortgage. It’s not an estate of as it is owned by me and my husband. Parents were on deed as life estate to protect them. Now it’s directly my husband and my home. No estate. But Wells Fargo NEVER called for any paperwork or told me that there may be a problem as they thought there was an estate involved. Never called about it, just went and denied it. They are not very professional about these modification loans. They don’t care. Obama’s help is not helping. It stinks..No one should ever have to struggled to help themselves by applying for a modification. This should not be as hard as it is. Why do they make it difficult when they tell you there’s help out there. There isn’t. It’s an Obama elect me way of getting in I suppose. They are doing this as if they are giving us a loan (money), they are not. We will pay for this in the end. WHY CAN’T THEY MAKE THIS EASIER FOR THE STRUGGLING WORKING PEOPLE AND THE ONES NOT WORKING FOR GOOD REASONS. I had 2 losses of income and still don’t qualify. This is pathetic. We’re struggling to make the payments each month. It’s not like they are giving us a loan, monies or anything, it’s just a reduction to same our home (like everyone else). They are not losing any money…they will get it at the end. Who are they giving these loans to. Anyone?? I doubt it. This stinks. After 10 years I will probably lose my home. Children involved as well. Awful, this country I wonder sometimes why we can’t get the help when we really honestly need it. Make it easier for: we the people – too many reasons not to help…..I NEED HELP as we all do – Obama – you need to look at what’s going on and start really helping people…
Posted By Lucy Hennessey, Malden, Mass.: July 23, 2009 12:59 am

I applied for a Freddie Mac Relief Refinance Mortgage thru my current mortgage holder, Fifth Third Bank, on April 11, 2009. We have not closed yet and I have not been given an estimate for when I can expect to close. My loan officer did say that Freddie Mac has given them (53)a deadline of July 27th to get these loans closed although I am not sure I understand why as the program is certainly not going anywhere. Now, I am sure there are much worse stories in this blog but keep in mind that this program is for borrowers that are current on their mortgage payments, requires no income or asset documentation, & no appraisal is done. So what is there to look at besides the prior mortgage history & why is that is taking so long? June 9th a payoff was ordered & my insurance loss payee information was changed… nothing since. Then I read that Fifth Third has been loaned 12.3 Billion in April & May as part of their new partnership with Freddie. GREAT!!! So when is any of this going to start affecting ME the average american??Maybe 53 is not getting the incentive pay since my LTV is only 61%…
Posted By Rebecca, Virginia Beach, VA: July 23, 2009 12:23 am

LADIES AND GENTLEMEN: I HAVE THE ANSWER TO YOUR PROBLEMS! OR AT LEAST I THINK I DO! After reading hundreds of your comments, I’ve got the answer to what I’m gonna do. I’m also $115,000 underwater and about to be 30 days late as of Aug 1st. 2009. I’m not going to pay! I’ve been laid off for 3 mos and am stuck between a rock and a real hard place!
BofA says I’m not eligible for a loan modification because unemployment ins “is not a form of income they can count as income”. Ok sure I understand, I have close to a year’s salary in the bank and they won’t work with me because I’m laid off. Cool, If I can get the lender to approve a short sale, beautiful, if not, then screw it! They can have their condo back and I’ll just by a new one with “mom’s” good credit or be a “partner” with somenone else, and get a better condo for $115,000 cheaper!!
Please understand that I know moving will won’t be easy, but after learning, reading, what some of these families have been going through to keep their homes; one thing is crystal clear!! If you are going through a financial hardship, most, but not all, your banking institutions are not going to give you a loan modification. Second, it will be to your family’s detriment, to spend all of your money on a mortgage that is more than $40k underwater. Bite the bullet, do the short sale if you can. If you can’t for whatever reasons (lender won’t approve, no one wants to buy it) then save your money that you used to pay your mortgage and rent for awhile, or buy another place with someone else’s good credit for half the price!!
These scenarios will happen again in about another 10 years!! Trust me; history repeats itself, always!!
Posted By Cesar, Santa Clarita, CA: July 22, 2009 11:51 pm

We are professionals that own two homes in California, both modest homes. We bought the second home as our “retirement plan” with the plan of cashing in on the real estate boom. Our boom went bust. The drop in the economy forced us to both start our own businesses, because our clients were wearing tired of moving from one failing organization to another. Due to the cessation in revenue that’s necessary to start the businesses, we do not have money to pay mortgages and sought a home modification loan for the primary and second mortgage on our first house, and a home modification First, you can’t get good counsel on preparing paperwork. Second, you can’t get good counsel on whether the paperwork was received in good order. Third, the process of determining eligibility is a cookie-cutter approach that varies by bank but is not modified to fit a particular state, e.g. California is treated the same as Minnesota for purposes of debt-to-income ratio, for example. Anyone living in California wishes that they had the bills of someone in Minnesota. Salaries are higher in California, particularly in the Bay Area, because bills are higher, making the impact of a higher debt-to-income ratio in California similar to a much lower debt-to-income ratio in Minnesota. One modification process said that we don’t make enough to pay the bills even after a modification, and they based their analysis on a shallow look at our current income without considering the business income that will be received in a matter of months, which was the whol reason we asked for a modification. Another process said that we make way too much money, and they did their calculation by incorporating all business monies received in trust for clients without considering that the money is going out for the clients interest and not in our pockets. THE MODIFICATION SYSTEM IS AN UTTER COMPLETE FAILURE AND WASTE OF TIME. ITS AN EMBARRASSMENT. ITS AN INSULT. ITS INCOMPETENT. THE BANKS NEED TO GET OFF THEIR LAZY CARCASSES AND SPEND SOME OF THAT FREE MONEY ON CLEANING UP THEIR MESS. THEY NEED TO START BY TAKING CARE OF THEIR EXISTING CUSTOMERS AND DOING COMPETENT ANALYSES THAT ARE IN THEIR CUSTOMER’S INTEREST AND NOT JUST THE BANK’S INTEREST. THE STIMULUS MONEY SHOULD NEVER HAVE BEEN GRANTED TO THE BANKS, AND THE BANKS SHOULD HAVE BEEN FORCED TO DIE THE SLOW AND PAINFUL FINANCIAL DEATH THAT THEY ARE CURRENTLY IMPOSING ON THEIR CUSTOMERS.
Posted By Brian Boyer, Redwood City, California: July 22, 2009 10:56 am

I wrote an article about my situation with Bank of America.BOF increases interest rate to %8.5, I used to have 6.5, this is getting very fustrated because I don’t see where is the help for homeowners.If you hire a lawyer be sure they look for violations on your paperwork, then they can fight againts the bank.My neighhbor is in the same situation, he hires a lawyer about 7 months ago and he got the forclosure paperwork 3 days ago,just because the lawyer didn’t check for violations,so be careful.But I am very angry with banks, I voted for Mr.Obama, looking for some help, but in the next election you’re not going to be my candidate and neither the candidate of my family(we’re 8 people in my family).
Posted By Edward,Davie, Fl: July 21, 2009 11:04 am

I called my mortgage Countrywide that is now owned by Bank of America. I am one of those that is upsidedown. They said I didn’t qualify for modification nor do I qualify for refinance and to call back next month. I paid $100,000 down on a 330.000 mortgage. I have not been able to get a refi nor modifi on this loan from my original co Countrywide now Bank of America. this is getting to be frustrating. I have paid my mortgage on time and am not late. however, with job lay off I would like to get my mortgage which is an apr fixed with a lower payment. I do need help here so I can prevent my mortgage from increasing.
Posted By shirley coachella,california: July 21, 2009 1:55 am

We applied for a loan modification with Chase in March 2009 after taking the eligibility test on the Making Home Affordable website. We qualified and submitted all paperwork several times because everytime I called Chase they had no knowledge of my paperwork or I was missing something. Of course, I refreshed their memory everytime I called with who I spoke to, time, and what detailed document I furbished to them. I have lost all faith in the process and we need to realize that banks have no interest in helping struggling Homeowners. They want to repay the money as fast as they can so that they are not subject to the terms of the plan.
I lost my battle with Chase today July 20th as I received a verbal rejection of you have “null financial hardship.” I’m astonished. Still have not received 1 shred of written communication from them ackowledging my application or confirming the stage that my application was in. After 2 weeks in underwriting ( I called every other day) – they tell me I have “null financial hardship.” This is completely unacceptable and maybe it’s for the better because undoubtedly this disorganized Company would have given me worse terms for a mortgage.
Posted By JD, Pottstwn PA 19465: July 20, 2009 9:31 pm

B of A sent me a loan modification due to the lawsuit by the Ca attorney general. I was told that it would start in feb and I could send the new amt starting in Feb, I did, and every month I called to ask how it was going, I was told on 5-6-09 that after waiting for 6 months it was dn because I was not at home to ansere a phone call, I have contacted everyone that I can and on 7-13 the hope team took my info and they tried calling B of A, no luck, they waited just like I did on the phone and no one answered, on 7-14 I got my original paper work that I send in Dec and now I go on line and I am delingquent 4500, as I sent in the new payment amount but now come to find out it was not approved so I should have been sending in the orginal amount, Bank of America has no intention of doing any modifications they are hoping everyone gets foreclosed on and then they can resale the propertys take a huge loss, for their taxes then resale the properties at a loss. All I can say is Mr. President nice try but the banks who got the money from the tax papers have no intention of helping the struggling families.
Posted By maria gonzales, bakersfield ca: July 19, 2009 4:46 pm

In summer of 2007 I had to take time off work to take care of a sick parent. I eventually used up all my savings and called Indymac bank for help. They couldn’t help me because I was not behind on payments. My house has been into foreclosure twice and here it is 2009 now and I’m still getting the run around about a loan modification. I have been turned down twice and had to get an attorney that I can’t afford to help me save my home. Half of 2009 is gone and nothing has been resolved.
Posted By Kau gofan, canton, mi: July 18, 2009 9:45 am

Attention borrowers with CitiMortage as your Loan Servicer:

Don’t waste your time calling the boneheads in the customer service, loss mitigation, collections, or loan modification departments. Your paperwork will mystically disappear, you’ll rarely receive calls or information when you’re told you would and none of their departments communicate with each other. Jumping through their hoops is an act of futility.

With that being said, their is hope! Call The Executive Response Unit @ 866-255-3901. Ask for Andrea Seligman @ ext. 52854. While I cannot guarantee she’ll give you the answer you’re looking for, you will receive excellent customer service. She handles your case from start to finish – no getting handed off to 15 different people in 5 departments and getting disconnected on the phone repeatedly. They also fast-track your application, getting you answers within 3-4 weeks.
Posted By Bryan, Fresno CA: July 17, 2009 6:24 pm

WE too have tried, tried, and tried again to get a refi on our loan from BOA. We have a fannie loan that BOA “bundled” with PMI loans….and so although we do not pay PMI, we can not refi until Phase 2 inacts. Every time we call we hear that Phase 2 has been pushed back: to April, June, July 8th, and now “several more weeks, maybe September”. Frankly I think they have no incetive to deal with us, as we pay our mortgage.
Posted By Seattle, WA: July 17, 2009 3:24 pm

CITIMORTGAGE!!! Oh and I would like to add to my previous comment… we do not have credit cards, student loans, etc… we live within our means and always have. My parents taught me if you don’t have the $$ to buy what you want then, you won’t have the $$ to pay off a credit card either. We don’t have big screen tv’s and fancy furniture. We have one car payment and one truck that is 13 yrs old on it’s last leg and we can’t afford to fix it or buy a new one. We can’t even start a family after being together five years and married for three because we can’t afford them, not to mention we aren’t even sure we are gonna have a house in six months!!!!
Posted By Christine R., St. Louis, MO: July 17, 2009 10:34 am

CITIMORTGAGE!!!!! I had an unexpected emergency surgery that I knew would keep me off work for a month and immediately (a day after surgery) I called CitiMortgage to get help because I KNEW we were going to have issues with me being off work (my work doesn’t offer Short Term Disab). They told me where to print up the Financial Assistance Forms from the website and to fax it in. Not even 24 hrs later I had everything together, 42 pgs worth, and I had not only faxed it in, but I send it to them certified mail with return rcpt. I got the rtn rcpt and waited about 10 days to get in the system and called to check the status and they said it takes 60 days for a review. 60 days, why didn’t they tell me that before I did all this work? So I explained to them what the deal was and they said I could apply for a Loan Extension request, ok, so I did so. Two weeks later it got denied because I wasn’t behind on any payments. Well, duh, I am trying NOT to get behind. Why didn’t the person who told me I could apply for this loan ext program tell me that I wasn’t eligible before hand? They said my Financial Assistance application was still in review though. So I called back two weeks later to find out what the status of my application was because it was supposed to go to a case manager and I could get that name and phone number. They said it hadn’t even been reviewed and they are too backed up. Ok… now what? My husband and I were now one month behind by then and the phone calls had already started. Considering I had been asking for help for 6 weeks I couldn’t believe that they would even call. At the beg of June now I called one again and the lady said I could do a loan modification for the new law Obama signed where our house payment with escrow shouldn’t be more than $30% of our income BEFORE taxes? Hello… Obama, we don’t get to take home our taxes, what the hell are you thinking??? My husband and I pay like $1500 a month in taxes because we have no kids. So our house payment for the loan modification was $20.00 less than what our payment had already been. yeah, not gonna help much but I went ahead and did it because by then we were 2 months behind and that two months would be taken care of. So now I have two months behind showing on my credit report. The loan mod has done NOTHING for my family and I, we are STILL struggling and CitiMortgage and Obama continue to piss me off and I voted for him. I just don’t get it… I owe CitiMortgage $175,000 @ 9.7% the value of our house came back at $155,000 for the loan modification due to the economy it was worth $185,000 in Aug 07 when it was appraised and re-financed. So I don’t get why CitiMortgage can’t go ahead and do a FULL refinance with my husband and I’s 700+ credit scores and give us a $6% interest rate and save $400 a month. Either way we are going to owe them $175,000. So they either lose us to foreclosure at the 9.7% payment and fork out $$ for all the legal stuff and auctions and whatnot to foreclose or they refinance us and keep us at 6% payment. Wouldn’t you think they would pick the plan to keep us and keep the $$ coming in to them… nope. I have ten pages of names, numbers, times and dates that I have dealt with since March and not one has been able to help my family and I. Not to mention none of them are ever on the same page, I get different answers every time I call.
Posted By Christine R., St. Louis, MO: July 17, 2009 10:22 am

I was downsized 3 years ago, and every payment has been made with a struggle, but due to overtime on a replacement job that did not pay as much, I was able to keep up with my payments. Then the overtime went, I started to get late with my payments, fell three payments behind and on Feb 14th was served with Foreclosure papers. I had earlier tried to work out something with my mortgage server but could not. Since that time I had to hire an attorney to keep the roof over our heads. The attorney got to talk with someone at the servicing company in April and was told the supervisor was reviewing the acct. June they were still reviewing, and July 1 their attorney filed for a summary judgement to be able to sell my home.In Fl. you have to go to mediation before they can get a summary judgement
The servicer had offered a $1565.00 payment for 3 months and $16,000 on the 4th month and no reduction of an 8.75% interest rate that is adjustable. When I said I could not accept that offer, I received a letter from that servicer saying this is our best offer and you did not accept it so we are proceeding with the foreclosure. They went on to say the investor will ntot accept any type of mediation.
Posted By Dorothy Allen Lake Mary Fl: July 16, 2009 11:15 pm

I received a forbearance agreement from Aurora Loan Servicing and paid $40,000 towards this agreement. Never missing a payment! Then once they received all these payments they sent back a check for $10,000 and $6195 which was the payment in the agreement stating that I did not send them documentation. My home is in auction on July 21, 2009 and Aurora will not give me a chance to give them the documentation. My question is why do they need the documentation when in fact I was making all the agreement payments until they would not accept any more payments?

The mediation and the courts will not help either. When you present all this to the courts they say that you have to go through mediation. When you talk to mediation, they say you already had a forbearance agreement.

Know one is helping the consumer even when the consumer wants to pay and catch up. If Aurora kept accepting my payments, I would have been current today and not in auction. This is such a farce.
Posted By Phyllis Gallucci, Wayne, NJ: July 16, 2009 8:48 pm

Litton Loan Prommiss loss mitigation is a load of an unassisting circle running people. I sent in and kept following up making head way being told I could be assisted from the get go. I was qualified for the program and was certainly to apply. I just finished a chpt 13 BR (did so and actually got my mortgage out by doing a modification back in 07) and actually was told that not many finish the 13 they usually fail. MADE IT. The wife and three kids survived with me. Then the wife loses the job in 4/08. I start to fall behind in september of 08 but keep sending payments not getting kicked back and going through… Then it got bad, the unemployment stopped and all hell broke loose, but i kept sending payments and overdrafting the account by $300 and $400. I am waiting for this program to get rolled out and think this is the assisance I need. Finally when it is out I apply and get the applications through the lawyer and do what i need to do. 3 months later I get a letter tellig me I don’t have enough income to be modified. Really… I thought this was why I was applying for the program…but here is the beauty of it…I am told by my case person in promiss solutions that it looks really good. It looks like you can afford the house… Great!!!! Letter a week later telling me “not sufficient income” sign by the case person who managed me and was telling me its good. I am ripping because the letter says if it changes to contact them and they will review it. Hey if I had more income I would not be asking to be considered for the making home affordable program. “Oh we don’t participate in that program we have our own program that we use…that follows the same guidelines…Did you know Duetsche bank was part of the Huge bail out all linked to AIG and what not… i do and guess what, they use Litton to manage their loans…and guess who owns my loan…what are you trying to double your money? We are thinking of walking… rent for two years establish a good guideline go back and get a loan and buy a foreclosed propety from bank that needs to dump it. I will revel in it.
Posted By all of us, US: July 16, 2009 6:27 pm

We should all stop making mortgage payments at one time. This is the only way banks will respond to the needs of American citizens. I truly don’t believe banks care and this bailout is nothing more than a huge a scam at taxpayers expense. What a shame President Obama, my support for you is slowly dripping away.
Posted By Q, Mesa, AZ: July 16, 2009 5:53 pm

It took months working with Wells Fargo. I have an adjustable loan that is due to reset in about a year. While I went back and forth with Wells Fargo my job did a massive lay-off (twice) and those of us who did not lose our jobs had our salaries cut by 85. In the meantime, the realestate market in my city took a nose dive and I ended up owing quite a bit more than my house was worth. I also have over used my credit cards, etc. remodeling the house prior to the crash. After months of communications between me and Wells Fargo the modification application was denied. I think this is a racket. I think that those homes that have lost their value will be scoped up by other looking to make a profit as people lose their grip on their homes. Granted, I made some bad decisions, but I am not alone…so did the banks and they were bailed out.
Posted By Sandra Scott, Vallejo, Ca: July 16, 2009 4:36 pm

In the last year have you been approved for a loan modification from Countrywide Home Loans only to have your loan modification rejected? That’s what happened to me and evidently thousands of other customers of Countrywide Home Loans (Now owned by Bank of America)

If so call Jack Thomas 513-899-3478, leave a message and tell me your story… a class-action lawsuit may be soon file against Bank of America
Posted By Jack Thomas, Cincinnati Ohio: July 15, 2009 10:06 pm

I have an FHA loan and had to wait until my loan was a year old before I could even discuss modification. I was laid off and now 4 payments behind. I am working but make less than 50% of what I made when I bought the house and I work a part time job too. I was sent a forbearance for three months and if I am a good girl Chase may modify my loan after the three months but they also expect me to come up with the 9k I owe them. LOL how in the world that will happen is beyond me. WHy cant they just extend my loan a few months. Hell I will pay it but can’t now or in one lump some.
Posted By Lynn, Piscataway NJ: July 15, 2009 8:58 pm

I unravelled B of A’s position. They are NOT participating with the MHA modifications if the mods are non-government-backed loans (Fannie and Freddie). The gov’t plan is set up to help these loans, but banks participation is voluntary. B of A is only participating in the much less risky gov’t backed ones though.
They offer their own mod’s for these millions of borrowers in need, which they claim “mirror” the gov’t plan. But, it does not in many, many ways. Ex: it does not have a component requiring the holder of the second lien participate if the borrower is approved for a mod on the first. The servicer of the second lien doesn’t have to participate even if the servicer of it is B of A itself!
Thus, they are misleading the public claiming they are participating when facts are, they have opted out of the government, MHA plan, for that part with the higher risk, but very needy borrowers – those without gov’t backed loans.
Worse, they told the financial community they were solvent, with Uncle Sam behind them, never signed the contract with the US and now say they owe no interest. But they think their borrowers have a moral duty to repay their loans, even though B of A has no problems taking our taxes, not helping those in need, and using slick PR to mask how little they are doing.
Posted By Richard, Miami, Fl: July 15, 2009 7:03 pm

Well, after 3.5 months dealing with WElls Fargo (the servicer we found out), we were denied for any help by Bank of America (the investor) because we are not 90 days behind on our payments. This process has been the most annoying and disolutioning process I have ever endured. Our paperwork was lost three times, week after week I was told different stories, rep after rep was rude and not willing to help. Was told if your paperwork has gone this far in the process they are working on a solution. Then the letter came, we can take your tax money but we can’t help you because you aren’t 90 days delinquent. We suggest you do a short sale or hand over title. What kind of crap is this? Thanks a lot Bank of America. How about you return my tax dollars so I can make my mortgage payment. Bank of America is a bunch of crooks.
Posted By Robert Earl: July 15, 2009 8:59 am

I truly don’t think that anyone cares about the Homeowners that are losing their homes. There is supposedly a program Save your but I saw on The Today Show that Barbara Cochran I believe her name is said that is took her 28 hours to figure out how to even use the information
there. I have gone on that site and according to the questions I answered we should be eligible for help but according to the numerous calls I have made I keep getting the same run around. Why are the banks making it so difficult to get help?? Where is the government help for the every day people? Does anyone read these or care about all of the people losing their homes? Sign me desperate.
Posted By Barb, Ocala, Florida: July 14, 2009 8:23 pm

We were denied for the Making Home Afforadable plan on 6/18/09 due to “The minimum income to deficit ratio requirement has not been met”. Isn’t that the reason people are applying for this modification in the first place? We submitted the necessary documents initially on 3/9/09 and had to fax additional information in between. It took 4 months for a response from them. Our loan is also owned by Freddie Mac which makes no sense as to why we were denied.
Posted By Kathie, Ravenna, Ohio: July 14, 2009 12:22 pm

After waiting for so long(6 months), I opened my mailbox today and got a package from Bank of America, the offer was worse than the preliminary loan.I used to have 6.5% and they offered my 8.5 % today and variable.What kind of help is this one,this is ridiculous,where is the stimulus in this offer.I’m so sorry folks but Banks are laughing on our faces.I guess,I will file Bankrupcy and live in the property until they kick me out.I’m tired of this crap.I’m not going to pay a real state anymore, I will visit a Bankrupcy attorney and bye bye Bank of America, I just got tired of this game.Where is Obama?where is the help?. Sorry, guys but I’m very disappointed about being fooled by this banks.
Posted By Edward,Davie, Fl: July 13, 2009 11:35 pm

Tried to get help with our payments which more than doubled over the course of the last 2 years.

Had the mortgage reviewed by attorneys prior to closing and was told that this 1/2 inch thick mortgage was “standard.” Still haven’t figured out how we get to 10.8% interest plus fees.

We have filed for bankruptcy and the house is going back to the lender. Total loss to us is about $200,000 plus our pride. Looks like the banks will be fully covered.

We have been totally unsuccessful in getting refinanced as our credit isn’t good enough. The American Dream lost to the greed of banking and the banks are the ones being bailed out by our tax money!
Posted By Anna A, Cary, NC: July 13, 2009 5:00 pm

BofA tells me I’m not eligable for any form of help. My property is now only worth a fraction of what I paid for it in 2005. The first and second mortgage payments combined total 48% of my income. Is anyone getting help from BofA?
Posted By Cherie Illinois: July 13, 2009 4:46 pm

There was only one solution to this mortgage mess and that was mortgage deferment for up to two years on mortgages over five years for those that needed it and even those that did not. No time consuming refinancing that inevitably slowed the process down to an unmanageable crawl just add the extra years to the mortgage term.The fed could have payed the mortgage companies their interest payments for two years.
Those that were desperately trying to keep their homes after losing their jobs would get a break for a chance to restructure their lives and maybe improve their education and get a better job when things turned around..Those that had no financial problems would have been freed up to spend their money on new cars and toys to re-invigorated and stimulate the economy.
Only one problem,it is now far too late the banks have their money and don’t want to share it and those who have been living off their savings will soon be defaulting on their credit card payments which will now lead to the second banking crisis.This will happen right in the middle of the worst flu pandemic since 1919 which will also throw the world’s economy into yet another loop.
But I’m off to pub and after a few beers I won’t worry about a thing…..being able to forecast the future is more work than I can handle right now,
Posted By Limey, Crested Butte, Colorado: July 12, 2009 10:40 pm

We bought our home in 7/06 for 350k. 3600 sq foot house, 6 bdrms 3 bath, which was perfect for our large family. This was a home we planned to stay in for a long time.

I was laid off from a very large corporation (my primary income) in 8/08. As the economy worsened, it became apparent that finding a job was unbelievably difficult even w/ a college degree.

As time progressed, AZ home values dropped monthly. This is about the time our neighborhood began to slowly empty out. I called GMAC (CW sold the loan to GMAC) on 11/01/08 and said I’m not paying this month. They said OK, thanks. That’s it, no further discussion after I said I wasnt paying.

I called GMAC weekly asking what could be done, each time getting a new person and a new line of bull. I was amazed at the lack of mortgage knowledge that these people had.

The letters and calls started arriving in early 2009. I stepped up my calls to GMAC to twice weekly, with no results. In March 09, they began to request financials on myself and wife in order to “help” us out. Our financials were sent in many times via fax, and were conveniently lost multiple times. Apparently, GMAC is not equipped to accept scanned finacials via email.

More than once, we were asked why we werent paying since our bank statements clearly showed we could pay. The lenders do not care, they just want money….and from a business standpoint, I do respect that.

We are allegedly in a loan modification process based on 3 months of consecutive on time payments. We have made 2 of the 3 payments but are seriously doubting that GMAC will really work with us once the 3rd payment is made.

Bottom line is that we owe 350K on the house. 4 of the same exact models in the neighborhood (120 homes) have been sold as foreclosures for between 119k and 135k.

So we are basically at least 200k upside down through no fault of our own. The housing industry just crashed at the wrong time and coincided with my job loss.

In short, some people need to stop suggesting people bit off more than they could chew. I did not buy more than I could afford. I could still pay, but seriously let’s be smart about this. Finacially, it will be much better for us to walk away from a 200k debt (if GMAC wont work w/ us) than to let it destroy our retirement and our children’s future.

Sad, but true.
Posted By RD, Buckeye, AZ: July 11, 2009 1:30 am

Bank Of America had me submitted my loan modification paperwork 4 times during the last five months and the reasons given are the following:
a. we did not receive them
b. We received some of them
c. They are lost; send them anew
d. Request for more info

Ladies and gentlemen, this process is a facade; it is designed to appear to the Government and the media that the banks, being rescued, with billions are helping to stabilize the housing market in absence of which this economy will go nowhere. Most homeowners are not seeking a bailout, but a simple reworking of their mortgage terms. This is a win win situation, but the banks and their political supporters are too blinded by greed to see.
We, the tax payers, need to organize and fight back. Hold your local senators, congressmen accountable; take your banks to court and force them to produce the original note.

One for all and all for one.
Posted By Rob, Piscataway NJ: July 10, 2009 11:16 pm

I have a mortgage with wellsfargo, called them twice regarding the refinance, everytime I call they take my details and tell me that one of their mortgage consultants will call back, but never heard back from them.
Posted By Vinny, Jersey City, NJ: July 10, 2009 4:19 pm

I have been a mortgage lender for 13 years and work for what is now probably the largest lender in the country.

My company is closing 3-4 times its normal volume of loans, using basically the same staff it had when the mortgage business was slow. There is just not enough time or manpower to attend to everyone’s refinance request in as timely a manner as all parties would like.

The borrowers who need the most relief are those with subprime loans, option ARM/neg. am. loans and bank-originated home equity loans and lines.

Tragically, none of these loans are covered under the government’s current HARP relief plan. These are the loans which should have been addressed first, with relief for Fannie/Freddie serviced loans coming later.

The new, increased CLTV of 125% is a help, but here in Florida, most borrowers who seek relief owe far more than 125% of their home’s current value.

Additionally, the price adjusters for fist mortgages over 90% often increase the interest rate to about the same as the borrower’s current interest rate, making a refinance unfeasible.

Glitches in the national system also slow down lenders’ abiility to close these loans. With Fannie Mae, if the property address is not recognized by the automated Fannie Mae underwriting engine, the loan is not eligible for a HARP refinance, even though it is a perfectly approvable loan, and clearly serviced by Fannie Mae. (This sort of thing happens more often than anyone would believe.)

There is no perfect answer to the country’s monumental housing and mortgage problems, but borrowers need to understand that the system is so broken, it is taking MUCH longer than the normal length of time to process and close a loan, and the underwriting obstacles are tremendous.

My best advice is to practice patience, don’t let frustration get the best of you, and focus on a positive outcome!
Posted By Kathy Gomez, Sarasota, FL: July 9, 2009 7:25 pm

I am extremely frustrated with the situation. I have been unemployed since January, 2009. I have been trying with Countrywide, who was bought out by Bank of America to help us with modifying the mortgage. Every two weeks I called to no avail. Excuse after Excuse. I do not even think these banks do know how to implement the program. I have been getting calls left and right from my creditors, this is why so many people resort to even committing suicide. I do not want to lose my home. All I want is some help from the bank by modifying my loan, this would help us ease our situation. How can I keep my home?
Posted By Carmen Tirado, Waddell, AZ: July 9, 2009 2:08 pm

First of all let me say to anyone that has lost a job, a spouse, or had another tragic life event that has caused a financial hardship I feel sorry for you. You are not ENTITLED to anything, but I feel sorry for you.

To everyone else: get over it. You either bought a house you couldn’t afford, or you bought too much other garbage on credit you couldn’t afford. It was easy underwriting guidelines that allowed everyone with a pulse to buy a house in the late 90’s and early 2000’s that got us into this decline. Now, everyone is complainging about the tough underwriting guidelines and wants them to be relaxed again (”if you don’t learn from history you are doomed to repeat it”). It is not the government’s responsibility to rescue you. It is not the bank’s responsibility to rescue you. If you can’t pay yours bills (that by the way, you signed up for) then you SERIOUSLY need to take one of the traditional remedies of bankruptcy or short-sale or forecloser for your home. The only TRUE way we will get out of this funk is for those who can’t afford the homes they live in (and all their other bills) to go belly up. Helping these people will just prolong the inevitable. Once all that’s left as homeowners are the responsible one’s that can afford the home they live in (this includes everyone that has had a financial hardship and is now back on their feet and those that were in too expensive of a home and have now purchased a smaller, cheaper home) will this end. It’s called equilibrium. We have not been there in many years. Everyone has been trying to push equilibrium forward. It’s time for those (you know who you are, and if you don’t that’s part of the problem) to shift back and set this equilibrium in the middle.
Posted By Casey, Little Elm TX: July 9, 2009 12:58 pm

We have our home loan with Chase. I tried for a year to get them to work with me to modify the loan when our payments doubled. They wouldn’t work with me until we were 4 months behind. Finally got them to talk to me when Obama “plan” became official. I was told we would get a modification in 2-3 weeks, but in meantime must agree to Forebearance of 4 months. Four months have now gone by, they are trying to tell me they don’t have all my information and maybe I can get another forebearance and I don’t qualify for Obama plan, but “maybe” would qualify for another of their plans. I called them back with info they wanted, got another representative who told me to forget what I was told and my payments would be going up $400 a month. Raised a rucus and was able to get the original person I spoke to and that person told me no, that was true and she could get my payments down for the next forebearance contract, but still no news on modification. WHAT is going on??? The banks are robbing us blind. I’m just totally disgusted and also terrified.
Posted By SSC, Manchester, NH: July 9, 2009 10:55 am

I’m sorry for all of the people who have had real hardships, paid the bank what they could only to have it not applyied to priciple and have 120 day lates or more show up on credit. Which by the way is considered a forclosure, by 99.99% of banks. Also those lates only stay on your credit for 7 years and currently counts if it is 4 years or less when buying a home. Home prices will be at a bottom for 4 years or longer, you make the call on how that would effect you. Do not listen to the misinformed people who say mods work. READ 95% of THE STORIES HERE!! I’ve put in 20 mods in the last month and have 2 of the BIG banks tell me they do not want to modify any loans. I have been working more than 30 for over 6 months!!! Yes I have got some done with good terms but the majority do not and people send money to the bank to “catch up” as goood faith payments and the bank sends the sheriff anyway! I have seen this happen to 4 families with real hardships. When that happens they have spent all their money sending it to the bank and received the same result had they just kept their money. Now they are worse off because they could have used that money to find a place to rent. Let me tell you it’s tough to see little kids in a packed car with no place to go and have to move to Grandma’s house. Mark to market rules were just changed, it was changed to benefit mortgage back securities. That change helps the end investors and the banks to be able to prolong and manage their losses in mortgage backed securities, thus giving them time to give you, “the consumer” the run around. Banks can now wait longer for the market to turn around and take a smaller loss.
Posted By Nick Chicago IL: July 9, 2009 10:52 am

Have submitted all loan modification paperwork to GMAC 3 times now. Have been told now it will take 45-60 days from the date they received “complete” loan workout documents. Nevermind they received the completed packet back on 5/28/09 from the HUD approved housing counseling agency I submitted this to. Now it will be 45-60 days (I’m sure that will become longer the closer we get to that timeline as well) as of 7/1/09. Funny, it seems to me it only took about 2-3 weeks for our wonderful government to hand out several BILLION dollars of bailout money to GM/GMAC, but their customers have to wait indefinately for their assistance. No change here, same old politics that have always run the show!
Posted By KG, Montgomery IL: July 9, 2009 8:06 am

I was told to wait for Phase 2 because our home has PMI as well. Our agent also said that we were going to have trouble because our house is now worth 65K less than what we purchased it for. Does anyone have equity in their home who purchased in the last 5 years?
Posted By AStone, Hanford, CA: July 9, 2009 2:49 am

same here!!! banks arent doing a thing… Im in a 13% 2nd mortgage that i signed for 2 years ago… Banks give nothing but the run around and Ive spent at least 4 hours per week on the phone. The best thing is.. I signed for a 6% mortgage and the 13% is what showed up… trust me attorneys will not touch it. As soon as I get out of these prepayment penalties. All I can do is refinance. Thanks Chase!!! Love ya
Posted By gavin, louisville, ky: July 9, 2009 1:27 am

I have a loan with EMC mortgage and I have tried 3 time to do a loan modification. Emc denied me 3 time. I think the loan midification is not working and EMC are hard to work with ,very hard. They really dont care.
Posted By wally Dabbagh,forney tx: July 8, 2009 9:46 pm

We have First Mortgage Financial and we have tried to modify our loan to extend the note to a 40 year loan so our payments would go down. The attorney we hired said we qualified but they don’t want to work with us they just seem to rather have another house in foreclosure. This new law is just a load of crap. We don’t want to lose our house, but my husband is the only one working and he can afford to make the payments by himself. The only thing they will do is put all the payments that we are behind back into the loan but know we have to requalify , it makes no sense, we are telling them that we can afford the house. It seem that we no longer have any options how are we suppost to prove that we can afford the payment with me not working, we preatty much have to just let the house go. Three years paying our home and now we have to let go, they just don’t care.
Posted By Jess, Lucerne Valley CA: July 8, 2009 5:35 pm

Whoo, hoo! I just received a letter acknowledging that I sent paperwork in for the Mortgage Modification Plan. Let’s see I faxed it on 4/27/2009 and Chase promised a letter within 21 days. Actually, it was 42 days.

Previously, I called and they acknowledged the paperwork was received and they wanted updated Paystubs, Bank Statement and this is really funny a Rental Agreement for a Sold Property. They had already received the 2008 Tax Forms which clearly spelled out that the rental was Sold. So we made it crystal clear by sending them six additional pieces of information to prove the property was sold. I just faxed the documentation.

Now, I call again to be sure they received the documentation and they have it. Yeah! I explain to the associate that the rental property was sold and someone needs to learn how to read the tax documents they already have on file. So she then asks for W-2’s for 2008. Okay, I am looking at the fax cover sheet, provided by Chase, detailing all the documents they want and it does not ask for W-2’s. Oh, it’s the government who wants the W-2’s, she replies. Well we also signed a 4506 that gives them access to three years of tax returns. The 1040 returns show the W-2 income. How many times and how many ways do you need the same information? Dead silence on the phone. I actually thought she hung up, but she was completlely befuddled and could not come up with an appropriate answer.

This is priceless, she tells me it will be reviewed in 90 days add that to the last 42 days and the process is at 132 days. My call a few weeks ago it was only at 120 days.

I ask for a supervisor. Okay, no problem. Then she tells me his busy. I told her I would remain on the line until I spoke to someone. Meanwhile, I have now faxed the W-2’s.

So the Supervisor comes on the line and says that it could take up to 90 days, worst case scenario. I replied with why don’t you just wait until interest rates go up to 9 % and consider the applications at that time. I told him I was pretty much done with the whole scenario and I should probably just walk away. I don’t even have a late payment, but our savings is dwindling because our income was cut in half. (Read below for the previous blog on 6/16/2008)

This guy at Chase tells me that I am speaking to the Modification Area that handles only borrowers that are late no more than one month or not at all. Oh, and by the way, they have hired more people. Good for them. All temporary jobs that they will dump later. You have to feel for the employees, because it’s not their fault it’s Chases’ inability to run a business efficiently. But they certainly have received alot of loot for being so stupid. Anyway, I told him the W-2’s are on the way it’s a clean file, just get it done.

By the way there is no communication from these people, you have to bug them over and over again. I hope that I become so annoying they will just get it done and be rid of me, because I made it clear that I was not only blogging this on CNN, that my next step would be to send the loan package to the White House, AZ Senator & AZ Congressional Representative. If all else fails, I will just send it directly to Fannie Mae. Surely, one of the aforementioned will know what to do, NOT!

I told the supervisor, I realize he has to deal with very upset people daily, but in all honesty, I don’t really care. So just get it done.

Okay, now here is an award winning thought. If they modify a mortgage that has no late pays, will they report anything negative to the Credit Rating Agencies? I have no TRUST in these institutions. But I will be all over them and scrutinizing their every move, until they just get it done.

I wish everyone here good luck, going forward. Stay on top of these folks, until you succeed.

Below is the previous blog I sent on June 16 which might be of some interest to new bloggers.

The Mortgage Modification Plan is “The Great American Scam of All Scams”, maybe Mr. Obama should read these comments. Like many of the people here we bought a new home in September 2007 and put 20% down with a 30 yr fixed at 6.25%. My spouse was layed off in January 2008 and did not gain employment until September 2008 and at a reduced income which equals our yearly mortgage Principal, Interest, Taxes and Insurance. Our credit scores are 800++. We did not miss a payment, we have no car payments and we pay off our credit card monthly. We now just work to pay bills. We used savings to keep pace. We paid $ 478,000 for our home with upgrades and the builder is selling homes to our Canadian neighbors at any price they will pay because they shell out cash. Our home is worth less than our mortgage. We sent in a Loan Modification in April to Chase and after 30 days with no reply, we called. They said that they had the paperwork; however, it had not been assigned and that they are looking at 120 days for this program. We guessed that was for any acknowledgement, not necessarily an approval or denial. They do not have enough people to handle the volume. We only want to have our mortgage payment reduced to a 31% LTV. Any banker or mortgage company that suggests that people miss payments to get help is completely irresponsible and setting up the American Public to be further screwed. The lower your score the higher your interest payments for everything you purchase on credit. What a great idea to make money for the already greedy banking industry, “Who and What was Washington thinking about when they came up with this half butted plan?” As a previous mortgage underwriter of 15 years, I know this business inside and out and trust me after 3 years with, Countrywide Home Loans, I got up and walked out. They wanted me to sign off on an FHA Loan so they could get documents out to title for a loan closing to please the realtor; however, the loan was in no position to be closed. They simply wanted me to sign it without even reviewing the loan file. The Operations Manager was completely unable to make a decision, because she didn’t know how to underwrite loans. Boo, hoo, maybe a little training for managers might go a long way. I stood my ground and they attempted to reprimand me so I left and that was in July 2003. Angelo Mozillo (Countrywide Chief Executive Idiot and Thief). I use to tell people Countrywide was the next Enron, but no one wanted to listen. He should be hauled away and thrown in a deep dark dungeon where he can live happily ever after with the other rats, just like him. Trust me this has been going on for a very long time with all the lending institutions. Nothing has changed. Credit is now tight while the industry figures out new ways to get back to being rich quick and they will. First they get all the money they made over the last years, then our tax dollars and then because their programs were sold by untrained loan originators to people who clearly could not absorb these payments in any economic down cycle, they will get big bucks again from all the loan victims with credit ratings that will be in the dumpster for 8 – 10 or more years. Wow, what a STUPID PROGRAM. Totally disgusted. WAKE UP WASHINGTON. You have no control over these institutions. You can have as many regulatory agencies as you like and rules for them to follow and you will not stop these thieves. Washington has given them a Carte Blanche mentality. They are not Harvard smart they are Harvard thieves. They refer to it as talented and creative. In fact, they are creative, talented master thieves. They walk with millions and we have to pay so they maintain their lifestyles of the rich and fabulously talented. We will all survive this, no doubt, but we will all have to suffer together and don’t bet on any help. If you don’t fit into the box they have built you will get nothing . . .

Posted By BMK: June 16, 2009 11:06 pm
Posted By Bonnie, Phoenix, AZ: July 8, 2009 5:33 pm

MAN!!!! Reading all this it’s a no wonder the Banks think we’re all stupid. Maybe they are right. If you have taken out more than 80 percent financing on a home since 06 what are you doing still paying!?!?!?! Rich people rule number one. (Don’t pay interest on a depreciating value). All homes are no subject to that rule. Rental space is at a 20 year high!! AND it’s cheap!! Forget getting a Mod. I know people who have not made mortgage payments in 24 months living in that same house and are mkaing over 150k per year. They are stacking all their funds and will buy a home for cash.
Posted By James Hinsdale IL: July 8, 2009 5:24 pm

Frustrating…I am on my THIRD set of trial payments with Citimortgage. I was previously told I was on trial payments and then my modification would be permanent. I am about to make my 3rd trial payment and was told I have to start trial payments over then mod is permanent…
Posted By JD, Denver, CO: July 8, 2009 4:53 pm

I been waiting to get an answer from Chase since Dec. 2009 and still I am getting the runaround. The told me that their systems are down and call back on Friday. I was told to call on Wednesday when I called on Friday. I have been told on several occassion that they are working on my Loan Mod. and come to find out they were not working on it at all claimed I didn’t call so they cancel the request. This is getting crazy and I need to know what I can do bc they are draging this out for what reason?
Posted By Elease, Charlotte, NC: July 8, 2009 4:20 pm

We have been trying to refi since Dec, because we found ways to pay it we don’t qualify. National City has been rude, they don’t listen to why you are calling and no one has their story straight!!
Posted By Jim Coventry RI: July 8, 2009 4:08 pm

I’m writting because my husband has tried to get help from our mortage company. They don’t call back he has contacted them several times and he gets answers like we don’t have all you paper work, or he makes to much money. Do to the ecomony his imcome has decresed quiet a bit. They even said his payments where on time so he can get help.So he has gotton behind and he is behind right now and they still wont help us.My husbands work is contruction.we could sale but the price of our house has droped and we can’t get what is owed on it. We would love to keep our house but our payment is more then we can handle right now. If we could get it lowered it would be a greet help to us. please give us suggestions you may have.Thanks
Posted By Saundra Nelson: July 8, 2009 2:33 pm

One my third try (starting in April, ending in Mid June) I finally reached someone at Citibank that could help. Seems they really didn’t have the system up and running until then. Everything before June basically went into a giant black hole. The rep took all my info, told me I qualified and said I had to wait 14 business days for the market appraisal on my home. I called back in exactly 14 business days. The appraisal was in the system. Twenty minutes later I had my rate reduced to 4.125% for the next five years at which point the loan can vary with LIBOR up to a max of 5.4%. Took about $400 off my payment. Now I was not behind on payments, have a stable job and make a good salary. I didn’t “need” the program the way many people do. But I qualified so I took it. So Fannie Mae makes slightly less money off me over thirty years. The government will make it up in tax increases.
Posted By Frank, OR: July 8, 2009 1:50 pm

And people want these clowns to “fix” healthcare that no one has proven is broken? Good plan.
Posted By Tony, St. Paul, MN: July 8, 2009 1:34 pm

Many lenders are not applying the “Obama Guidelines” on conventional mortgages because they aren’t owned by Fannie Mae or Freddie Mac. This is giving the lenders an out to modify the loan using their discretion/guidelines which aren’t as beneficial to the customer. We are a law firm specializing in loan modifications.
Posted By Mark Bigelow, Royal Oak, MI: July 8, 2009 1:20 pm

We got into this mess almost 2 years ago. When my husband lost his job we put the house on the market but in order to short-sell we had to stop making payments. Which we did.IndyMac had the loan. The house never did sell. We renegotiated when he got another job( we thought) but this January after making the payments for 9 months – on time without fail, they suddenly sent our payment back and said all bets were off because they didn’t get the September payment until the day after Labor Day so they considered it late. No arguing with them – they promptly put us in foreclosure. We filled out the newest paperwork that had the government standards on it – faxed it in June 2nd. It just got put into their system on the 26th. We’re supposed to foreclose 9-16 and we’ve been told it takes them 30-60 days to look over the paperwork once it’s in their system. If the house forecloses before then, too bad for us is what they’ve told us. What is the deal with these banks? Does it really make sense to let a house get resold for $200,000 or more less? There’s no customer service and the right hand doesn’t know what the left hand is doing. They could care less about servicing these existing loans. And IndyMac just got bought out by a new group of investors.
Posted By Mary, Denver, CO: July 8, 2009 1:15 pm

My wife and I have hit all the major roadblocks thus far in the refi. Told we havent missed a payment so sorry cant help, sorry dont have enough equity in your home (190,000 loan home appraised 200K). I want to know why persons with excellent credit (both of us have over 720 credit scores) cant get a refi (just combining two loans here, not trying to renegotiate the terms) under the Presidents plan. We fit all the terms but the lenders are the ones saying no. There should be a way or agency to handle this expidiciously. Why talk up a great plan but have non of the resources in place. JP Morgan toughting 87,000 refis that sounds like a huge figure until you look at the number of mortgages held then its less then 10%!! Who are all these lenders trying to kid! They are doing everything they can NOT to help folks. Why else are all these run arounds happening? When the mortgage bubble was at its peak dial a lender 24/7/365 and within moments not minutes or hours you had someone selling you a loan for whatever you wanted. now ask for help and its nothing but runarounds. I have one word for these lenders, loansharks!!! Yes folks the deceptive practices and exorbanite penelties are the same yet these “lenders” are not investigated. Shame Shame Shame
Posted By Jude Hewitt NJ: July 8, 2009 12:37 pm

Has anyone else run into the issue that when they refinanced during the boom 5 or so years ago, and thought they were being refinanced into a mortgage they were refinanced into a home equity loan? Our home in Indiana that we have not been able to sell was refinaced 6+ years ago for what appeared to be a mortgage – then when we try to utilize the home affordability we find out our loan doesn’t qualify…..we are trying to sell the house, but there is almost a $20K difference between the loan and the value of the house – it would qualify under the new phase (125%) but because of the way it is written it doesn’t. How many are now caught in that trap. It appears that US Bank was big on doing home equity vs a refinance into a mortgage. We are stuck and there appears to be no avenue to get any type of adjustment or remediation. Believe me it has crossed my mind to just send the keys in and walk away.
Posted By Deb, Monroe MI: July 8, 2009 12:17 pm

The first day in March when the 800 help line was announced, I called and received all the instructions for applying for help. I sent in the hardship letter, paycheck stubs, etc and mid-May the response was–your loan was sent to a negotiator–give us 30 more days–finally the negotiator called to say since u haven’t missed a payment, we cannot help even though your loss of income is substantial. They referred me to to Freedom Mortgage who said that to refinance my closing costs would be $4500 and my fixed 30-year rate would only go down from 6.6 to 5.5…$185 savings when my income went from $3500 a month to $1000
Posted By denise fair, 139 tillman ct mcdonough ga: July 8, 2009 11:49 am

What a grabage half-effort system! Forget it! We unfortunately not only CAN afford the mtg on our worthless house, but also are not backed by FNM/FRE. So we’re basically S.O.L. Our house is worthless because of the crash so we’re throwing thousands into a hole on a monthly basis. We should seriously consider not paying a dime anymore whats the point?
Posted By Steve, West Islip, NY: July 8, 2009 11:25 am

I received a mortgage thru Countrywide
Home Mortgage for a 2 bedroom condo property in the Orlando area. When the sale of this rental community turned to condos the ‘preferred lender’ to use was Countrywide. If we used them we would get a 1/2 point shaved off your rate.
I used them and so did many others in the same 360 condo complex. The problem was they put in a 5 year ‘pre-
payment penalty’ that slipped thru during the closing. The fact that this was in place kept me from selling my unit in a falling market and pay them some $4000 in early termination fees. The market was falling because they gave out so many ‘toxic’loans to individuals who were probably not qualified to have a mortgage in the first place and eventually when these people started to ‘go under’ they pulled down the selling prices of all others condos in the development. That is one problem. The 2nd problem stems from how the actual Countrywide Corporation works. I might mention the I bought this property as a ‘eventual’
2nd home one day. But, finding a renter sometimes was difficult. The
problem I am having is with the actual way the Countrywide customer service
is set-up. I am having trouble with the mortgage and have asked for a modification since November of 2008. Everytime you want to follow-up with the process you never get the same person twice. There is no continuity in working with the same customer service person or work-out person twice. There is no thread to the original request and I am finding you have to explain the whole situation over and over again to a new person, who in the end cannot provide an email address for themselves to be contacted,
nor a last name, nor a solution or accountability.
Apparently, owners like my self who are trying to do the right thing, pay on-time, want to hold on to their property are finding that because I don’t live in the property I have no options at all to get a modification under the Obama plan. The values are under what I owe and I acnnot refinance either with them or anyone.
I had been told by Countrywide/Bank America Reps that people will be reviewing my account but, they cannot actually look at my request until I am 1-2 months late. You have to be late before they can do anything! It sounds ridiculous to me to have to put yourself in a bad credit situation to get noticed. They have virtually no follow-up in the process at all. You won’t get a call back nor a letter specifying your request. There is no acknowledgement. If you are lucky to get a call back and miss the caller,
it is virtually impossible to find the caller again. Something else about their customer service, you sometimes are sent to an India call center and speak to people who have no idea what you are going through in the states and your problems with the market here!
My last comment is that there sems to be no help for a home-owner who bought a 2nd property and is not living in it.
The fact is that my condo development has an mix of owner occupied properties and owner (2nd property) rentals in the
same complex and we are all in this together. The fact that is that once people realized they were under and did not care enough about their credit just picked up and left vacant properties to be foreclsoed brought the values down for everyone regardless if it is your first home or 2nd home. Right now, I have to be late before someone will act on my modification request. I sit here waiting to hear back from people who are analysing my financial statement I submitted 3 weeks ago for the 2nd time!
Posted By Ron Babineau, Freeport, NY: July 8, 2009 11:15 am

There is nothing that forces the banks to modify your loan. They are busy making new loans and business that will generate them $$ :) Your loan modification will only force them to take less than what they want. Banks already have the stimulis money so why should they give it to you? There is nothing in the bill that forces them to lend it. Our Polititians get HUGE contributions from lobbyist from big business. Which allowed AA ratings on B securities that were sold to the public, and Big business pocketed profit off those same toxic assests. Now some of those profits get contributed to the campaigns of our politicians, so deregulation can be successfully lobbied for. Listen to me. If you are behind DO NOT send your money to the bank. IF you are going to get behind stop sending money to the bank. Save your cash cause you will need it to get a place to rent. Stay in your house as long as you can and have a rental in place. When it’s time to move take your saved cash and settle your credit cards for 60% of the value and be debt free. You will have cash flow that you can save up and when the market bottoms in the next 5 years you can buy that house you’ve always wanted cheap! The forcloser has an effect of 4 years only, and probably will have lost it’s stigma becuase of it being the norm by then.
Posted By Nick Chicago IL: July 8, 2009 10:22 am

We have the same problems with Chase. I lost my job and went back to work months later but took a HUGE pay cut and now we can barely afford our mortgage payment. I called Chase and they told us that they are only helping out those borrowers whose loans were originated with Chase that they service. Our loan was originated with TD Banknorth so we called them and they said because they don’t service our loan they won’t help either! I finally called Chase and told them that at this rate we will end up paying late. The rep told us we could refinance but we would have to come up with over $9000 dollars! Heck if I had that kind of money I wouldn’t be behind! Needless to say we may end up losing our home because we originated at one bank, who sold our loan to Fannie, which is now serviced by Chase who doesn’t care if we are late or if we go belly up. I wonder how long these financial institutions will be around once everyone ends up losing their home!
The concept of the program is admirable, but the execution…
Posted By PPratt – Portland Maine: July 8, 2009 9:47 am

I think the idea behind the assistance is great; however, it does not solve the economic problems when the financial institutions are moving to slow.

What about the families that have been forced to abandon their home, move to another state for employment, and are now facing foreclosure? There has been no mention of help!

My husband lost his job and was unemployed for four months. Finally, he found employment, but 1200 miles away. My husband and kids moved while I stayed back to try and keep us a float. That only worked so long and now we are facing foreclosure. The house has been on the market for 9 months and we have already dropped the price by $50k and still no bites. We have even tried a short sale to try and salvage our credit but that does not seem to be working out.

There is no help for us at all!
Posted By Susan Baton Rouge, LA: July 8, 2009 9:32 am

When you bailout the bank industry after unprecedented greedy and reckless behavior, you instill a message that they can do whatever they want with impunity.

Why is anyone surprised they are not “doing the right thing”?
Posted By Joe: July 8, 2009 9:28 am

We got our mortgage responsibly, above the income to loan ratio and lived a comfortable life. Husband and wife borrowed with a ratio of income 2:1. The larger income earner of the two lost a job, bringing down the income to loan ratio to 25% and expenses rose more with a new baby being born and day care costs. Our house was underwater by 105%, we are a typical case for loan modification or refinance. We are still current and our reserves are running out, next step will be take out loan from the credit cards and we have approached the bank 6 times, faxed papers, filled out four online applications which says give us a 30 days time, we have 6 different numbers to call and banks have named the government’s plan diffrently and we have not got any approval or help. The bank is making us go around in circle. We will be calling next week again and see if we get any help, we are beyond frustration when we are already distressed with a loss of a major income coming into the family and a change in our lifestly. our mortage is with citimortgage.
Posted By Aparna, Manchester, NH: July 8, 2009 9:26 am

I’m with all these people in the same position with Chase. I put in the application in Feb. and got no response until June, still not been approved for anything and have called the assistance department at least 3 times a week since Feb with no returned calls. Chase is the most difficult mortgage company to work with because nobody knows what is going on there
Posted By Shannon Hamby, Lenoir, NC: July 8, 2009 8:49 am

My story is almost identical to Jose’s. In February we started the refi process with Countrywide (They held our mortgage already 6.25% on our first home bought almost 3 years ago, with the principle around $215K on a house we paid $269K for which is now estimated at $240K.)
Things started well. They gave us a great rate (4.350) and depending on who we talked to 1.5 or 1.25 points. And then BoA engulfed Countrywide and…

We called, they didn’t call back. We called, they didn’t call back.

But then, one day, a guy calls up and says: We are really sorry, we are backlogged with all the refi and the corporate change, but we have looked at your offer and this is what we can do, its even better!

So I said, ok, and we started again, after all, they still had the $400 I had paid to start this whole process, and…

They didn’t call. So I called. They didn’t call back. So I called…

And then one day, in June, they called and said, they were sorry, we were still locked in for our great rate (which was significantly better than I could find anywhere else) and now they wanted to streamline the process and get this done, could we resend all the information we had sent before…

Ok. So we did that. And the next thing we know, a lady shows up for closing (with paperwork and numbers that closely resemble what we were offered, but the 1.5 seemed to win out over the 1.25 we were told…) but we signed on the dotted line anyway, because it was still a million times better than what we had and a rate that low couldn’t be bought with 1.5 points anywhere else.

Why did things finally start moving? The appraisal they made was about to expire and they didn’t want to spend another $500 having an appraiser come out to our place and have the number come back lower.

That said, the appraisal was so low we had to kick an extra 5-6K at closing +3K for the next months payment essentially.

We passed on the FHA loan because even more money would have been due at closing and we would have been locked into mortgage insurance for the next 5 years, but if our appraisal had come in $10K lower we would have had to use the FHA loan.

Anyway, the term of our loan is now 15y instead of the 27.5y we had left on the old loan and our payments have actually gone down. So… its worth it. We will save $140K over the life of our mortgage, which more than makes up for the $30K we lost in the appraisal, which I suspect we will get back slowly but surely over the next 10 years anyway.
Posted By James Moulton, Plano, IL: July 8, 2009 8:29 am

Where is the love????

I,like many others here,have sought to refinance just to bridge the gap until the home market recovers.I’m told my DTI (debt to income ratio) is too high to refi…!!!I’ve never been late or missed a payment. Why don’t the honest ,hardworking Americans who are trying to weather this economic storm being rebuffed at every turn?

I’m not seeking freebies. I just want an adjustment so I can survive. Why do banks tell us that they can’t help because we’re NOT in arrears?That is ridiculous.They will ultimately force people into foreclosure who didn’t have to be there.Where is the banks’accountability???

PLEASE help, Mr. President.

I love this country and could now use some help…God Bless America

PS I came out of retirement to work again, and my business just shuttered the doors yesterday afternoon.
Posted By Sawgrass, Naples,Fl: July 8, 2009 7:53 am

We tried over a 4th period to get Countrywide –> Bank of America (BOA) to process our loan using Obama’s refinance loan plan. We didn’t require an appraisal nor did we require to pay mortgage interest through this plan. However, that was all that good about this plan. Each time we received papers from BOA, the interest rate and other figures were wrong. After fighting with them for about 4 months, it finally came down to the closing and the papers we received which indicated how much we had to come to closing with was over $2000.00 more they originally stated on the good faith estimate. We ended up cancelling and now the $400.00 we were forced to pay for an application fee and a $35.00 fee for a credit report was just thrown in the wind as they are refusing to pay this back to us. The whole thing is a scam with the banks getting money from the govenment and from us that are trying to refinance due to hardships.
Posted By CKahn, Leesburg VA: July 8, 2009 7:44 am

In all the “hard work” banks are putting in with “helping people refinance,” it has affected new loans as well. I put an offer on a house in early April and wasn’t able to settle on the house until June 10, because my loan sat in underwriting for weeks. And this comes from 2 applicants with enough cash, income, and credit scores over 750. The excuse? Lenders are swarmed with refi’s. From what I’ve read, the lenders haven’t done much on that end either..
My only solace is that we have a really low rate and are finally in the house. All’s well that ends well, right?
Posted By Tom, Newark DE: July 8, 2009 7:37 am

The scheme of home mortgage loan modification is currently a sham in many cases and it has several billions of manhours and resources of consumers tied in just for applying. I did a thirty page fax work for our bank and nver heard for more than two months, that was when I approached the Controller of Currency with a complaint, it is now two months since that happened -finally we only have a letter this week from the bank stating they will decide in another thirty days. Some days ago when I contacted the bank (Chase Home Finance, lender), they said they would seek about ten thousanbd dollars upfront costs and refinance my loan but not modify it -even though I am UNEMPLOYED!
So much for the federal guidelines and enforcement, having given hundreds of billions of taxpayer money to the banks!
Posted By P Pinninti, Princeton, NJ: July 8, 2009 7:19 am

I have been trying to refinance my loan for several months now due to medical reason. I am not working the same amount of hours that I was previously working. I submitted my paperwork three times to National City Mortgage. The first time I was told I have a budget deficit so they could not help me because I do not make enough money. The second time I applied I added my husband’s income which I did in the first application as extra income even though he is not on the loan. The second time I was told that I make to much money because I have an extra 1200 per month which is not true because I have medical bills to pay which varies from month to month. So my question is how can I not have enough money one time I apply and two much the next even though I listed my husband both times. It is so unorganized and insane I don’t think they are really trying to help anyone.
Posted By DF, Atlanta, GA: July 8, 2009 7:05 am

Yes, and everything was going well until the bank manager realized the loan officer who refinanced me with a fixed rate in 2005 made it a “sub prime” loan; which she said should have been impossible; I never fell under that category with the job I had then and my credit ratings all in the high 780’s. She doesn’t know how he even got that paperwork to go through, but … I’m screwed.
Posted By Karen, New Richmond, Ohio: July 8, 2009 6:38 am

My problem is that I am current on my mortgage payments. If I would just get behind a little, I would qualify. WHAT A JOKE!!! I get punished for being on time and current with my payments.
Posted By Anthony Tumolo: July 8, 2009 6:22 am

Why are people falling behind on mortgage payments? I know that some have lost their jobs, but others (like the family pictired in the previous article) must have made poor financial decisions. I have a blue-collar job, I make good money because I work a lot of overtime (20 + hours a week), I have one child in college, and one who just graduated law school. I’ve never taken out a student loan (although I do have several thousand in credit card debt, which I will have paid off within 6 months of my younger childs graduation), instead paying for tuition, room, board and books out of pocket and with savings. I also do not own any toys (boats, motorcycles, etc) although I will in a few years WHEN I CAN AFFORD THEM! Many of the people crying poverty bought more house than they could afford, own boats (and with them trucks to tow the boats), motorcycles, etc. If the government bails all these people out, MY taxes will go up…and I will be NO BETTER OFF. Americans have become spoiled by living in a society where one is not expected to be held accountable for their actions, and as a result, people who are responsible are continually forced to foot the bill for those who aren’t…It’s time for this welfare mentality to stop!
Posted By Greensboro, NC: July 8, 2009 5:54 am

I paid $82K for a condo 3+ yrs. ago. I have surepay……pays every month on the 1st. Same Lender/with Others have foreclosed on 8-10 units in the past year. They are now selling those units for $12-$18K. I called to see that a modification should be in order. My credit score is above 800. I was told, we (Lender)can not talk to me until I am 90 days behind on payments.(Behind on Payments). This is asinine!!!!!!!!
What do I do…..I’m going to give it to somebody if they want and will make payments. No more surepay as of July 1st. Who in their right mind would keep this condo/loan? How many years before it’s even a break even situation paying on $82K.
Posted By Jack Bohannon Tempe, Az.: July 7, 2009 5:36 pm

I had hope when I learned of Obama’s plan to help home owners refinance mortgages to more manageable terms.

It made sense, after all my mortgage company was one of the banks that received my tax money in the form of a bailout.

But, I soon became disgusted. My mortgage company said I didn’t qualify for restructuring because I was current on my payments.

So, I let my mortgage run past due and reapplyed, and I was shocked again, when I was told that I still didn’t qualify because I was current on my payments.

Bottom line, I think Obama’s claims of helping the middle class working people with their mortgages was a publicity stunt, to justify giving our tax dollars to the bankers.
Posted By Kimberly, Estacada, OR: July 7, 2009 4:51 pm

I am so upset that all I can see right now is red. My husband called Wells Fargo yesterday to finally find out what happened to the so called “letter” he was suppose to receive from a customer service rep he spoke with two weeks ago. He asked him what was going on and he told us he didn’t know and that we would have to wait for this packet of information fill all of it out and send it back. Apparently one was already sent out to us that we never received so my husband requested another one. When he talked to the rep yesturday we found out our plan that we qualified for was terminated because we never payed the 1300.00 on the first. WHAT!!!! We knew nothing about this!!! They said this was approved on June 11th and that a letter, not a packet of forms, was sent out to us to sign and send back. We told them we did not receive it and that we requested another one. They see the call but the rep did not put a request in to mail out the letter. AND he put notes in the system that he explained the whole plan to us. This was taking our mortgage down from 2700.00 a month to 1300.00 and we would just let it go and let it terminate!!!!!!!!!! What the H**L!!!!!!!!! He LIED!!!! These people are playing us and they want us to lose our homes. I have 3 little kids. A 5 year old a 3 year old and a 1 year old and they don’t give a d*mn about anything except their own stomachs. We spent months trying to get approved for this and we would just throw it away!!!!! I cried my eyes out last night. Now we have to spend money on a lawyer because we are not letting this rest. My husband spoke to several people and they told us to reapply. We don’t have the time or money to reapply and we would probably get turned down since it looks like we didn’t care that we got approved on the first one. In the meantime we lose our house. I am just sick… And I don’t know what to do…
Posted By Trisha, Jordan, MN: July 7, 2009 4:32 pm

we have CourtryWide/Bank of America Trying Dec 08 for a loan mod with the help of NACA was turn down 6/18/09 it was resubmitted on 6/23/09 there is no help!!
Posted By Martinez, West Palm Beach, FL: July 7, 2009 4:10 pm

We are not behind on payments but have a fixed rate (Fannie Mae Guaranteed) loan with Countrywide/BoA that we want to try to refinance and get a lower rate. We do not qualify for any relief because #1 we have mortgage insurance and #2 our loan to value ratio is now a whopping 134%. Tried calling Countrywide several months ago and was told that I needed to wait while they figured out all the details. After no response, called in again…this time to BofA…and now I have these other obstacles to overcome. Seems as though the only way to get help is to actually stop paying my mortgage payment…why does it take that extreme measure?
Posted By Arthur, Rancho Cordova, CA: July 7, 2009 3:59 pm

I work in the finacial services industry in sales and my comissions have been cut in half. Additionally I live in a state, AZ, where property values have delcined over 50% since the peak in 2006. I tried to get help from my mortgage company, First Franklin, with my ARM but they turned me down. They said I make to much money? No I am stressing about how I am going to pay the balloon payment due in 3 years? My ARM continues to adjust every six months and I cannot refinance. HELP!
Posted By Cole Philips, Mesa AZ: July 7, 2009 1:33 pm

I’ve been attempting to work with Wachovia over the past several months (since March-09) in hopes of doing a loan modification to reduce the interest rate and monthly payment.
So far, I’ve been getting nowhere with anyone I’ve spoken with at Wachovia. The government Home Affordability act is a huge joke. I’m ready to walk away. Has anyone had any luck with this bank?
Posted By P, Concord, CA: July 7, 2009 12:58 pm

I voted for Obama hoping he would keep his word on mortgage help. Now that he is in office…nothing! Just like all broken promise elections. They are all the same. The banks run this country. I have tried with BofA and GMAC to get help after losing one of my jobs and all they do is come back with a plan to “Get caught up”. That’s not help. So as one house has lost $400,000 in value and the other $150,000…they can have them. Obama’s plan is nothing but air.
Posted By Mike, San Diego, CA: July 7, 2009 12:47 pm

I forwarded the required information to Bank of America (CW) on March 3, 2009 and July 3, 2009 requesting a modification under MHA. Over the past four month I have been lied to and deceived on a number of occasions from do not qualify to you will receive a call in 60 days to you need to apply for a conventional refinance to be denied. I have sustained a 50% reduction in income since the loan originated and fit the other requirements to be eligible for a modification. Lastly, I am in touch with A HUD counselor to move the process along. The service and deceit is dispicable with B of A.
Posted By Steve forde, Chicago IL: July 7, 2009 12:24 pm

If your mortage is with Wells Fargo Bank, good luck. They are the most difficult and inefficient banks. It seems to me that they do not understand the meaning of being customer focused.

I have been working with them for more than eight months and I see no resolution to my case up to now. They keep telling me that my cases is being reviewed and it is on the negotiator’s desk. My house is in active foreclosure now due to Wells Fargo Bank internal mistakes made by them and/or its own inefficiencies.
Posted By Rick, Saugus, CA: July 6, 2009 6:26 pm

I applied back in April for the Loan Modification / Refinancing under President Obama’s Home Affordable Program. Bank of America (Countrywide) has not been helpful at all! I have two loans with them and struggling with both. They refuse to help me even though of my job loss. Everything is falling way behind.
Our tax dollars went to bail out these banks and in order to get this economy moving. They need to help the people.
Also, I have been seeing a lot of new construction of new banks being developed in my area. Is this where the money is going? The government needs to step in again.
Posted By dave, CT: July 6, 2009 6:10 pm

I’m a small business owner that has been affected by these hard economic times and like many of you I have applied for the loan modification with Chase which has our mortgage. Chase has had our documents since May 4th. I was originally told that it will take 30-45 days to process our application. Once that 45 days past I began to call once a week and every week I would get the same bsa answer “Your application is still being processed.” Meaning it has not been given to an agent to review yet. I can never get an answer from anyone I speak to at Chase. They keep giving us the run around. I was told that if I do not make my July payment then call in after the due date I may be able to get further assistance. When I asked if I would get a negative hit on my credit the rep said yes. What kind of since does that make. I don’t blame Obama for the mess that’s being made by these banks but he can put the pressure on them to process these modifications.
Posted By Nick, Accokeek, MD: July 6, 2009 5:55 pm

Agreed – No one really cares about the banks that AREN’T helping! I’ve been trying to modify my loan since November of 2008! NO response from Indy Mac YET!!!! Indy Mac reps continue to give me different responses (1) “You haven’t applied to anything” (2) “You were denied already” (3) You should have a response soon… :: Then my primary home loan company COUNTRYWIDE has denied me once because I was making payments (the 1st time I applied it took 5 months for a response). Then COUNTRYWIDE denied me again b/c I WASN’T making my monthly payments, WHAT THE HECK DO THEY WANT, my kidney, liver?! Now I am in the process of applying again with the Obama plan supposedly helping me…and I just won’t make any more payments, Countrywide has made so much money from me it’s ridiculous.
Posted By Isabel, Silver Spring MD: July 6, 2009 4:42 pm

I have been trying to get Wells Fargo to redo my loan for 6 months now. At first they asked if I was behind, and when I said no, they acted like I didnt need any help. So I quit making them, and now I got laid off from work and they say I need income. I have a 15 year mortgage, and all I wanted was a new 30 year mortgage which would reduce my payments. But now I am facing bankruptcy. I dont have the leisure to just sit around and wait for them. Meanwhile a lot of taxes are going up in Florida, and I will bet taxes are going to rise everywhere to pay back all this money that apparantly is not going where it needs to go. The banks will just come out richer over this mess and the average american citizen will get screwed again !!!
Posted By Archie C Williams, North Palm Beach, FL: July 6, 2009 3:32 pm

Because of the PMI on my mortgage, Bank of America tells me that I have to want for Phase II of the Obama program to apply for refinancing. The traditional refinancing was denied because the value of my home has declined because of the market. I have just about drained my savings to keep up with my mortgage payments. When will the next phase be implemented? when I finally lose my home?
Posted By B. Johnson, Texas City,TX: July 6, 2009 1:24 pm

We got behind when my husband lost his job, we ALWAYS sent some $$$ toward our payment, I started making full payments, was then served with foreclosure; I freaked! I spoke with 5 different people~got 5 different stories, was told all the money I had been sending never went toward the payment, it is ALL in a “Suspense Fund” this fund will pay my Attorney fees and penalties!!!!! So please tell me..Where is ALL this help from our Government???? Now I work 2 jobs (glad to have a job), have no Health Insurance and not getting a straight answer from Chase….Mr. Obama where are you?? HELP!!
Posted By CCarte, Purcellville VA: July 6, 2009 10:04 am

Really, IS ANYBODY READING THIS? I have the same problem with BofA giving me the go-around. I have applied to all the different programs and it always the same story. Then all that you hear from the so called expect on TV is what the step are and that we should keep calling. Why it is that, nobody is talking about THE BANKS NOT REFINANCING!! I have not heard or seen one report on any media, Let face it people they really don’t care.
Posted By mabel, st louis MO: July 5, 2009 8:38 am

Obama’s “Home Affordable” plan is a HUGE scam in that banks don’t have any set time frame for processing applications. I applied for a modification under the Obama plan in March with my lender US Bank. I was told I would received a packet of paperwork in 2 weeks. In 2 weeks I called back, was told to keep watching the mail. One month later I received a letter saying it could be 45 more days to reach a decision. At the end of that 45 days I called back, was told it could be longer, but they couldn’t say how much longer. One month after that (i.e. FOUR months after applying) I called back. They told me the original letters were sent out prematurely. Nothing had been done on my case, but they will request an application be sent to me in the mail, should arrive in the next week or so.

This is OUTRAGEOUS!!! The bank is doing nothing. And they are getting away with it because there are no laws forcing them to honor the Home Affordable arrangement. In four months, the bank has not even assigned me to an employee, and now they are requesting all the same info all over again.

It’s good to be a bank. No accountability whatsoever.
Posted By Mindy Wright, Vernal, UT: July 4, 2009 3:00 am

We relocated Michigan –> Florida 8/07 for a job and were unable to sell the MI house due to the poor market. We have struggled to keep paying for homes in both places and after 2 years we are at the breaking point. We contacted the lender in March re: the new Obama plan to see if we were eligible, followed up monthly since then and are still being told it is “processing”. Don’t feel that our lender has been helpful at all. We were very sensible with our purchase in 2003 of a starter home with a 30year fixed, thought we were doing what was expected and living the American Dream. What a joke.
Posted By Jessica, Orlando Florida: July 3, 2009 7:19 am

I’ve been told for MONTHS now that I cannot simply refinance for a lower interest rate because my mortgage loan has PMI. What sense does that make?

The bank rep even suggested that if I miss a couple of mortgage payments, perhaps then I could qualify for the modification program instead of refinancing!

I keep being told that “Phase 2″ has not been rolled out yet and those of us who carry PMI cannot do a single thing.
Posted By Kim, Charlotte, NC: July 3, 2009 12:32 am

To Los Angeles posted July 1, please see my post of June 19th by Nancy in Ocala, Fl. I did all the steps you say work and guess what, they don’t as you can see by the log I posted. To the numerous other posters that say all of us bought over our head or are trying to cheat the banks, many of us are in this position because of layoffs and medical bills, us included. Our income dropped approximately 50% in the past two years and we have great credit scores over 750 and over 800. We did not buy a house that was too expensive for us nor have we missed payments. We are not trying to not pay the loan nor are we walking away. So far we are paying out of our bank account. We are simply trying to get some temporary relief so we don’t have to go to foreclosure.
Posted By Nancy P. Ocala, FL: July 2, 2009 3:41 pm

I was fortunate with dealing with Ditech GMAC. Requested a lower interest rate on second mortgage and they approved my modification in 30 days. Went from 10.5% to 5.0%..,was really suprised and greatful,however the process with Bank of America is still up in the air. This is my 1st mortgage and I waited 30 days after sending in request to follow-up, was told there are 6 stages and I’m just in stage 1 which means they are reviewing it. Also told it could take 3 to 4 months, which is totally ridiculous. President Obama needs to hold these banks accountable for processing modifications within 30 to 60 days. If one bank can do it..,why can’t all banks do it? :( . So the juries still out on my 1st mortgage.
Posted By Sherry, NC: July 2, 2009 9:19 am

I want to know if anyone is reading these comments??? Where is the help that the government keeps talking about???
Posted By Norma, Freehold, NJ: July 2, 2009 8:25 am

I am trying to do Loan Modification / Refinancing my loan under President Obama’s Home Affordable Program but its always denied by my lender Wells fargo.

I have home loan from Wells Fargo .

I am trying to get help from Wells Fargo to retain my house as I am having difficulty in paying mortgage. My father had Cancer operation and I spent lot of money on his treatment and now every month I need to send money for my parents.

Horn able President Mr. Obama announce that borrowers whose loans are now worth up to 125% of their home’s value are now eligible to refinance their homes under the Obama foreclosure prevention plan announced in February. Previously, the limit was 105%.

I already sent my pay stubs and all financial details to Wells Fargo, so its like I am in circle and not getting any help from lender side.
Posted By Sandeep,Chantilly,VA: July 2, 2009 8:24 am

The sad truth is that the Obama plan was never meant to really help the public at large. Its sole intention was to be part of a great propaganda campaign to stop the free fall in the housing market, DOW, S&P and the Nasdaq. Reading all the stories before this posting confirms this. I work in the mortgage business, its been my profession for the past 12 years. I see no help for the majority of Americans. We are fast becoming a society where the majority will not have a sustainable wage. They were middle class Americans, but now, after sustaining major shifts in their household income, are reduced to a standard of living that cannot support them. For years I’ve talked to countless customers, none came to me about how their job was created from the brilliant “free trade” concepts that was forced on the American people. On the contrary, it was the exact oppostite. I was told story after story about how their job was outsourced to a distant country on the other side of the world. We will be a socialist society when Mr. Obama is all done with this country. We will be like Russia, a country with a powerful nuclear arsenal and controled by our Central Bank (which refuses to be audited by our Congress or any of the other legislatures that’s suppose to represent us)! The only hope we have is to raise such an outcry that those we elected must act in a meaningful way. Don’t give up on the tea partys! I hope to attend one soon, saw one advertised on someone’s back car window driving to work today. I’m not surpised that would be the only way I would hear about it, certainly not in the government friendly media!
Posted By Tom, Chicago, IL: July 1, 2009 7:40 pm

Not for nothing, but the fact that the banks are continuing to keep overhead low by not rehiring the necessary support is just another sign of the problem.

May I remind how muc TARP money was given to the people who orchestrated this fiasco?

May I remind you that the same banks now supposedly helping are sitting back and not helping. They’re staying at reduced levels of employment to handle the load plain and simple.

Not sure when Americans will wake up, perhaps never, but the simple truth is you’re being victimized by the same people that caused the problem and now have the money (OUR money) to make matters worse.

C’mon folks wake up.
Posted By Bobdoher Portsmouth NH: July 1, 2009 6:32 pm

These banks are greedy and extremely difficult to work with. My bank only decide to work with me after I was two months behind in making the payment. They drag their feet on every transaction. Also the banks do not like you going through a third party for loan modification. I went through a third party because I was not getting fair treatment.
Posted By I. Frederick, Tempe, AZ: July 1, 2009 6:03 pm

I am currently working for and consulting to a law firm that assists people with Loan Modifications and I must say it is disgusting how little the Loan Servicers and Lenders actually care for their customers. On a daily basis we find that we are routinely sending, resending and resending documentation that has been faxed and FedEx’d – we have to fight daily to get lenders to agree to modify for these clients who have legitimate hardships (medical expenses, deaths of a spouse or loss of work) people that in the past were able to honestly afford the mortgage they are in and due to unforseen circumstances can no longer – people who have liquidated their life savigns to remain current on a home that is now worth far less than they owe while the mortgage servicer has delayed the process for month after month becuase they are ill equiped, under staffed and uneducated on how to respond to the client’s needs. When we are finally able to get past the Customer Service “gate keepers” who protect the Negotiators from all outside contact we then usually come to find that the Negotiator is now requesting all new documentation becuase what they have is “too old to work with”. And the best of all the excuses comes most commonly from Bank of America (Countrywide) “sorry but this loan does not qualify for a modification becuase it is not owned by Fannie or Freddie and we will not tell you who the Investor is . . . just that they are not eligible for a modification.” Until the lenders and servicers are held accountable for their actions and motivated with some form of penalty for not modifying (in addition to the bonus payments they recieve for modifying a loan) then this problem will only get bigger and we will slip into another Depression.
Posted By Joe Sloboda, Ft. Lauderdale, FL: July 1, 2009 5:36 pm

I refinanced due to medical hardship with Countrywide/BofA. Locked in on April 8, 2009 at 4.75%. Closed the loan on June 14, 2009. BofA extended the lock. I did my research, and Iunderstand the loan process. I think perhaps it should be mandatory for borrowers to understand interest rates, payment shock, ARMs, etc before signing loan papers on a house they really can’t afford in the first place. I wanted a bigger house with an inground pool and a 50″ plasma for every room too — but live by the concept “if I have to buy it with a credit card instead of paying with cash — then I really can’t afford it.”
Posted By Nancy Vancouver, WA: July 1, 2009 4:59 pm

We are trying to refinance but are getting the runaround from the bank. If we had a Fannie Mae-insured loan, we would have already refinanced through our broker, but since our mortgage is with Freddie Mac, we have to go through our lender and they keep stalling, missing appointments and forgetting to send us paperwork. It seems like when the interest rates are up, they are on the phone trying to work with us and when the rates are down, they won’t talk to us.
I think that it’s unfair that Fannie and Freddie can have different rules for the same program. Fannie Mae seems to be on the side of the homeowner and Freddie Mac seems to be on the banks’ side and I am caught in the middle.
Posted By Janeen, Los Angeles, Calif.: July 1, 2009 4:55 pm

I lost my job at a bank and fell almost a year behind in my VA mortgage payments. I was in constant contact with the lender homeowner assistance department. I went thru a program and made payments once I obtained another job. After completing the special payment program I submitted revised financial information and was called by the Bank and told I qualified for the “Obama Mortgage Program”. I was quoted a new payment amount and told loan papers would be forthcoming by mid-April. All I got from the Bank in April was a letter telling me they were proceeding with foreclosure. Since then I have been unable to talk with my assigned analyst. They say she is the only one working VA mortgages and the department is 90-120 days behind. I have a July foreclosure hearing and an August sale date. The VA has tried to contact the Bank via e-mail and I have tried faxes and certified letters. No respponse at all from the Bank. As a disabled Vietnam vet and a single parent with a minor child at home and two children in college, this is not good. Now their system is “down” for maintenance and when you call in even the receprionsts can’t access records and nothing can be attempted until after July 6. Can you imagine the backlog by then????
Posted By Charles, Denver, NC: July 1, 2009 4:54 pm

Jason from Georga said it all!!!

The government has gotten us into this mess. Now we’re looking to them to solve it. Greed is good and it is what we need to solve this problem. Letting the Govn’t take over will create so much inefficiency that nothing will get done. Your banking will now be the equivilant of going to the Department of Motor Vehicles. Anyone know why the Govn’t is so inefficient? Because they don’t give a dam. Taxes are the revenue and they will always be there. Until…who knows what.
Posted By George, Kihei, HI: July 1, 2009 4:53 pm

If you can handle a credit hit, just stop paying the mortgage. That will get the bank to call. Then after a year of living for free, tell them that they can either lower the principal, or else a family member/friend will win the auction and give it back to them anyway. The banks are helpless, they know it, but the citizens havent figured that out yet.
Posted By Middle, Southborough MA: July 1, 2009 4:51 pm

We tried to refinance last year, but were turned down.

Our credit scores were (and still are) in the upper 700s. Everything looked good until the appraiser came back with her appraisal. It was too low for us. When I examined the appraisal, I discovered she missed several very big items from her report. We pointed this out and argued with the bank. They said we could spend more money and they would bring in their alternate appraisal.

My biggest problem with the process is that our neighbors on each side of us just refinanced. In both instances, their appraisers came in and increased the value of their houses 10% and 20% from the time they bought. All three of us bought around the same time. Our house goes down 10%, but there’s go up 10+%.

When we told our bank this, they said well things have turned around and their appraisers are also increasing the values. They want us to spend more money on an appraiser, but demand we use the same appraiser.
Posted By Dan, McFarland, WI: July 1, 2009 4:50 pm

Please sign this petition . It will take about 1 minute of your time. This is affecting appraisers, realtors, mortgage brokers and anyone who may be thinking of refinancing or purchasing a home, now or in the future!
Posted By Bob Wille, Titusville, FL: July 1, 2009 4:46 pm

I’m a snnior loan officer with a mortgage broker and it amaxes me how people focus on the rate and want a Good Faith Estimate yet won’t provide any substanial information. Can we agree that underwriting guidelines are more stringent than ever? If people want professional help from reputable loan officers it would make sense to provide real and complete information instead of playing the “what’s your rate” game.
Posted By Paul, McLean, Virginia: July 1, 2009 4:43 pm

The modification plan is difficult to apply for and the refi plan is as well. My front end ratio is good, the back end ratio from credit card debt is what is killing us. The credit card debt in turn isn’t helping our credit scores so with the adjustment on the rate based on our credit score, we’re right back where we started.

Plus, our lender is only doing the fixed option and not honoring the 5/1 ARM option that was available in the Fannie Mae announcement to the lenders.
Posted By Michael, Dayton, OH: July 1, 2009 4:40 pm

I owe less than the house and property are worth. It is a doublewide. When trying to refinance at a 15 year loan for less in interest they took my goo faith money and then told me they could not do it because it is a manuifactured home.
Posted By John, Raleigh NC: July 1, 2009 4:38 pm

Everything in the program is for
people that are behind in their
mortgage payments;nothing for people
that are up to date in their payments
and doing things as they should be. To
qualify I will need to fall behind in my payments! It makes no sense !
Posted By MIAMI,FL: July 1, 2009 4:28 pm

To everyone having issue:
I am a mortgage BANKER.
I RETURN phone calls.
I TALK NICE to people.
I get loans CLOSED within 30-40 days.
I can do loans in ANY state.
I have lots of very good processing and underwriting support.
I will tell you within 15 minutes if I can or cannot do the loan.
I am asking for your business because I am good at what I do.
Loan Officer
Office 815-765-0220
Posted By Joe Ellis, Poplar Grove, IL: July 1, 2009 4:26 pm

We tried to re-morgage with our bank but they keep telling us that they they are still waiting for information on the stimulas programs (Bank OFAmerica).I think its a big scam
Posted By anthony nazzaro: July 1, 2009 4:24 pm

My loan is with Chase and I am in the same boat as everyone else. I’ve been in the loan modification since March 09 and still waiting! One thing is clear, if we try to do this honestly and by ourselves, the greedy banks will never help us. That’s why I propose a “D” day for banks. JANUARY 1st 2010, everyone accross America STOP making your mortgage payments if you applied for modification and got a run around. UNITED WE STAND! DIVIDED BANKS LAUGH!
Posted By Imran Syed, Riverside, CA: July 1, 2009 4:15 pm

I have read several of these stories and a couple things come to mind.

1. Think about it, no bank will want to work with you if you are making payments on time and in their opinion not a risk to default. That is just not a smart business practice especially when we know the banks are hurting just like many of you. So, how do you get around this, GO SOMEWHER ELSE OUTSIDE OF YOUR CURRENT LENDER. Everyone keeps saying my lender won’t work with me, do you blame them? There is no incentive, okay there is, but definitely pails in comparison to what you are paying over the life of the loan. I had my mortgage with Countrywide, they didn’t want to work with me after a couple of attempts, so I said screw you then and took my money to Wells. Wells gave me a refi loan that is saving 500/month, granted I had a great credit score, good job, and equity in the home. If you have all these, which I realize many do not, you should have no problem refinancing AS LONG AS YOU negotiate outside your current lender. At my closing the attorney told me 97% of her refis are all done outside their current lender. Just food for thought.

2. I do get really angered by the ENTITLEMENT many feel here. It was probably obvious you had no business buying the home in the first place and just since some idiot donkey gave you the money, doesn’t mean you should have taken it. Why can’t some just be accountable for their own actions? Yeah, it sucks your home has gone down in value, so has mine, but it is not the end of the world and I am going to bet it will come right back up even if it is several several years out.
Posted By Jon Krug, Arlington VA: July 1, 2009 4:10 pm

I am a mortgage lender and the lenders simply do not have a handle on how the Making HOme Affordale Program works now much less adding or expanding the LTV limits.

This is again a typical Obama fix. You can’t simply throw more money at a problem and fix it. The current plans are fine it is the implementation that is the issue. The time that it is taking for the lenders to review these files is extremely long.

What would be a better solution than giving TARP money to banks would have been to subsidize the mortgage refinances of customers who were underwater.

This would lower payments, lower company delinquency, reestablish the original LTVs based on current day RE values and cash flow would return.

What a shame. By expanding the mortgage refi plan, Obama once again stays in the news but delivers little substance.
Posted By Andrew Kashella, Oldsmar, FL: July 1, 2009 4:08 pm

Just want alot people to keep in mind that the lock periods(amount of time it takes to get results) get extended alot because the people who process these loans are doing 10 and 15 times the volume they usually do therefore pushing the time back more and more.
Posted By Jarrett, Plano TX: July 1, 2009 4:06 pm

Regulation, regulation, regulation…all this does is create government jobs and a bureaucracy that slows down processes, limits consumer choice, and increases costs to the consumer. We all see how well the VA and Medicare are run…now they will try their hand at regulating banks, nationalizing healthcare…we are headed for a mess!
Posted By Jason, Atlanta, GA: July 1, 2009 4:00 pm

I’ve tried refinancing for the past 2 years and I cannot. I have a subprime mortgage and NO BANK wants to refinance my loan because I am upside down on my loan. Obama’s plan does not help me because my loan is not own by Freddie or Fannie. They also need to come up with a plan to help home owners that are not own by Freddie or Fannie, or extend the benefits to those that have subprime mortgages outside of Freddie or Fannie.
Posted By Leo Coppell, TX: July 1, 2009 3:58 pm

I actually have a very positive experience. I refinanced a $417K dollar mortgage (house appraised for $650K) and went from a rate of 5.75% down to 4.875% and my total closing costs were <$2000. There were no problems and mininmal delays, but I also had a good credit score (750).
Posted By Paul, Indianapolis, IN: July 1, 2009 3:53 pm

Sounds good but the Banks (BOA) and Lenders (Lending Tree) aren’t interested. I bought a house 10 months ago at 6.25% from BOA and got the loan with no problems. Tried to refi last May at 4.875% (save $190 per month) and I didn’t qualify from BOA or Lending Tree. Bet if it was 7% they would come to my door with a pen in hand! They sure didn’t have a problem in keeping the $1050 I had to give them though. ($450 to BOA, $600 to Lending Tree)
Banks loose money if you refi for a lower interest rate, their greed make Bernie Madoff look like a saint.
This is my 3rd house purchase (sold two) and I never missed a payment on anything I’ve ever purchased on credit, I have no credit card debt, with only a car payment owed and up to date.
We should have let the banks fail, New ones would have WANTED your business. Again, ONLY the wealthiest people are eligible or your house is nearly paid for to qualify. Otherwise you will need to be in foreclosure for them to talk to you before giving them money.
And beware of Appraisers! Had two done within 45 days and they were $30,000 different from each other. House prices are falling but not that fast. Remember they are working with the banks, not you.
Posted By Butch Irish: July 1, 2009 3:52 pm

if they want to help people then they need to do something about the rates…which are low but not low enough and do something about the dam CLOSING cost associated with with refinancing. The closing cost are the main reason most people are not refinancing…if people don’t have an extra 6-10k to spend on closing cost.
Posted By Jay Day: July 1, 2009 3:51 pm

Hey J from Louisville, I guess you have never been throw anything in your life. So when you need help because a family member gets put in the hospital, you lose your job, a tornado tears down your house, we will make sure our middle class tax dollars dont go to you.
Posted By D, Frederick, MD: July 1, 2009 3:50 pm

Both the Republician and Democrats simply do not get the idea of economic stimilus. These politicans should work to reduce the mortage rates to around 4% or lower. Private ownership is imperative in any society. Once a person owns a home, he tend to spend on everything including autos, tv’s, funiture, appliance, landscaping and a host of other home needs. The economy flourish. Why Obama and past Bushes do not see this is a puzzle.
Posted By Nathaniel Bates, Richmond CA: July 1, 2009 3:44 pm

I did not read all the posts, but, am I the only one that realizes this program is only delaying a major problem. Countrywide wanted anywhere from 3.5 – 5 points added to my mortgage. Let’s take everyone that is under water and pile more debt on them. I don’t get it.
Posted By Randy, Norwalk, CT: July 1, 2009 3:44 pm

I refinanced outside of the Obama plan and this is what I ran into. No call backs, no emails back. When I fianlly got someone the refiance package was all screwed up, I asked for the current ins and tax escrow to be put into my new refianced mortgage and it was not.
The banks staff are overloaded and thus become incompetent, plus now the banks have a application fee of 600.00 which is non negotiable, you can
negotiable the points off but they put 600 application fee on.
By the time you get through to a Loan officer your refinance rate has gone up .2 to .4 points. Banks really suck
Posted By Joe, Raleigh NC: July 1, 2009 3:43 pm

Why does everyone in America expect a handout these days? What happened to working hard and taking care of yourself? I’m against all of the federal bailouts and I’m definitely against helping someone live in a house they should never have purchased. Take some responsibility and quit begging for something you haven’t earned.
Posted By J, Louisville, KY: July 1, 2009 3:38 pm

Posted By JOE, LONG ISLAND, NY: July 1, 2009 3:23 pm

I qualified with Wells Fargo and they agreed that they would refinance my 5 3/8 loan at 6 1/4, I passed on the loan.
Posted By R Stockburger, Brewster, NY: July 1, 2009 3:18 pm

The program is not working: I applied for a Loan Modification loan with Bank of America due to my economic hardship after I lost of employment of 21 years of service. I presented all documents as requested. After 6 long weeks, I was able to contact Bank of America’s loan department again, and verbally, I was informed that I was denied because I did not have a job and my income was not sufficient. I’m paying my mortgages taking money out of with my 401K, as of today, my mortgages loan payments never been late.
Democrat from Naperville, IL
Posted By Gil, Naperville, IL: July 1, 2009 3:15 pm

This is what happens when BIG GOVERNMENT promises somthing they can’t deliver. Does anyone believe banks are ready to deal with the millions of people that either can’t pay back their loan or don’t want to pay back their loan? The sense of ENTITLEMENT by many people on this blog sickens me. It’s one thing to lose your job, but it’s another take out a loan you can’t pay back. Why isn’t anyone accountable anymore??
Posted By Megan, Ann Arbor, MI: July 1, 2009 3:13 pm

I was eligeable for the refinancing program, was sent all the paper work and returned it to National City. Now it has been a month since I returned all the proper paper work and have received no correspondence. I call the loan officer I spoke with at least once a week and she refuses to return my phone calls!! Getting a person on the phone who is knowlegable is next to impossible since everyone there makes Forest Gump look like Albert Einstein. I’m simply fed up with this whole process.
Posted By Craig, Howell, MI: July 1, 2009 3:06 pm

Me and my wife called Countrywide with whom we have a loan with. They took down our number and said that some body will call us back later. Nobody ever called back and we get the same reply every time we call. We have been making all our payments on time and never been late even once. It is just one big scam over another. Both of us have excellent credit scores.

It also got me thinking – why should Countrywide lower my payments and make less money just because the government is giving them a $1000. It definitely makes it more profitable for them to just sy that we are not eligible for a refi.
Posted By Rammohan Ranganathan 1619 Hallbrook Drive San Jose CA 95124: July 1, 2009 3:06 pm

I have a mortgage with JP Morgan Chase. We won’t get into all their past antics. However, I applied for a mortgage modification back in March. It took 20 days or so to be assigned to a loan officer for review. Every time I can the answer is still no news and what was “90 days” to review and get back to you just went to “90 to 120″ on the last call. Sounds to me like I am being played and they really have no intentions of acting. So it makes me ask What is the point of Obama’s plan if the banks are actually doing it?”
Posted By Heather, Tampa, FL: July 1, 2009 3:05 pm

I applied for a re-fi back in March, locked at 4.375 on a 15 year mortgage and will close tomorrow. This is our second home, never have been late on payments in 18 years and other than taking longer to close than I’d hoped, the process has been relatively painless. I figure we’ll save $50,000 in the next 15 years, although the monthly payments will increase by around $100. Seems to me to be a worthwhile effort for the savings.
Posted By john smythe, st. paul, mn: July 1, 2009 3:02 pm

I just tried to refinance my first mortgage with no rate reduction, just to convert to a fixed rate, and GMAC refused to subordinate the second mortgage because I have ‘no equity’ HELLO? Who has equity?
I lost $60k worth of home value in the last two years along with everyone else.
So they ‘offered’ to refinance if I brought a $50k check to closing AND paid $5k in PMI insurance premiums up front on the loan because it would have been over the 80% LTV. How ridiculous.
Didn’t GMAC get government money?
Aren’t they now a federal bank.
Isn’t this what the program is designed to do? Instead I’m having it stuck to me. Maybe I should stop paying my mortgage all together.
Posted By Audra G, Atlanta, gA: July 1, 2009 2:57 pm

My request for the loan modification was denied because they say I do not have a hardship.

Additionally, my request for a loan modification for my investment property was denied because it is the investment property.
Posted By Anonymous: July 1, 2009 2:56 pm

We are so stuck in the middle of it all.First of all we paid the july 07 premium for our home. It has a 670K loan that is 80% of what we paid for the house. we have a int only loan at 6.5% for 8 more years. we cant get a better loan because the equity is gone, the rates are high for Jumbo loans and we cant even walk away from the house because it has more than 2.5 acres. If we let it go back to the bank they can attached any and all or our other investments for amounts due. Help!!!
Posted By Patty G: July 1, 2009 2:56 pm

Hearing all this makes me sick. This whole problem was caused by people buying homes and other things they can’t afford and banks encouraging them to do it. Now they want sympathy and for taxpayers to reduce their burden of debt. Instead of moving up to a 500k house I paid my 180k house off a few years ago. Where’s my check for being so responsible. Oh I see– only irresponsible people get relief. All these modifications are a lie to further try to allow people to stay in their unaffordable homes. We are all going to pay DEARLY for this horrifying greed and stupidity.
Posted By David Rowlett, TX: July 1, 2009 2:51 pm

Hi all, I have 5/1 ARM interest only loan, which is expiring soon. I am current on my loan payments from the begining. Got inspired by Obama’s program and i have applied for refinance under new loan modification program in February. Both of my loans are by Wells Fargo. I had to fill bunch of paper work, send faxes for every month since documents expired. Had to call them every week for updates.After 4 months, last Friday, Wells Fargo sent me a letter stating that request has been denied. In that letter wells fargo gave 2 options for going forward. First Option is go for short sale. Second option is go for fore closure.

After looking at the letter i was stunned. All these days i am hoping for refinance and now all of a sudden i have to prepare for Short Sale or Fore Closure. What a help from the bank. I have no clues about what to do now.
Posted By RT, Ashburn VA: July 1, 2009 2:50 pm

We played by the rules, provided the necessary paperwork, called every week to get a status update on our loan modification. We cut back where we could, so we could save the house that we worked so hard for to provide a better life for our family. After being in the process for a loan modification with Wells Fargo for about six months, we were denied, as simple as that. I called to try to work with WFB and was told our only option is to foreclose and do a short-sale on the house. My husband and I have talked to several resources and they know they got us. As far as the the big banks are concerned, our home is their write off. Where does that leave us? We’re screwed.
Posted By EMG – San Ramon, CA: July 1, 2009 2:47 pm

I have to say I have not tried for any of these programs, but I have been in the process of just getting refied. I have to say under current conditions it is a nightmare, it would have been easier for me to just cut my arm off. It seems to me really simple Banks are Bank, they still want to burn the cigars with $100 bills the difference it is our tax dollars. They seem to forget that between Wall Street and the Banks we would not be in this mess in the first place. What about us who lost up to 40% or our assets, is this our fault? I agree with a guy below me we should all stop paying for everything, then see who comes to who? The bottom line is both the financial markets and Banks want to play the game as business a usual, Hey they did nothing wrong it was everybody else, Right? Bottom line they have shut off all credit, and if you are in business forget it you get no credit at all and what you have they are closing off too. Where is the Obama Administration? Why are they not watching what is going on? They say they see a turn around well I ask where? Ok I see the big shot in banking and Wall Street ok I see. Bottom lines if they want to help people why not just open the doors to Fanny & Freddie and make loan themselves? They have took over enough banks now, and look these people would still have a job, would that not me a novel idea?
Posted By Tony, Cleveland, Ohio: July 1, 2009 2:46 pm

The problem with this Home Affordable Refi Program is that it doesn’t allow people with PMI to refinance. The PMI companies did not receive and didn’t have any part in taking money from the Fed, so they don’t have any responsibility to renegotiate the insurance premiums borrowers are paying on their mortgages. This, of course, is not right and is the reason this program is just another one of many that have and will fail unless something else is done. Now it allows for people who are “underwater” to refi up to 125% loan to value but still does nothing about allowing loans with PMI to refi. PMI pays the lenders if the home is forclosed on. You’d think they’d realize that if all these homes with PMI go into foreclosure they will no longer be receiving monthly premiums and instead will be paying out huge settlements to mortgage servicers and investors.
Posted By Andy, Farmington MN: July 1, 2009 2:46 pm

Posted By GLENN/FLORIDA: July 1, 2009 2:45 pm

The new Obama/HUD plan still misses the point. I give them credit for the attempt, but if they do not understand the true issue, then each time they apply a bandaid it only makes it worse.

If we look at today’s announcement, it only means that people can apply if they have a Fannie Mae or Freddie Mac loan. Not those who have the huge backlog of Pay Option Arms held in-house by banks like Wachovia and others or FHA loans.

Further many will be kicked out by Fannie Mae due to their ongoing problems with their automated underwriting system, and then the borrowers will need to deal with the huge closing costs associated with the new loan.

When it comes to closing a loan everyone has their hands out. New title insurance (a joke), new escrow accounts instead of just resetting what the borrower has in place, and of course you have Freddie Mac limiting how much you can include while Fannie allows as much as needed.

Let’s not forget the new appraisal guidelines that now cost the customer another $100-150 just to see if they qualify. I sure would like to know who owns these so-called appraisal management companies that are now collecting huge fees. Thanks Andrew Cuomo.

Bottomline is it worth adding 5-10k in some cases to save $75 or $100 per month. Do the math!

Someone in Washington needs to truly look at the whole picture before just jumping in with another program that will likely not help enough borrowers.

If they don’t see that throwing programs insteat of principal reduction at these folks is better than feeding those who began this entire mess, this sprialing problem will just continue. Give people a reason to stay and not walk away. Stop with the loan modifications unless you’re serious about stopping foreclosures.
Posted By Bob D Portsmouth NH: July 1, 2009 2:44 pm

This program is not being implemented quickly by banks, which has made refinancing impossible. I have been trying to refi since the original program was announced. Perfect credit, home value hasn’t declined that much. But I have PMI, and Bank of America (Countrywide) “hasn’t implemented the program for people with PMI yet”. That is ridiculous. I lost out on the ability to refi below 5% because B of A / Countrywide can’t get their act together to implement the program.
Posted By Mark Higgins, San Francisco, CA: July 1, 2009 2:42 pm

It’s people like Nick from Chicago that are the real problem here. He’s the guy that probably purchased his house 2-3 years ago using 100% financing and is making interest only payments. He bought more house than he could afford and spent the money that should have went towards his housing payment on other non essentials. He probably has a huge amount of credit card debt that he can’t afford as well, but that was the market’s fault not his, right? Now he’s going to advise you to walk away and punish those “bad banks” for allowing him to live so high on the hog when he bought the house. I’m not worried, “I’ll be buying a monster home in 4 years at a great price.” I hope your going to pay cash for this monster house Nick because there is no bank that is going to finance you after your credit is ruined. It’s hard enough for a 700 credit score borrower to get approved nowadays. Do you honestly think things are going to change that much in 4 years? American needs to stop pointing the finger at everyone else and take responsibility for their own actions. Most of us know the difference between right and wrong and how you can and cannot afford to live. Things are never going to get any better until this happens.
Posted By Don, Hammonton, NJ: July 1, 2009 2:41 pm

I’m in the process right now – started on May 20th. I was laid off on Dec. 1, and am working part-time at a minimum wage job right now. With a couple of graduate degrees under my belt, I wasn’t expecting this at the age of 51.

Anyway, my mortgage is current but I’m forced to cash in retirement accounts to stay alive. After the initial phone call and application, I received a letter in the mail (this is WAMU – now CHASE) stating that “We have told a credit bureau about a late payment, missed payment or other default on your account. This information may be reflected in your credit report”.

There was no late or missed payment. Now my credit cards (most are CHASE) are getting into the fray. Minimum balance payments have gone from 2% to 5%. Hopefully I will get something out of this mortgage program, otherwise it is bringing bankruptcy on me at an alarming rate.
Posted By Jocelyn Bolick, Kuna, Idaho: July 1, 2009 2:40 pm

I tried to refi through Chase, but during the extensive wait for processing, my credit rating went from bad to worse as bills kept piling up. Initially, the processor had accepted my written explanations for a few past credit problems, and locked in a lower rate, but during the prolonged processing time, I got behind on a couple of credit card payments. Although I’d been making sure to keep up with my mortgage payment (the last bill I would ever be late on), Chase decided to deny my refi application as a result of my current delinquencies on credit cards. Thanks for the help,,, CHASE!
Posted By Steve, Baker FL: July 1, 2009 2:36 pm

I am current on my mortgage – thank God I re-financed before the bank crash. But as I’ve only been in my home 3 years, the value of the home is now about what I paid for it (down about 10%). I called Countrywide a few months ago and they were clueless – they said that they didn’t have the details on the program yet. Since then BOA has assumed my mortgage and I haven’t even bothered to call them. I have a friend in Baltimore who is having trouble making her mortgage payments, so she applied for the program through her lender. After 3 months, she has heard no word at all from them. She has been advised by an outside party to NOT pay her mortgage, get a month or two behind, save that money in the bank, and then because she is in default, and has money in the bank, that will make her modification more of a priority and easier to close. What kind of a screwball plan is this? I’m earning about half of what I earned last year (in sales) but I plan on toughing it out. If the banks are taking this position, this true lack of interest in helping, then foreclosures are going to keep skyrocketing along with their toxic assets. In its current state, this plan will do very little.
Posted By Todd, Bethlehem, PA: July 1, 2009 2:35 pm

Obama can allow refi’s on values up to 300% of total mortgage, but if lending standards don’t ease then there will be no relief in sight.

Most of the loans originated during this “bubble” were LTVs of 90-95% with PMI (lender or borrower paid). This program does not adhere to PMI loans. Boom the majority of the loans do not qualify.

Then you have underwriters needing 6 comp’s vs. the traditional 3 comp’s. In a declining market they are reducing the values of the properties which is creating a domino effect that will never allow for housing appreciation.

Obama can appease the public with his “widening” of LTVs allowed to refi, but with tight underwriting standards and long term rates on the rise, the housing slump should continue for the forseeable future.
Posted By Joe, Portsmouth, NH: July 1, 2009 2:35 pm

i agree with one of the first posters from chicago the banks are just going to eat up all of this homes and sit on them (and of coarse ) write off there tax loose and then when things turn around to resell these homes at high prices
Posted By terry/portland,oregon: July 1, 2009 2:33 pm

It is really disheartening to hear all the experiences here. What a waste of time and efforts. I too have been trying to refinance for the last 6 months but have not been successful. I have excellent credit, never missed a payment. Only that the house has lost 50% of the value and I paid additional principal so there is some equity. Why does the government think that it can partner with private banks to help fix the economy?
Posted By Andy, Orlando, FL: July 1, 2009 2:32 pm

PEOPLE!!! Please, Call your local zoners and planners!!! They will provide the most help to you than any real estate agent or broker! Protect yourself, no one will do it better than yourself! You are the only one with your best interests at heart!!!
Posted By Prescott, AZ: July 1, 2009 2:28 pm

try to get a refi from Citimortgage since Jan09 when my wife lost her job:(…no success so far. they have outsourced the loan modification to a company called “mortgage outreach services” and their response sucks. sent a letter to CA state senators and to the President…no one wants to hear my plea.
my loan is around 110% of the house value…great credit rating but still nothing is working out. dont know if i will have to foreclose
Posted By BK: July 1, 2009 2:15 pm

I’ve actually had a difficult experience with refinancing my home mortgage under the modification program. I’ve been pleasantly surprised by the level of customer service I’ve received at my mortgage company, but underwhelmed by the limitations that Freddie Mac (the insurer of my mortgage) has placed on their modifications. To my understanding, Fannie Mae’s rules are more flexibile and fees are more reasonable. Has anyone else had a frustrating experience modifying a mortgage insured by Freddie Mac under this program? I’d be very interested in hearing about your experience.
Posted By Adam, Boston, MA: July 1, 2009 2:13 pm

Too little, too late Mr. President. I was out of work for almost 2 years and struggled to maintain a roof over my head and food on my table. In the meantime I managed to make most of my 11.8% mortgage payments. I finally found gainful employment and tried to get my lender,American Home Mortgage Servicing, to work with me to either refi or modify my 11.8% interest loan, and they would not. I wanted to keep my home, which had $40K in equity, but to no avail. So now what? Thanks for using my tax dollars to help the banks who REFUSED TO HELP ME KEEP MY HOME! Signed, HOMELESS
Posted By Randy, Elon, NC: July 1, 2009 2:13 pm

Even though I have a qualifying loan and my income has gone from $80K to $14K, Bank of America’s computer-based system says I don’t qualify for a modification. The customer service rep. couldn’t explain why. “I can only tell you what the computer says. Have you considered renting out rooms to less-fortunate friends?”

So I’m trying to re-finance and have been handed from person to person at BA, one of whom set me up with a 5/1 adjustable through Making Home Affordable, and then quit. The next rep. told me that adjustables aren’t allowed and we started over. So, months later, I tried to close on a fixed rate 30 year and the bank’s lawyer called in the middle of the closing and made us stop because of more paperwork errors by Bank of America that violated the rules of Making Home Affordable.

At least the national debt isn’t ballooning as much as some feared: this program isn’t giving any money away!
Posted By Bob, Syracuse NY: July 1, 2009 2:12 pm

It seems like you are only posting the horror stories here. My wife and I purchased a home 6/06 at the TOP of the market. Our $100k cash down is long gone and we are left with our $400k note on a house worth closer to $300k. I hired a mortgage modification specialist who dealt with Wells Fargo on our behalf. Against his advice, I stopped paying my mortgage in April ‘09 on the theory that deliquent accounts get first attention. We last week received paperwork from Wells Fargo outlining the payments due for July, Aug & Sept….a “trial period” and if we are current for these 90 days, they say the monthly payment will lock in for 5 years at the same low interest rate of 2%. This new monthly amount represents HALF of what I was paying and about what the neighbor next door is paying in rent for a similar home. The modified note is supposedly a 40 year amortization with the interest rate escalating an extra point each in years 6,7,8,9 and caps out at 5.37% in years 9-40. If this is the final deal, it is a win-win since I was prepared to keep not paying until eviction time.They get a paying homeowner who can now afford the monthly payments (our income dropped drastically after ‘07) and will someday in the far future, be able to sell at or above the $400k owed.
Posted By Jeff in Orlando, Florida: July 1, 2009 2:05 pm

I attempted to refinance, however my credit/debt ratio was to high, and I cosigned a two loans, which was payed late,dropping my credit report rate from 749to 673. I could of gotten a loan but the rate would of been higher, than what was initially quoted, negating any savings.
Posted By Michael, Plymouth MA: July 1, 2009 2:04 pm

Wells Fargo has done a horrible job with my clients modification. All they do is promise a reslotion in the next 60 days. It has been 7 months and now she receives foreclosure notices after being assured she will not be foreclosed upon.

The new HVCC regulation brought on by the New York attorney general will only increase the number of consumers into these so-called modifications loans. The regulators are completely ignorant of what is going on in the real world.
Posted By Greg, Ketchum ID: July 1, 2009 2:02 pm

I hope the White House and our legislators will read the letters posted here and elsewhere. The lending industry is a mess and not at all doing their part to get people and the country back on its feet. And after we helped keep so many of them afloat! It would be criminal to give them more public money. We refinanced but had a terrible experience and would not do it again.
Posted By Jeff, Farmer City, Illinois: July 1, 2009 2:02 pm

I have been working with Ocwen Mortgage and have been getting nothing but the run around. I started the process in Feb. 09, submitting all my paperwork, to be told in March 09 that Obama changed the plan and I have to resubmit my paperwork again. I did that and after all was said and done, I finally got the notice that all my paperwork was received and in review on April 24th. I am now being told that since I am not in default on my loan, that I must wait 90 days before finding out if I am approved. In that time, I receive a notice from Ocwen telling me that my escrow is short and I will be asked to increase my current mortgage payment (1955.00) by $150.00 a month. Not sure how that plays into my loan modification request, but I have exactly 23 days left to hear as to whether or not I have been approved and since my place has dropped significantly in value, I am well over the %age for what I am paying…this process shouldn’t be taking as long as it is. There are many people out there having problems, and these mortgage companies and banks don’t seem to care.
Posted By Liz, Naugatuck, CT: July 1, 2009 1:56 pm

Banks don’t want to modify loans, it’s not in their best interest. We recently went through an ordeal with Wells Fargo our original lender. All we wanted to do was modify our 15 year loan to a 30 year loan. We started the process with Wells Fargo in Dec of 08 it was finally completed in June of 2009. They gave every excuse possible and nit picked our information so much so that every 2 weeks we were pulling records or following up with them only to find out they needed more information. They changed our customer service rep at least 3 times and each time it seemed like we were starting over again. I agree Wells Fargo is totally stalling the process.
Posted By Randy Ferguson, Concord, NC: July 1, 2009 1:48 pm

What is Obama thinking! Who has money to refinance when credit card companys and more than doubling the payments on my pre agreed loan terms or razing rates on my cards to over 20% and my banks are calling in unsecured debt. And I have great credit! We, including the economy are at the mercy of bank credit. All I know with the consumer being 2/3 of the economy if we don’t get the consumer back on their feet the economy will continue to tank. Good luck to all of us!
Posted By Ev Strand Mpls. MN: July 1, 2009 1:48 pm

I tried to refinance under the new Obama Law and it was a disaster. I currently owe $215000 with Countrywide / Bank of America. When I called for Loan modification they told me I do not qualify because I am still paying my mortgage. I was told I have to do the regular refinancing. With the new refinancing, my new mortgage debt will end up to be $230000.00. Making the closing cost to be $15000.00. I told them they most be a joker.

This sort of bank charges is what is making people loose everything and at the end of the day, it comes to bite them in their behind.
Posted By Quam, Sicklerville, NJ: July 1, 2009 1:44 pm

Modifications do work! DO NOT listen to Nick from Chicago! He has no idea what he is talking about!!!! You let your house go back it will devastate your credit for 10 years! The lenders will work with you! You need to speak to the Loss Mitigation department. Customer service can NOT help you. Customer service is there to get you to make as many scheduled payments as they can and frustrate you into giving up. The reason for this is the bank wants to continue to get as many on time payments as they can before default and to weed out the people that are not in serious trouble.
You have to be persistent. Keep at it. Keep calling. Ask for the Loss Mitigation department. Never wait more than a day to get a call back. Call them back. Insist that you speak with a supervisor. Ask everyone that you talk to for their first and last name. They will not give you their last name but ask anyway. Ask for their phone extension. Location of the office they are talking to you from. Their job title. If they ask you why, tell them that you are documenting everything and everyone that you speak to. At that moment you will no longer be a number. You know who they are. You could complain about them. You could say the words “ This person told me this ” “This person did that” It will be much more personal. They will be much more careful with the information they give and how they treat you. Mostly, taking this course of action will get you to a supervisor right away.
Do everything they tell you to do. Make copies of everything you send them. Send it with a return receipt. Follow up with the person that signed for the package. They can tell you where they sent it. Get their contact info. When they see that you mean business they will work with you. DO NOT GIVE UP! This could save you some serious money. Good Luck.
Posted By Los Angeles: July 1, 2009 1:43 pm

I tried to refi through HSBC where I have my mortgage, and they said call back in 3 months due the the backlog of work they had. I questioned about the current rates, what if they go up (which they did), and they were like… “oh I wouldn’t worry.”. I think that maybe there should be a better process for fielding our calls, give us a date/time/confirm number and then we get pro-rated the rate at that time…? I don’t know… good initiatives with the mortgage overhauls, bad judgement with the banks and government.
Posted By New Jersey: July 1, 2009 1:39 pm

Refi difficulty has no boundaries. I’m a high-net worth person looking to refi an accelerated 15-year Jumbo Loan on my second home in MI. I am being treated like a leper, even though I can comfortably make my mortgage payment – and all I want to do is to change my mortgage to a traditional 30 year term. Obama’s plan doesn’t help people like me.
Posted By stephen hahn-griffiiths: July 1, 2009 1:39 pm

Why cap the LTV at 125% ?!? What’s the difference between 105% or 180%? Nothing. If a homeowner is willing, and financing able, to repay their debt (regardless of the LTV) at a reasonable interest rate, then let them do so. Capping the LTV at 125% does nothing but hurt homeowners that happened to purchase in markets such as California, Arizona, Nevada, Florida, etc. These states contain the majority of the foreclosure activity and most of these homeowners are upside down MORE than 125%. IF THE HOMEOWNER CAN REPAY THE OUTSTANDING DEBT WITH A REASONABLE INTEREST RATE, LET THEM AND JUST DO AWAY WITH THE APPRAISAL/LTV REQUIREMENTS!!!
Posted By Rover, San Diego: July 1, 2009 1:33 pm

YES, I called Bank of America (my lender after countywide) for a loan modification. I read all information from CNN Money + Gov. website. Took the test-qualified. My hours have been reduced at work. I was routed into a home refinancing. After four attempts and long phone calls I gave up on tying to get connected into the modification (retention) department. My credit scores are 796, 800,806. I have not missed any payments. Bank of America is cashing in on this windfall making anyone who can qualify for a refinance closed out of the modification that cost thousands less. That is what I needed. Big guys are still making the money from main street.This how we got into this condition?
Posted By Denise, Philadelphia, PA: July 1, 2009 1:28 pm

Yes, Wells Fargo makes caller feel really really bad. Their offer of help was for me to pay a SECOND mortgage payment in same month, on a Thurs. not even a payday, and then sent it to Loss Mitigation Dept. and started to make calls to my work to collect on it. Obviously the banks still think it is there way, or the highway!
Posted By Kathleen, Los Angeles, CA: July 1, 2009 1:26 pm

This Plan is horrible and only brings you further into dept. I was approved for a Refi with my bank, saving $60 a month off my payment, however i would need to finance $9000 in closing costs. It would take me almost 13 years to break even, Thanks Obama!
Posted By Joe, Columbus,, Oh: July 1, 2009 1:25 pm

We refinanced our mortgage from a 30 yr to a 15 yr fixed in May of this year. We did it with GMAC and had no trouble at all, except it took about 50 days to close, due to a high volume of refinancing applications. Everytime we called we either got to speak to the contact person or they e-mailed or called us back very quickly.
Posted By Steve, Greenville, SC: July 1, 2009 1:22 pm

Locked a lower rate with Chase back in February 09, which will save me about $300 a month. It’s now July and still no word! Meanwhile, I’ve been out the application fee for almost 5 months now. Everyone’s happy and smiles until you lock the rate and pay the application fee. Then…”don’t call us, we’ll call you…maybe”. Thankfully, I’m not in a foreclosure crisis but, I can’t even imagine having to go 5 months after being assured a refinance if I desperately needed the savings.
Posted By Rodrigo, Springfield, NJ: July 1, 2009 1:21 pm

I attemped to refinance my Condo with Bank of America.
They hired an appraiser to evalaute the condo. The appraiser has false information stating the development is not fully developed. Bank of America sent a letter rejecting the application. They did not call me. I faxed them proof to the contrary. Bank of America will not return my calls and will not grant the laon. What good is a lower interest as the bank will not make a loan. My credit is excellent. They will not make loans to anyone. Any further programs will be a waste of time.
They make their money charging fees and investing the TARP free money.
Posted By Ron Grand Rapids MI: July 1, 2009 1:20 pm

My mortgage was current with Countrywide (BofA) and I applied for a refi in Feb with them. Got it down from 6.125 to 4.375. Had no problems except the process took about 2 months.
Posted By Frank Hummel, Dallas, TX: July 1, 2009 1:11 pm

We were contacted by GMAC about a refi since we have our mortgage with them and it’s a Freddie Mac backed mortgage so, we qualified for Obama’s plan. However, in order to refi at a lower rate, which would have saved us a couple hundred dollars a month, we would have had to have brought at ridiculous amount of money to the closing. To lower it to 4.5% from the current 6%, we would have had to have brought over $10,000! Considering we’re the typical middle-class American family scraping by right now, we don’t have that type of cash just lying around, so the “plan” really wasn’t worth it for us.
Posted By Chris, Boston, MA: July 1, 2009 1:11 pm

December 22, 2008 was my last day of employment. I worked as a bookkeeper for plumber who was contracted by the builders of large homes. My husband is disabled with a spinal injury. I have had my mother with Alzheimer’s move in to help. I was informed by Countrywide (after being on the phone for three hours) that my husband and I did qualify for the modification program. I do have to mention that the three hours wait included many dropped calls, being misdirected to the Refinancing Department and speaking to a couple of different representatives from that department that seemed to be outwardly misrepresenting the Refinance Department as the Modification Department. I finally did reach someone in the Modification Department that did go thought the questions to qualify us. He told me that we qualified for the Government Modification Program and that a mortgage representative would be contacting us within forty-five days. On Saturday June 6, about midnight I went to Bank of America’s website to check my account and see if there were any updates on the modification, there is a hardship page that lists documents and dates received. The web page loaded incorrectly and I had to reload it, when I did it said there was nothing attached to the account regarding modification – all my information (that had appeared for weeks prior) on what had been faxed in was gone, this frightened me. I contacted Bank of America/Countrywide on Thursday, June 11, when I believe my forty-five days were up. I let the representative know of the disappearance of our account information and I didn’t get anywhere with them until I told them that I had a printed copy of the website information from before it disappeared off their site. Once mentioning this, they put me on hold, came back and told me that the department does have that information and that there is one thing, because of the amount of people applying that the time frame of forty-five days for a call back, it has been changed to ninety – one hundred and twenty days. They then tried to talk me into refinancing, this is not an option in our situation, we are qualified for modification and that is the way for us to proceed as I see it. I have gone on-line to research this increase in days to hear back, I cannot find any information on any sites or blogs for that matter. I have connected my Senator’s office to get information on the situation and seek assistant in the matters described above.
I received a letter back stating that they are looking into the matter, and the Senator is demanding a report from the Currency department, I have yet to hear anything back yet and if I do I will update you.
I just want to know the answer to this: If we all go crazy from this terrible frustrating situation, while most of us do not have jobs, WHO WILL PAY THE TAXES??????????????? -oh and does anyone care anymore?
Posted By Catherine Wood: July 1, 2009 12:58 pm

See post of June 11th of log from my experience with Citimortgage. Update, received letter yesterday from Citimortgage stating they have no record of my home modification. Letter received yesterday dated 6/10/09. Can’t for the life of me figure out what it means. Just shows they have no clue what they are doing and the customers are the ones losing out. Bah Humbug Obama
Posted By Nancy – Ocala, FL: July 1, 2009 10:48 am

American Dream “Foreclosed”

Despite optimistic rhetoric from economists, Wall Street insiders and government officials, the economy continues to slide deeper and deeper into turmoil. Their optimism is based on the gradual rise of the DOW and stock market. However, they devalue the fact that the U.S. economy is deeply intertwined in housing and therefore can not fully recover unless the housing market also rebounds. Alan Greenspan, former Federal Reserve Chairman says, “The crisis cannot end fully until home prices in the U.S. are at least stabilized.” For the majority of American homeowners, their house is their biggest asset. Losing the equity in one’s home diminishes one’s wealth and often the desire to spend and borrow, adding to the slowing of Main Street and in turn Wall Street.

While the federal government has offered incentives to help spur real estate sales through tax credits and lower interest rates, they fail to understand that the true dilemma plaguing the real estate industry is the continued tightness of housing credit and the continued decline of home values. What benefit is the $8000 tax credit offered to first time homeowners if, one can not qualify for the mortgage to purchase the home because of higher debt to income ratios and credit score criteria? The pendulum has swung to the other extreme. Only a short time ago, acquiring a home did not require any financial documentation (the No-Doc loan). Today, a hard working couple with established 9 to 5 jobs, adequate savings and little debt may have difficulty under the extreme scrutiny lenders now exhibit. While other potential buyers are hesitant, due to the continued decline in housing values and the lack of confidence in housing recovery.

Most of “the to big to fail lenders and brokers” like Countrywide and American Home Mortgage who, pushed the No-Doc loans, teaser rates, and negative amortization loans for the billions in quick profits, have disappeared. In the aftermath of this sub prime meltdown, other predators have made their way into the housing market: investors who are buying these homes for a fraction of their price, feeding on the faltering homeowner, hoping to profit by renting these homes back to the very people who used to call them home.

According to the Mortgage Broker Association, foreclosures continue to rise and jumped to a record 3.5 percent of outstanding U.S. mortgages and that one in eight households had entered into foreclosure or were delinquent on payments. Despite government incentive to lenders to modify the terms of delinquent mortgages, the foreclosures continue. No longer are foreclosures limited to the sub prime overextended borrower, it has now extended to the credit worthy borrower with a prime, fixed rate mortgage who may have fallen victim to the other repercussions of a slowing economy.

Instead of working with the homeowner to maintain their home and their stability, lenders have taken a harsh stand by refusing to lower their payments. Is it not better to work out a realistic repayment plan with the homeowner than create a generation of potential slumlords who will rent out these properties for the purpose of pure profit with no thought to the community? The dream of home ownership is the American Dream, by allowing hundreds of thousand to continue to lose their homes, you replace the American dream with the nightmare of government subsided housing, food stamps, etc.. Tax payers will pay for the housing fall out in one way or another. In doing so we also leave people disillusioned for the future. When people lose the comfort and stability of their home, they lose hope and may become detached, isolated and lack trust, say nothing of a generation of children who endure the same.

We lost the opportunity to stop many of these foreclosures months ago through bankruptcy protection because the crucial legislation “cramdown” was left to disappear under the pressure of bank paid lobbyists. The irony is that bankruptcy judges can write down the mortgages on invest properties but not on a primary residence. Why is it that GM can seek the protection of bankruptcy and be allowed to restructure despite the years of poor judgment but not the homeowner? Is it not better to work with the homeowner who most likely owes more than the house is worth then give it away to an investor on the town steps? With each foreclosure the values in the neighborhood continue to slide and the cycle continues hindering the economic recovering.

Housing has been instrumental in leading the country out of recessions for the last 50 years. Until we stabilize housing, the economy can not fully recover. For every month, the “cramdown” legislation is put on hold and housing is left unchecked, the cost will quadruple for the taxpayer.

By Gabriel Ciccone
Posted By Gabriel Ciccone, Huntington Bay, NY: June 30, 2009 5:47 pm

Do what I have been doing for the last few months, write letter to Wells Fargo CEO, I sent one every month, also to the President.

Euridice Santiago, Las Vegas NV
Posted By Euridice Santiago, Las Vegas, NV: June 30, 2009 1:29 pm

After four months of getting the run around from Aurora Loan Services, I received a denial. I had to resubmit some of my paperwork, had to send additional information, updated information, etc. I apparently was denied due to two reasons, the investor of my mortgage doesn’t participate, and they are also telling me since I have a surplus of $161. after all my bills are paid, I earn too much money. I want to cry!!! Don’t know where to turn anymore. Should I default??? Some of the reps are outright nasty and refuse to let me speak with a supervisor or the underwiter. Any suggestions would be greatly appreciated!
Posted By Norma, Freehold, NJ: June 30, 2009 11:23 am

Based on the so-called “Home Modification Plan” created by FANNIE&FREDDIE”, line 18 allows the lenders to manipulate your
(LTV/CLTV). This also allows the lender (FLAGSTAR BANK) to add points
toward one trying to get the low interest rate at the time. (4.7).

The whole plan is a setup.
Posted By FED-UP,Waldorf,MD.: June 30, 2009 8:53 am

I am in the process with wells Fargo , they have been dragging their feet for a few months on my mortgage modification while the rates dropped to the 4’s while I am sitting here with a 6.375 they finally come back with a mod that lowers my payment by 30 dollars a month and the have not disclosed what they have changed about my loan.
Posted By Jon Atlanta, Georgia: June 29, 2009 11:06 pm

Attempting to speak to a knowledgeable person at Wells Fargo is frustrating. You can make a call at 8am and speak to an associate and call back and get a different. It is quite difficult for a homeowner to receive a loan modification that can fit into a shrinking budget. Wells Fargo makes you the caller feel like garbage.
Posted By lil charlotte nc: June 29, 2009 4:52 pm

Listen, stop throwing your good money at bad debt. Bank do this and they call it write-offs. These modifications will not work because most banks would rather wait for the market to come back and take a smaller loss (in theory). You will sit in line for a mod for months as they play their wait game. And if the market does come back, no mod for you, they will take your house and sell it for a profit or break even (so they think). Becasue once again there is nothing in the bill passed to motivate them to go along with the progam. (I.E. fines, jail, takeover etc. and that was not done by mistake. Big business runs our governemnt. Here is the real deal. The market will not come back for 4 to 9 years. So what do you do? Stop making you payments, down size, stcok up all your money for the next 4 to 9 years. Whe the market does come back you will have CASH to play lets make a deal. And the beautiful part is all the banks that refused to give you your mod will go out of business or be split up. Send your keys back to the lender and take all your valuables before you do and force these institutions to close. Think about how much you owe, how long it will take before your house has appreciation, and how much interest you will pay in the time it takes for your home to get back to even or a decent return. If the numbers make sence then keep on paying. If the numbers don’t send you home back to the investor. They factored in the potential loss in the form of the rate you pay so don’t feel bad. They would do alot worse to you in a second. I’ll be buying a monster home in 4 years at a great price.
Posted By Nick Chicago: June 29, 2009 4:43 pm

Aurora Loan Services approved a loan 3 years ago based on my social security/disability income alone. It is very clear based on the information I provided at the time that this loan would head for failure and be unattainable. Aurora insists that they did not force me to sign the papers. They hold no responsibility for offering me a bad loan that was headed for failure. I may have had a responsibility to know better but feel that the company mislead me and took advantage of my mental condition. They will not help me at all and I have done everything I can to stay current on my mortgage. I have asked for a reasonable modification since Feb. and keep getting denied. This Company is criminal!!!
Posted By Stacey Bailey 3567 Dorrit Ave. Boynton Beach, Fla. 33437: June 29, 2009 10:00 am

Hello, I have applied for the loan moditication in January 2009 and I have just received the a call that it has been approved for the modification to start in July 2009, but I have not received the paperwork in the mail yet. It will lower my payment some $300.00 per month and I know that is a blessing from the God. It has taken a while and it did put me behind in some cases but it finally was done although I am still waiting on the paperwork. Continue to pray and have faith that all will work out, because time takes care of everything.
Posted By MELISSA, Florida: June 27, 2009 10:48 am

I have been in mortgage banking for 30 years. The solution to this requires the president to instruct lenders, servicer’s and banks to negotiate loans with a 50 year term. The product to do this is called a 3-2-1 buy down year one = 4.5% year two = 5.5% year three to 50 is at 6.5%. A current loan at $500,000.00 mortgage at 7.5% 30 year fixed has a payment of $3496.07 amortized over thirty years. The repayment of interest to the lender on this loan is $758,586.12 with a principal of $500,000.00. On a fifty year mortgage of $500,000.00 for the first year at 4.5% is $2096.95/month. Year to the payment goes to 2449.23. Year three to the end of the loan it will be $2818.58. Interest to the lender if the loan is not ever paid off is approximately $1,191,150.66. There is no loss to the lender but the payment is reduced $1399.12 initially to the borrower. There is no APPRAISAL necessary or underwriting. The government sends out a disk with the terms to the banks and servicer’s. A rider to the original note can be drawn in one week and sent to the borrowers for signature by a notary. ALL LOANS IN AMERICA COULD BE REVISED WITHIN 90 DAYS!!!!!!

This would end the toxic waste in the mortgage industry. The banks do not loose and neither do the borrowers. What this does is stabilizes America until the economy can stabilize. Individuals can stay in their homes and banks will not be writing off as huge a debt as predicted.
Posted By geri hulon: June 26, 2009 11:24 am

My husbad and I applied to our lender Wells Fargo (loan backed by FREDIE mAC) We are cuurent and never behind in any payments We have excellent credit score. We applied for motification because my husdand has been out of work for a year. I am still working. The problem is Wells fargo is totally stalling the process in hopes that people default. My application as been in since April 2009 every time I call to check the status I am being pushed off for another 30 days. I have no idea if I qualify. What I could get. We are in the total dark.
Posted By Christine, Wanaque, NJ: June 26, 2009 9:57 am

Here is the best stop. JP Morgan Chase funded a 1.5 million dollar loan and at closing promised me a certificate of occupancy to move in. Hey guess what I was locked out of the house for 9 months. And Chases’s repsonse is


Posted By allan cohara OCEAN RIDGE FLORID: June 25, 2009 5:42 am

My Countrywide now Bank of America. Get a load of this one.

I am being sued for foreclosure by 2 previous owners of a mtg for 400k and a water bill of 10k. I had to defend the foreclosure so stopped paying the mtg.

Bank of America will modify my loan by adding now 200k to the loan balance the house is already worth 800k less and know they want to add 200k more. Are they crazy. Any ideas woudl be appreciateed
Posted By allan cohara: June 25, 2009 5:37 am

My husband and I had a loan through World Savings which was bought out by Wachovia, which was bought out by Wells Fargo.
In October 2008, we applied for the Hope Now program. We did not purchase a home that we could not afford. The economy has taken a toll on our salaries by $40,000 annual.
After being told that we qualified and expecting the new loan paperwork in February 09, we were notified by mail that we were declined due to lack of equity. Really? Yes, we now owed $525,000 for a house that is worth $300,000.
We applied for the new modification program and received a ridiculous offer from Wells Fargo that did not include the second owned by Wells Fargo. We sent in a hardship, updated documents and a decline on the offer. 10 years interest only, 30 years fixed @ 6.875 loan amount more then the original $525,000 owing.
We received our 2nd modification offer. 7 years interest only totalling $127,528, then 33 years owing the remaining balance at 5.683.
The monthly payments will be lowered by $300.00 a month to begin with and increase each year for 7 years. For 33 years are payments would be more then we currently pay.
If homeowners are accepting these type of modifications I only see that in 5-10 years we have a huge influx of foreclosures again.
Posted By Jackie, santa rosa, CA: June 25, 2009 12:57 am

I have inquired about the HARP program through my mortgage company, Wells Fargo. I was denied due to my loan has lender paid PMI. I originally inquired about HARP in April 2009. As of today (when I inquired again), they still are denying loans with PMI. The programs is not reaching those for which it was originally intended. Someone in government needs to take a look at the banks who have received stimulus funds and how they are treating the consumers they are supposed to be helping with the money.
Posted By Tracie, Atlanta, GA: June 24, 2009 10:26 pm

This program does not work,
I am making my payments, have no been late, but my interest rate is higher than the current rates, so I thought
it would be a good idea to try to work something out with my bank so that my payment could become lower and I could use the extrac money to pay off other bills. What a mistake that was.
After many unreturned phone calls and emails,

I applied for the program, we fill out many papers and send them about 70 pages of personal information, it took over 21/2 months for them to tell us that we did not qualify, because we owed to much money.

This is very frustating….there are lower rates available but we don’t qualify in the mean time we are stuck paying a higher rate that we can not afford.
Our bank is not willing to refiance our rate because they don’t operate in our state any longer and we don’t qualify for the obama plan cause we owed to much????

we really can sell, they are to many
houses on the market, so what is one to do?
Posted By nilda hatzigiannis park ridge, il: June 24, 2009 4:57 pm

I have been in the same boat with all of you. I have been trying to modify my loan since 2008. I do call an average of 3 times per week. Customer service representatives do not have all the knowledge I think they should have in order to help homeowners. I have called and talked to different representatives and get different answers. This is very frustrating since we are talking about my home. This is a very sad situation when we do hear in the media that this plan should be able to help us out. In reality this plan has been a big mess from the start. I wish and pray for all of us that are trying to get our loans modified.
Posted By Marchar, BuenaPark,CA: June 24, 2009 1:36 pm

I’m a real estate attorney in California and the biggest problem is that there is no sheriff for these lenders — I’ve had successes, but also some horror stories. Usually — Countrywide/B of A, they are utterly useless and uninformed.

The next time they follow the guidelines will be the first. They quote me guidelines for MHA that just don’t exist.

It’s heartbreaking. I have clients who are legitimately struggling, but no one cares. HUD and US Treasury have been no help.

Hey, CNN if you want horror stories, I can flood you with them. The more publicity we give these issues, the more public pressure will mount on these lenders to comply.
Posted By John, Rancho Cucamongs, CA: June 23, 2009 6:48 pm

I did it with Countrywide/Bank of America. I was able to refi based on medical expenses. I started doing my research and making phone calls the minute I found out about this program. I locked in at 4.75% on a 30-year fixed FHA loann (refinance). I have a high credit score (over 800), never missed a payment, and I didn’t pay too much money for my home to begin with. I had spinal fusion surgery complicated by a staph infection and 3 additional surgeries, missed three months of work and had a lot of medical bills despite having good insurance. I had to be patient, and make a lot of phone calls and even though my 60-day lock expired, Fank of America honored the rate I had locked in at, even though interest rates rose almost a whole point.
Posted By Nancy Vancouver, WA: June 23, 2009 6:23 pm

I see a lot of WAMU folks here who are being short changed. I am in a similar wait and hold position with WAMU. If you’d like to do some collective bargaining, contact me at jfill99 at yahoo dot com, and I will coordinate the effort.
Posted By JFill, Columbus OH: June 23, 2009 3:18 pm

After getting laid off twice from the Homebuilding industry, I went to work for a Loan Modification Service. I have about 40 clients in the pipeline since January and only one has been approved. The rest have either been denied or are still in process…like 3-4 months worth of process. We do not take clients unless they have all the right criteria to qualify for a modification and yet they still are getting denied or on hold.

Also, I tried working with Chase (1st) and Wells Fargo (2nd) for my own home and couldn’t get anyware with these two lenders. I am now in a short sale process and that is taking about 3 months now. The whole thing is a fiasco from both sides, as a homeowner needing help and formerly working for a company trying to help homeowners.
Posted By TD, Phoenix, AZ: June 23, 2009 2:59 pm

Can anyone help us?????
I started our modification back in Jan.09, It is now June 23rd, and our property is up for sale on July 9th. I have cried over this night after night. We saved everything we had to purchase our dream home, which by all means it not something we couldn’t afford at the time. I have had a 30% pay reduction from my employer, and Wells Fargo is still saying we make enough to cover the payment. We asked that our interest rate be lower, asked if they could extend the years of the loan, asked if they could understand our house is only worth 1/2 of what we paid for it. All we qulified for was some type of piggy back modification, where the bank would put what we owe to the back of the loan. In 6 months we would have to start paying that. It a shame that you see hard working people losing the most important thing to them. I wish Mr. Obama could come through with what was promised.
Posted By Jo Ann Torres, Fontana, CA: June 23, 2009 2:59 pm

I have had similar experiences with Bank of America and CountryWide.If you take a close look at the posts from those of us who are not behind on our mortgage,there is no available assistance. As I was told by someone from CountryWide: “I have good news and bad news” Good news-you can refi to a Government loan (loan to value ratio is higher), Bad news-you are “upside down in your mortgage “. Frankly, I saw this as all bad news,because either way-I am still where I was. We are not able to modify our loans because who in their right mind would give up receiving higher payments for “modified” smaller ones ?. That’s why the response is either “you don’t have enough equity” or you’re in the wrong program. There is no relief for the person who is trying to do the right thing. It seems one has to make a decision to either “suck it up” and continue to makehigher payments on homes that have lost equity, or walk away. Walking away is not easy for everyone-especially when you are they type of person who wants to do what is right. It is beyond our control that our homes have lost value, and when we request an “equitable” re-modification arrangement-we are given the run-a-around. Is anyone out there aware of our situation-or better yet- is there someone who even cares?
Posted By Josie, Atlanta,GA: June 23, 2009 11:48 am

I am currently working in the loan servicing department for a major company. I can tell you that the “OBAMA” plan is not working. I have quailified 1 out of about 500 calls or more. I have turned down plenty of people that qualify on paper but not through the DU(desktop underwriting) system. I know that Fannie Mae did something to certain loans for them not to qualify.. So, the program is wasting the American people time and efforts. I speak to about 30 to 50 people a day. I cant help any of them. I do help the one or two people that call in with equity in the property under 80%. I speak to people that are on time, just underwater, and qualify 110% on paper. I have learned not to say yes to anyone until I put the application through the system. I know now that the application will be declined.
It is just another program run by people that”DONT” have the American people in mind but their own bottom lines. By the way, We dont have the Freddie guidelines as of today. It is 4 months after the roll out of the program and no guidelines. There is no money in it for Freddie to actually do the loans.. These peopel are stuck in limbo….. Why dont the OBAMA administration stop giving the money away to failing companies. AIG has received Trillion dollars.. That money could have gotten every american out of being underwater and stablized the housing market. The bottom line the PLAN IS NOT WORKING!
Posted By Scott, St. Louis Missouri: June 23, 2009 11:12 am

I had the same thing happen to me with Countrywide. I submitted my application in April, when the interest rates were low. The person handling my application, ended up quitting, and then he was kind enough to transfer it to a Branch Manager, she ended up getting sick, and transferred it to another person. Basically, now I am waiting in hopes, that the interest rates come down again. In the meantime, the rates now are 6.8%, and at the time they were 4%. I am almost underwater, and really don’t care if I foreclose. The banks are not helping the homeowners!!! They are not working in their best interest, but their own!!
Posted By Elise Fur, Garden Grove, CA.: June 23, 2009 5:51 am

Still waiting… FLAGSTAR Banks decision on our modification, time is ticking away and interest rates are going up…Maybe if they wait long enough we will default, they will sell the house in a short sale, collect the PMI we paid and make out better. What a shame that these banks are putting people through. Its sad you work hard all your life, be responsible paying your bills, have good credit and the economy goes bust and you loose everything and no one is willing to help responsible homeowners, Sad just Sad!!!!
Posted By HG Myrtle Beach, SC: June 22, 2009 9:37 pm

I was laid off earlier this year and found a job earning about half of what I had been making.

My monthly mortgage payment was easily affordable under my old salary, but unmanageable with my new salary.

I applied to CitiMortgage over the phone, and after a two or three week wait, my interest rate was lowered from 6.125% to 2% for the next four years, then capped at under 5%.

It would have been impossible to even refinance without the government program, as it is a jumbo loan. The program saved our house.
Posted By John Sullivan, Weymouth, MA: June 22, 2009 8:36 pm

I have also been getting the complete brush off from Bank of America. Each time I see one of their tv ads about how they are helping their customers, I get sick on the stomach. I feel as if I am being penalized because I am still current. I have been trying to get some assistance since Feb. I have sent in a hardship statement along with my documented debt and everything they have asked for minus a kidney. I think this is all a ploy not to truly implement the program so then they can say it did not work. It is really sad.
Posted By Andrea McEachron Atlanta, GA: June 21, 2009 9:15 pm

Mr. Bailey, I feel for you as you are not alone, believe me. Also, it is not just Wells Fargo. It is all lenders who refuse to hire the required personnel to do the job. They laid everyone off over a year ago and are focused on profits. Combine underwriting changes, new regulations and the consumer is really taking a beating. Beleive me I know as I have been in this business a long time and am watching from inside. It’s a spainful for those of us as is it for the consumer. You can thank Barney Frank, Chris Dodd and thier crew. Soon you find that you have fewer options and much, much, much less competition. Best of luck.
Posted By JB, Portsmouth NH: June 21, 2009 3:51 pm

I’m still waiting for a loan modification from Litton Loan Servicing. They are playing games and the $2100 I paid a law firm who swore they could help my thru the legal angle they were sure my loan broke it would be easy. I paid the law firm $2100 in October 09 and I’m still waiting. I am not behind on the mortgage but now as the 80/20 loan adjust every 6 months, I’m getting there. I’m trying to decide do I pay July or walk away from the house. Litton Loan Servicing has taken my paperwork twice already. First when I started the process in Oct 09 then after Obama plan they took my paperwork again. In march they said they’d do a BPO and modify the loan. Then 3 weeks ago they said they were not participating in Obama plan and designing their own and it would be another 60/90 days. The law firm in CA while my house is in PA just tells me what Litton Loans says, they are not trying to do anything beyond that. I’m so frustrated and upset because I want to save my credit and continue to pay for the house but with loosing clients by the day it’s getting tuff to accomplish. I not sure were to turn anymore. If someone can help me to get Litton Loans Servicing to stop playing games that would be great!
Posted By New York, NY: June 21, 2009 3:17 pm

It has been frustrating trying to refinance or modify my laon. I have been trying to do this since January. All I get is more unanswered questions and no return phone calls from my new lender Bank of America. The BoAm customer serivuce representatives do not seem knowlegde of the program that are available to home owners. I just get the run around when I call them.
Posted By Kim, Denver CO: June 20, 2009 9:26 pm

I’ve been working with WAMU/Chase for over six months and have finally given up. The Obama HAM plan is not helping the middle class keep their homes. It is setting payments at 31% of gross income so after taxes I would be paying 45-50% of my income on my mortagage payments. It also does not take any second lien payments nor other debts. Furthermore the temporary modification terms are not being disclosed which I feel must be breaking some federal law! Home Owners are suppose to just accept blindly the new terms. Early in the modification process prior to Obama plan and Chase taking over WAMU I thougth I was making success as WAMU offered to lower my interate rate and extend the term to reduce my montly payment. The file was closed by WAMU twice in error and after March the Obama plan kicked in and the original modification offer was taken off the table by Chase. Also, I find it extrememly diffuclt to reach anyone at WAMU/Chase and when I do the employee that is working my file is extremely rude and doesnt care and is not willing to really offer any options that work for my family. And no one really understands how terrifying it is to lose your home… and the toll it takes on you and your family.
Posted By Terri: June 20, 2009 6:04 pm

I bought my home 3 1/2 years ago and have a 30 yr fixed rate conventional loan with Citimortgage. Since then, the value of my house has plummeted and I would be lucky if I were able to sell it 1/2 the price I paid.
I was relieved when Obama’s plan was announced and saw it as an opportunity to lower my payments at least by $500.00 monthly. Since March I began calling Citi daily only to get transferred to call centers in other countries, and eventually to have a dropped calls. Finally when I was able to speak to someone they said they would begin the process for me. After several weeks of giving them the same information over and over, I was finally denied b/c they said I was making enough and could afford my payment. Interesting, since after monthly mortgage payment and other obligations there is little left. I believe that people have a duty to meet their financial obligations, but I am thinking hard about maybe just walking away. My house has become a sinking ship due to no fault on my part, and this now becomes a financial decision I must make. If the banks aren’t willing to help their customers after they received federal assistance from the government, then I say let them take the consequences.
Posted By MLM Miami, Florida: June 20, 2009 2:22 pm

I have been working with my mortgage company, Ocwen since Feb. 2009. Sent in original paperwork, called in my 10 days window and was told it was in review. Called 10 days later and was told that Obama changed the requirements and I needed to send additional informaton as well as the same information I already gave them. This was now March 09. I sent everything in, keep in mind, I never heard from them, I was always calling asking if I had everything I needed. I called again in April since I hadn’t heard anything and was told that they needed additonal paperwork. It is now June 09, I was told my paperwork is in review, everything was received, but it could take up to 30 days, they send me a notice that my mortgage payment is going to go UP!!!! because of a shortage in my tax escrow…I called them to discuss and have yet to hear back from anyone…once this is done, I recommend that nobody get there mortgage through this company. They are the worst place to ask for assistance and their communication and their lack of helpfulness to good customers, since I keep attempting to continue to not miss my payments, I feel sorry for those who are really in a bind and have to deal with them…Mid June, and still no follow up or answers.
Posted By Liz, Naugatuck, CT: June 20, 2009 9:39 am

I just received, Friday June 19, my response from Huntington Bank in Ohio. I was refused because I have too much equity in my house. Current value is 310-320k and I owe 335k with the 1st and second! Go figure. The program is a joke. All this happened after they refused a normal conventional loan because I did not have enough equity!!
Posted By M. Sayers, Toledo Ohio: June 20, 2009 9:11 am

I have chase make my payment on time have excelent credit. Started in april for a refinance piece of cake. Wrong they apraised my property . They didnt like the value and ordered another it was very low and poorly done never even set foot on or near the property. A house across the street sold for 32,000 more than my second apraisel sent the information to chase, they did a field review and it was even lower. They told me that we were the people they wanted to loan money to . 2 months and still no answer on original refi and piss poor communication from any of their personel. I do intend on filing a complaint . Only wanted to save money on monthly payment now I would like a loan modifacation THEY determined that Im upside down . Do I stay (love my house 13 yrs) or let them have it back?
Posted By John Denver CO.: June 20, 2009 12:17 am

My first mortgage holder, WAMU (CHASE) is in the process of working with me to modify my loan after 1 year of trying to get somewhere. However, I hold a second mortgage from a credit union, First Financial Federal Credit Union of Maryland. First Financial has been extremely difficult to deal with and aren’t even being friendly. I am attempting to write letters to the Board of Directors and my local Congressman for assistance. I really hope the President looks carefully at the whole picture and finds more ways to help more people.
Posted By Melissa, Manchester, MD: June 19, 2009 9:58 pm

With all it’s good intentions HOPE is a JOKE and I truly believe the banks would rather see you lose your house than help you keep it. I applied for assistance with Aurora, who is my lender, and needless to say, it has been nothing but a runaround since Everytime I would fax them my information, they would tell me that information was missing. Once I gave them everything they told me they would call me and/or send me a letter. I started this process in January and just recently now in June they denied because they said that the debts I provided to them exceeded my income. When I looked at the financial statement, they were wrong!!! Our income was above our debts and I told them that they must either gotten my paperwork mixed up or the information was not properly entered into their system. In any event I had to submit everything all over again. To make it worse they called me to see if I’d be willing to do a short sale at the current market value. Thinking they misunderstood I called and explained we were looking for the Presidents Modification Program and was told that they had until April 12 th to decide whether or not they would be participating. So I keep calling and as it turns out that the April deadline was for Fannie/Freddie loans only and that all private lender had up to 4 years to decide whether or not to participate!! What a crock of shit!! The plan is a joke. It doesn’t work. It is a waste of the taxpayers money and the taxpayers are broke. My husband and I have been trying to participate in the program since January and have since been contacting our mortgage provider (Aurora) to ask to participate in the program. They will not respond to me and let me participate in the program. I get form letters in the mail letting me know a decision hasn’t been made yet and when I call they can’t tell me when a decision will be made. Are lenders required to participate in this program? NO!! They have 4 years to string you along, to let you think that there is hope out there for the average hard working american to keep their piece of the American Dream while our jobs, lives and money are slipping through our hands and right into the greedy hands of the lending institutions while they laugh all the way to the bank!!
Posted By Linda Frenette, Phoenix, AZ: June 19, 2009 8:32 pm

I got so frustrated with Wells Fargo I filed a complaint with the Federal Trade Commission… and I thought I was the only one having problems.

Thank you for contacting the FTC. Your complaint has been entered into Consumer Sentinel.

As a current customer of Wells Fargo I contacted them April 2, 2009 to explore refinance options of my loans with them. I decided to apply for the refinance and paid the $356. fee they requested to cover the application requirements. I immediately signed and returned all required documents, provided all backup documents they requested (W2s etc.) and went through the home appraisal back in April. The locked in rate I had with them was projected to expire on June 3 2009. I received virtually no information from Wells Fargo representatives during the 60 days of loan processing and was repeatedly told everything was fine and asked to be patient as they were way behind. On June 3rd I still had not received status of my loan so I called the loan processing specialist I had been working with and received voice mail. I left messages on June 3rd, 4th, and 5th and received no response. On June 4th I called the general number and explained my situation. I was told only my processor could help me since he was assigned my loan. I asked to speak to his supervisor and was transferred to the voice mail of his supervisor but the voice mail message said “do not leave a message, I no longer work in the refinance department and do not check this voice mailbox”. I then called each business day on June 8, 9, and 10, got voice mail and left messages and have yet to receive a reply. On June 10th my processors voice mail stated that his mailbox was full and I could not leave a message. I called the general number again and got another rep, explained my situation, specifically that my rep was not returning my calls and his supervisor’s voice mail said he no longer worked in the department. This rep told me all she could do was send an email to my rep, his supervisor and the department manager and explain my frustration. I’ve now come to the conclusion that either Wells Fargo has an incredibly incompetent group of loan processors or Wells Fargo is engaging in fraudulent activity by taking fees from consumers like myself and not providing any service whatsoever. As of today I do not know the status of my loan application, what my house appraised for, or what the status of my locked in rate is, and I am out $356. With all of that said, I am not your typical refinance customer in today’s market. I have near perfect credit, have a perfect mortgage payment history and actually have overpaid my mortgage for a # of years to pay off sooner. I am filing this complaint hoping that if the Wells Fargo issue is due to incompetence that elevating to the FTC level may get their attention, otherwise, if their issue is truly Fraud then perhaps bringing this to the FTC level will help other consumers from losing money as I have.
Posted By Don Bailey, Reading, PA: June 19, 2009 5:07 pm

June 11, 2009

To Whom It May Concern: Below is a log of the phone calls that I have made to Citimortgage regarding our application for assistance. I have never received one piece of correspondence from them regarding this situation. Nor have I received any calls except one from them. All of the calls have been generated by me. And on each and every call just about I would have to give all the figures and information from the Hardship Package over again. It got to point I was carrying it in my purse at all times because of this. And respectively, we have a 756 and a 858 credit score so it is not like we are not responsible people to start with.

Log begins: January 2009

January 27, 2009 – Did the online application for Hardship Assistance at Citimortgage. Received email confirmation application received. Expected time frame from email is 30 days for completion of review process. Income has dropped approximately 35 % since we bought the house in 2005 due to my husband’s layoff and his current job only paying 66 % of what he was making before.

January 29, 2009 – Fedexed Citimortgage full Hardship Assistance Package. Original package requested information on any and all options available including short sale since we had put the house up for sale because we were drowning and just paying by drawing off our savings each month.

February 2009

February 3, 2009 – Not able to track Fedexed package so called them and faxed it to them at 301-696-4473. Received printed confirmation it had been received. Finally later in day able to track package and it was received on 1/28/09 as expected. Faxed package requested information on short sale also.

Not sure what date but did speak to someone at Citimortgage Hardship Assistance and was told the HOPE program that was in place probably would not be able to help us since we hadn’t missed any payments. I explained that I didn’t want to miss any payments and compromise my credit in the hopes that in the future we would be able to purchase another house if we had to sell this one. I was told at that time that there was supposed to be a new program coming out in April and that was supposed to be helpful for customers that were still current on their payments.

March 2009

March 10, 2009 – Spoke to Julie requesting status of situation. She ended up hanging up on me.

March 10, 2009 – Called back and spoke to Tina Penhaver who advised me that the package was pending in the Short Sale department since I had not sent them an offer on the house yet? I explained that I had no offers yet and was trying to find out what options were available including short sale as referenced in my original application of 1/27/09. I then asked how I was supposed to know that I was to submit an offer when I had heard absolutely nothing from Citimortgage either by phone or mail. She informed me a letter had been mailed on or about 3/7/09. I have yet as of today 6/11/09 to receive that letter. She also I believe was the one that told me that Jennifer Herrig was my counselor at 877-591-4752. I did leave her a message and she later left me a message that I would have to speak to Bonnie Ribbett in Short Sale.

March 10, 200 – Spoke to Bonnie Ribbett in the Short Sale Department who was handling my case. Took a couple of calls but she did return my call. I explained the situation and she said there was nothing they could do for me without an offer. I inquired about a Deed in Lieu of Foreclosure but since I have the Home Equity Loan from Partners Federal Credit Union, they would not be able to do it without the Credit Unions approval. I then called the Credit Union and they would not entertain us doing a short sale or Deed in Lieu of Foreclosure. At that point Bonnie Ribbett 866-713-4785 gave told me I would need to call the Refinancing Dept. at 866-713-4784.

March 10, 2009 – Called the Refinancing Dept. at Citimortgage and was told to call two of their partners to see if they could help me. One was Lennox Financial at 888-955-3669 or Sirva Financial at 866-550-4658. Because they were regular mortgage brokers Citimortgage didn’t think they would be able to help me much if I truly needed Hardship Assistance so I did not bother to call them.

March 19, 2009 Instead I resubmitted to Citimortgage ruling out the Short Sale or Deed in Lieu of Foreclosure and asking just for Hardship Assistance with the existing mortgage. Since we had never missed a payment and had credit scores of 750 and 825 respectively I still held out the belief that we would be able to receive assistance. I explained that since it did look like we would have to sell the house, if we could just get a lower mortgage rate and maybe extend the length of the loan even if it was a temporary 4 yr or less fix, we would be able to use that money to get the house up to the point of sale since it was not selling this time or the last time we tried after my husband was laid off.

March 20, 2009 – Citimortgage received second Hardship Assistance package by FedEx.

March 23, 2009 – Spoke to Derrick who confirmed they had received the package. Told me I need to call back in two weeks. Package could take 30 to 45 days for review after a counselor has been assigned and they don’t know when that will be. Hopefully within the next two weeks before I call back.

April 2009

April 10, 2009 – 2:45 pm – Called and someone in Hardship Assistance at 800-283-7918 who said they would leave a message for Peter and that he would call me back with information about the Homeowners Assistance Plan within 48 hours on my cell phone. Asked if since it would be the weekend that would really happen. Yes, I was assured, it would.

April 10, 2009 – Called back not trusting at this point that the call would happen. It didn’t. Still have not received any phone calls or one piece of correspondence from Citimortgage. Spoke to Vic Vysosias at 469-220-0841. he told me he would call me back in 2 weeks with an update. Never called back.

April 13, 2009 2:15 pm – Spoke to John at Citimortgage 877-971-9710 who again took all my information and promised me that his supervisor would call me back in 5 minutes. I explained I had already waited 48 hours for a call over the weekend that didn’t happen.

April 13, 2009 – At 2:55pm when it was obvious no one would call back I did. I spoke to Lynnette who told me a counselor would be calling me within 3 weeks with the new information on the plan that President Obama was putting out. Finally I gave up and scheduled an appointment online to try to actually talk with someone. I scheduled the appointment for April 20, 2009 again filling out all the pertinent information.

April 23, 2009 – Spoke to customer service. Advised that they still have not received the parameters for the Home Modification Program. Still waiting.

May 2009

May 12, 2009 – Spoke to Citimortgage again today. Letter detailing our options has been mailed according to customer service. The delay was because President Obama’s parameters for the Home Modification Program had not been finalized until April 24, 2009 so they were basically just starting now to process the applications. When I explained that mine had been in since January 29, 2009 the attitude was oh, so sorry. 4-6 weeks more before I hear anything. Also told that they would need to do an appraisal on the home. Advised them I was agreeable to that but they would need to let me know when as I live in a gated senior community and they would not be able to go in without my consent. They said they would note it on the file.

May 26, 2009 – We decided we cannot afford to wait any longer for help. Our bank account is dwindling rapidly.

June 5, 2009 – Saw on my caller ID that Citigroup had called. Called them back to find out what it was about since they left no message. Spoke to both Sharon and Winter. Advised that we do not qualify for the Home Modification program because our appraisal came back as the home being worth only 139,000. It is for sale for 193,000. Needless to say I was shocked. Especially since there was no appraisal done because my gate keepers never got my permission to let anyone in. After they finally admitted it was done on the internet they told me that we are over the 105% that Freddie Mac allows for refinancing. They then transferred me to the Refinance Department who also turned us down based on the home appraisal and the debt ratio.

June 5, 2009 – Have started looking for a house to rent in preparation for bankruptcy or foreclosure. Need to rent before we file so we are able to get a rental before our credit score bottoms out.

June 10, 2009 – Tried calling Citimortgage as a last ditch effort to get assistance prior to filing for bankruptcy. First spoke to Sushant at 4:40 pm in Customer Service requesting a copy of the home appraisal and gave me the incorrect account number as my mortgage account. Put me on hold for 6 minutes then was hung up on. Called back and spoke to Dolly requesting a copy of the appraisal. She stated my case was still open and she didn’t see where I had been denied anything. She said she couldn’t do give me the appraisal and gave me some long complicated story as to why not. Transferred me to her supervisor Renee. Again got a long complicated story that it wasn’t really an appraisal that they based their decision to deny me the Home Modification Assistance on. Finally she told me it was done through Freddie Mac and our local county assessor. If that is the case 139,000 is what I am paying taxes on but in Florida if your home is your primary residence you get a 25,000. Homestead exemption which means my house is actually worth 164,000 by their records. She said she couldn’t send me that info but would send me some info out. Not sure what or when or if it will get here based on their past performance. I think they are trying for deniability by not sending anything in writing that can be challenged.

Called back and spoke to Ty in Loss Mitigation, finally someone that had a clue. He said first of all Sharon and Winter on 6/5/09 had no authority to tell me that Citimortgage was not going to help me and that my case was still in fact open. My counselor is Mr. Darfoor who I have yet to hear from. Ty was very nice and agreed that we had not been treated well through this whole process with the lack of communication to us. He gave me Mr. Darfoors direct line.

June 11, 2009 Called Mr. Darfoor and left a priority message at 6:15 pm yesterday and again today at 12:00 noon and still no word from him. Why am I not surprised.

Posted By Nancy Ocala, FL: June 19, 2009 4:48 pm

I have a citi mortgage. I was not able to get help with my mortgage last year when my property was reassessed. My payment went up over 350 a month, pushing it over 2000.00 a month. The value of the house dropped out from under us, but still my property tax was raised. After numerous calls for help, citi would not help because we were current. We went in default. Five months later, they were willing to help. Lowered my rate to 3.75% and stretched the loan out to 40 years. This lowered our payment to an affordable amount. Later, our property has been reassessed again and again, and citi mortgage now has our payment back up to where the original payment was. If only our incomes went up as fast as mortgage payments. -Frustrated
Posted By Shawn, Reynoldsburg Oh.: June 19, 2009 4:08 pm

President Obama, I hope for the people someone in your organization is reading these messages as it’s a housing pandemic which will bring this country down.

Mr. Obama your administration needs to truly get on top of this issue and forget Barney and Dodd as they have no clue what they’re talking about. The administration needs to put accountability in place immediately. Gather feedback from folks in the trenches (not bank Presidents and CEO’s). Find out the truth about how homeowners from all walks of life are being steam rolled by the same banks that 1) were the root cause of the mess, 2) received taxpayer monies to bail themselves out and supposedly help borrowers, and 3) who continue to boast of profits yet cannot implement any of the plans you sir are touting as your ‘Housing Recovery Program’.

Mr. Obama you need to get Fannie and Freddie as well as all the lenders in a room and enforce upon them that it’s “housing stupid”. That is unless the banks have figured out that they want the property versus helping everyone out. I doubt this is the case, but in these heady days, one cannot be so sure.

Fannie and Freddie need to get in step with each other. Not different loan modifications just because you have a Fannie loan versus a Freddie loan. Knock off the restrictions to closing costs as anyone with a brain can tell you people do not have thousands of dollars to save One hundred dollars a month.

Perhaps Mr. Obama, you need to enforce upon the banks, Fannie, Freddie and non-banks that principal reduction is necessary. These folks were quick to offer programs that allowed people to finance 100%, and in doing so fueled the real estate frenzy and the increase in prices, yet now they do not want to help these folks after they ran up ridiculous profits off of their loans? Please show me where the ethics are in this type of gouging?

Lastly, Mr. Obama you need to see what’s really going on inside the banks as it pertains to short sales and foreclosures. The irony of short sales today is that the banks appraise a property at a higher value which as it turns out once an offer is accepted and the buyer plunks down money for an appraisal, it comes in less than the bank had valued it. DUH!!! Talk about a stalemate! Bank says we want 200k. Buyer agrees, appraiser says sorry, only worth 150K, DEAL DECLINED! Mr. Obama, can you please bring some common sense to this picture? If not, this will be a short first term, as it won’t matter about healthcare, security or anything else. It will be housing and jobs, housing and jobs! Do you hear us?
Posted By Bob D, Sarasota FL: June 19, 2009 3:49 pm

I have applied for the refi with Wells Fargo. I have had to fax things multiple times. They lose everything. The latest scam to put me off is they need my original loan doc on my second mortgage and they have orderd it internally, but it is taking too long. They are basically dragging their feet till my rate lock expires and they don’t have to refi my loan at a lower rate which would save me $ and keep me in my home. My husband and I both are employed, have never been late and are more capable of paying the loan. Our LTV is like 95 percent. If I keep losing $ on my home and they keep putting off the refi – they will leave me no options. Nobody returns calls or emails. The whole obama plan is a scam.
Posted By Dee: June 19, 2009 2:47 pm

I applied with BofA and was approved. I then paid my deposits requested and locked in my rate. That was over 85 days ago. My problem was the Escrows! I have on deposit over $4000 paid in escrows. BofA would not refund the money, nor apply it to my closing costs, nor transfer it to the new loan as Escrows. Actually, depending on the day you talked to your loan officer it was a different story. I had a closing date of June 8, under the assumption that BofA was refunding the $4000 so that I could pay the new escrows at time of closing. When I finally spoke to my loan officer after several attempts on June 16th I was then told that they can’t do that and I would need $9K at time of closing. If I had that much money I wouldn’t need to refinance. As of today I am no longer eligable to close since my lock expired on June 15th. (Note: my lock expired before I finally got the manager (the loan officer didn’t even call me back)to call me. I want to know why the lenders are charging 1% fees, demanding new escrow payments (when they already have our money) and a whole bunch of other fees for a mess that they actually created with the economic downturn? Why should I invest more money with no return? If lenders had not lent money to individuals who were borderline or truelly investors with no buy in to the home (no money down, no loss) then the law abiding, hard working individuals would still have sactuary with their homes. I work for a Homebuilder that is now in wind down and I will not have a job soon, my husband also works in construction. There are no jobs in my field. I have been trying to do the right thing and refinance to lower my payments so that when my job ends I would be able to keep my home. I was told by a manager of BofA to call a 1-800 number for a “Work Out” program to see if there is any way that they will help me keep the home, other then that he couldn’t help me anymore as he stated BofA terms for the loans have changed. BofA does not care. I have spoken with at least 6 different people in the organization and not one of them can help or has the same story as anyone else. Working with BofA is like running in to the wall hoping that it will open, it’s not a door but a dead end.
Posted By Deb Aldrich, San Antonio, TX: June 19, 2009 2:06 pm

My employer cut all salaries by 10% back in February. I called my 1st and 2nd mortgage providers (Midland Mortgage and HFC) telling them of the situation. They said that as long as I made my payments, they couldn’t help me. I then contact Home Loan Center a.k.a. Lending Tree and applied for refinance. I was told that my rate would go down from 6% to 5% and that they could pay off my car and a couple of credit cards. I had to do 2 appraisals because I was refinancing 95% loan-to-value. The person I dealt with (Leonard Lee) was slow in responding to my emails and calls, I had to copy his boss on them so that I could get a quick response. They strung me along from March until I missed my May mortgage payment and then they said they couldn’t help me because I was late a payment. STAY AWAY from Home Loan Center and Lending Tree PERIOD!! They don’t care. I am now in a 6 month loan modification with my auto finance company and my 2nd mortgage. My 1st mortgage lender modified my loan by extending it 5 yrs and lowering it about $90/month. We’ll see how well this turns out after 6 months. Chapter 7 is looking really tempting now.
Posted By Ricky Ricardo, Gary, IN: June 19, 2009 1:48 pm

After 8 months of trying to work with Countrywide/Bank of American Home Loans directly or with the help of an attorney, they still REFUSE to grant our request for a loan modification even though we qualify for it under President Obama’s guidelines. The reason for denying our request for a
loan modification in October was — as quoted from the customer service
representative — “I don’t know.”

After all the back and forth and Countrywide’s delay tactics and corrupt practices in the courtroom, on Friday, June 5, we contacted Countrywide’s customer service one more time and asked what our last remaining options were. According to Andrew Dunlap (the customer service rep), he told us the financial section of our account indicated our income was -28% each month and recommended we do a short sale with a deed-in-lieu afterwards if the property did not sell. On Saturday, June 6, we called Countrywide again to give our decision regarding the short sale. We spoke to Leonne and according to him, the financial section of our account was “blank”. That indicates someone must have erased the data overnight! We worked with Leonne to enter our financial data and this time we were not negative. What is Countrywide trying to pull? Are they doctoring or manipulating customer data?

If Countrywide is telling the public, the media, and the government they
are modifying loans, that is a LIE. They have MISTITLED a Forebearance
for a Loan Modification as payments were reduced only by $20-$50 dollars. Again…deception! Countrywide will not release the raw “100,000″ loan modification agreements to the CA
Attorney General because they are not at all loan mods and are not compliant with the LA Superior Court Nov 23 court order nor compliant
with Countrywide’s April 17 contract with the Dept of Treasury-Fannie
Mae’s whereby Countrywide agreed to modify notes at 31% as specified in
the HASP-MHA guidelines.

We are NOT ALONE. There are 430 Countrywide/Bank of America Home Loans customers in the same boat as us. So, what is the status of our home, you ask? Well, we were forced to put it on short sale, there have been 3 offers on the home, Countrywide/Bank of America Home Loans has ALL the paperwork and STILL they haven’t moved the trustee sale date (which is next week) to allow for time to complete the short sale and, at least, allow us to save what little remains of our credit.

Countrywide/Bank of America Home Loans is determined to steal taxpayer monies, determined to deceive the government and American people, and determined to destroy the American Dream and Economy. My only question is: If the little lowly nobody taxpayer goes to jail for stealing from the government and people, how come this atrocity of a bank (Countrywide/Bank of America Home Loans) can get away with it? Talk about hypocrisy! Man! It looks like corrupt lenders are running this country…they seem to have a choke hold on our government, who, by the way, may I remind you, is supposed to work for us — the taxpayer!
Posted By Jay: June 19, 2009 1:46 pm

Wells Fargo currently has our mortgage. We have 6.5%; we took a slightly higher rate at the time of our original mortgage to avoid PMI. We started the process late April to refinance through HARP with all the paperwork being completed and WF telling us that they should be all set to go the first weekend of May. Then there were constant delays because of their systems not being updated yet to process loans with PMI…still waiting…called again…still waiting. Contacted original mortgage broker who confirmed that our mortgage should not be considered having PMI (either lender paid or consumer paid) and that it was very strange that WF spotted the interest rate difference for the avoiding PMI purpose. The rates we were quoted from WF at the start of this process were between 4.85-5% and now that they are back up to the 5.6-5.7 range, it does not really do us a lot of good even if WF finally gets with the program and processes these HARP loans. We have excellent credit scores, steady jobs, have never been late on payments and we are the last ones who could benefit from HARP. So Obama administration – Thanks for trying, but seriously, you help no one except the people who were greedy and overbought and have no clue how to manage their money.
Posted By Frustrated, Boston, MA: June 19, 2009 1:46 pm

It seems to me that the administration’s mortgage refinancing efforts are falling very short because of all the constraints inherent in these plans that make it nearly impossible to become a beneficiary of the program. For example, after being laid of from a customer service job for a major homebuilder outside Hilton Head S.C. in March of 2008, I could not find a job in the greater Savannah/Hilton Head area to be able to continue paying my mortgage. I landed a job in Austin, TX a few months later, and given our circumstances, decided to take the job and move with my wife a week after our honeymoon. We tried selling the house located outside Savannah, GA, and in 6 months not one single person showed interest. Thusly we are now renting the house and losing money every month we rent it at less than our monthly mortgage payments. When I went to re-fi in April, I was told by numerous loan officers that I did not qualify for a reduced interest rate because – now that we are renting the house – it is considered an “investment property.” Well nice investment, huh? I find it a little unnerving that we could simply walk away from the house and default on our mortgage, but here we are trying to work something out w/ banks who keep closing the door on us since we were forced into having to rent the home out to be able to continue paying the mortgage to begin with. If we lived in a perfect world, I would have never lost my job, and we would still be living in that home making our payments every month without problem. My opinion is that the administration needs to understand that not everyone is trying to re-fi in a perfect world scenario. I am sure there are millions of people, like us, that are going through similar hardships being able to benefit from the program the way it is currently designed. Why do we have to be left out when we still pay our debts and taxes to benefit those taking it away from us. A little fairness would be appreciated.
Posted By Jim F. Austin, TX: June 19, 2009 1:30 pm

I bought my house 11 years ago. In 1997 my husband was laid off and in two weeks later my husband did not find any job then I call Countrywide and applied for a modification on October 1997 and I don’t received any respond until March 1998. I signed the modification paper and I sent the first payment which was $1700.00. Three month after I received a letter from Countrywide that my monthly payment was raise to $2300.00. At that time I can afford that payment and I tried to called Countrywide almost everyday until I get another modification. This last modification was approved for $2000.00. Then I agree because I don’t want to loose my house but then I call Countrywide and I was advise the monthly payment in the next couples months will increase to $2901.00. Defenitely I can’t afford this payment. The end of my story is very sad. I know soon I have to abandon my property because I was unable to get help. Good luck for everyone.
Posted By Maria Falero Tampa Florida: June 19, 2009 1:18 pm

I also work for one of the larger banks in the country and I can you that as a loan officer trying to help people we have gone from loan officer to modification and loss mitigation consultants.

The stories are endless and the tragedies worse. The problem with the entire Obama plan is that as the person prior to my note stated is they left out FHA/VA. However, the bigger issues include the fine print that the Fannie and Freddie inserted some very fine print that leaves nearly 9 out o f10 applicants out of the loop! Freddie for example will not allow the borrower to include closing costs and prepaids to be included which is a huge cost up front at closing. So now you have a borrower who fits the program up and until the day of closing comes along. Now they’re informed that they can only include up to $2500 in closing costs when the actual closing costs and prepaid escrows will range from a low of $5k to 10k or higher.

Then you have the issue of Fannie Mae Loans who qualify but yet the Fannie Mae system (DU) kicks the borrower out over some type of glitch. To make matters worse, Fannie knows it’s a glitch however will not allow the underwriter to manually underwrite and approve the loan. So what happens to these supposedly Fannie Mae qualified borrowers you ask…….DECLINED!

The rescue plans are further impacted negatively due to those banks and lenders who do not participate and instead pursue short sales (under very strict terms) and or try to work out modifications on their own which do not help anyone. They want huge closing fees and do not offer competitive rates.

Lastly, we’re now seeing the beginning of a huge problem as it relates to the new appraisal regulations whereby the lenders are no longer allowed to speak directly to the appraiser. On the surface this sounds like a great idea because you’ve heard all these horror stories of appraisers being pressured to come in with higher values. I hate to be the bearer of worse news than these folks being pressured but because of the new guidelines, the fees have jumped up to $450-550 for the consumer and when the appraisal comes in low, the lender is allowed to submit a dispute form which results in the appraiser sticking his nose up in the air and your borrower being declined! Again!

So I guess the real question is, who owns these new appraisal management companies that have sprung up. Hmmm, maybe it’s those guys who caused this mess way back, I think their names were Barney something and Dodd! Nice job guys!
Posted By Joe Rye, NH: June 19, 2009 1:17 pm

I applied for a loan modification with Citi Mortgage Company and to my surprise it was a success. I will admit the process took about 90 days to complete and it took a lot of patience, and a big commitment on my part. I started the process by going online and I applied under the hardship rule. I faxed in all the required documents and had to call in at least once a week to see where I was in the process. I find that if you get a name, number and extension of a person and you keep going back to that same person they tend to be a bit more helpful. What I did was develop a consumer relationship with my contact person. I always started the conversation by saying I am just calling to follow up to see where I am in the process. I then became empathetic and I would state that I knew she was working very hard and I appreciated the fact she even took my calls. I did this every week until the process was completed. Only once did I ask for a supervisor. One note of importance I always called around 8-8:15am People seem a bit more receptive at that time of the day. My loan went from 7.8% down to 5.05%. So in the end it was well worth the time and effort I spent on the phone. If I ever get the chance I would like to thank President Obama because I do not believe I would have ever been granted this opportunity without his input.
Posted By DLew, Chicago, IL: June 19, 2009 1:16 pm

I applied for a Mortage loan remodification with BankofAmerica. I am current on my mortage, never missed a payment. I was laid off in September of 2008 from a job paying $90,000/yr lived off savings. My wife was laid off from a temporary job in May. I took a temporary job in April making $13.50/hr. Called BankofAmerica sent them all the documents they asked for. Witin three weeks I got this form letter saying my request for a loan remodification has been denied because my income will not support a remodification. The letter went on to say that if I go into default they will continue to report me to the credit burea. This letter was telling me to go into foreclosure, then give them a call. Banks don’t really care.
Posted By Quency Holmes Gallatin, TN: June 19, 2009 12:43 pm

I am a real estate appraiser in NYC. As far as we can tell down in the trenches, Banks, (Especially, the bailed out banks) are trying their hardest NOT to make any home loans, refinances or modifications, effective May 1st. There is no oversight, nor any channels available to the homeowners/purchasers for remediation of the outrageous behavior of the lenders who got us into this mess in the first place.
Posted By New York, NY: June 19, 2009 12:39 pm

I received a mortgage 3 years ago and the friendly (and unregulated) bank simply lied to me about the terms of the loan, giving introductory rates that changed without telling me. Now these same banks are clearly NOT wanting to give up the draconian mortgages they have. Obama MUST find a way to force the banks to let go of this toxic paper, and fix the disaster that the lying son-a-bitches manufactured; banks still are determined to restore their fortunes by stealing people’s homes (just as originally planned) whether or not it destroys America, and are subverting your program, Mr. Obama, to fix the banking disaster and our economy. This is an internet revolution; Mr. Obama, give us homeowners the power and tools to opt out of our bank’s control when they don’t answer the phone or otherwise subvert us and the program. We can put the needed attention to our own affairs, even when they won’t, as WE are determined to make this work. They are not; quite the contrary. Don’t leave the power in the hands of those determined to profit by subversion. This home is MY investment, the mortgage is THEIRS. Give ME the tools to separate their mortgage from my home. Give me the tools to make this work. I ASSURE YOU THAT I WILL MAKE IT WORK; clearly banks won’t. Give us the tools.
Posted By Stu Stanton, Manhattan, KS: June 19, 2009 12:25 pm

I started the refinance process with Bank of America over 90 days ago. I was looking to lower my payment just in case something happened to my job. I was offered a 4.625% rate and was currently at 6.875%. I was recently turned down because my home had depreciated in value. The big kicker was the lady who did my appraisal marked that I was in an oversupplied market and in a declining market. Even though my zip code did not show up in BoA database as being in either one of these markets, they took the word of the appraiser. This move by the appraiser automatically took my loan to value form 90% to 85%. BoA would not budge!
I fought tooth and nail and ended up FINALLY speaking to a customer service executive (I should post her name and direct line) and she finally tried to help me. She was able to get it so I would have no out of pocket money at closing, but since I was offically denied by letter 2 weeks prior, she would not honor my locked in rate of 4.625%. At that point, I was fed up!

Bank of America’s customer service is beyond HORRIBLE!!! The big banks are the only ones who are benifiting from all of this and they helped create the problem. I don’t understand why it is so hard to reset someones rate, terms and verify employeement. I have since started the refinance process with another bank and I’m approved with a closing date in ONE WEEK!!!!!
If you have loan from BoA or one of their affaliates good luck on the refinancing.
Posted By Jason Adams, Salisbury, North Carolina: June 19, 2009 12:21 pm

I have tried to refinance my home under the bush admin. at closing I was told the bank was going under the Obama admin. the problem i had was I was trying to pay off all my bills at an over all savings of $1400.00 per month. Under the Obama admin. I save $600.00. I cannot pay off all my bills. I want to thank the Obama admin. for thinking of people like me. I would like to keep the econmy going now icannot afford a car. thanks!
Posted By joe leach,kearny,nj: June 19, 2009 12:18 pm

there are a lot of misconceptions about the “Making Homes Affordable” plan. When it was presented to the public, “all” of the qualifiers were left out. Basically, only a few peoiple qualify for the program, even though it sounded like a universal lifeboat, no fault of the lenders, the gov’t put this together, as for the person being told to continually call back, he is more than likely eligible, but for phase 2, this is for people whose loans currently have PMI, once again not the lenmders fault, but PMI carriers
Posted By Mike, Dallas Texas: June 19, 2009 12:14 pm

I work for a one of the larger mortgage servicers, specifically in the loan workout department, and I know that one of the biggest misconceptions about the Obama Loan Mod programs is that they include FHA/VA loans. Well, if you read the fine print FHA/VA loans are not included in the program. Most serviceres, including my employer, have internal programs that are available to borrowers, but the programs are very different from the Obama plan. People need to figure out what type of loan they have, because if it isn’t a Freddie or Fannie loan then it’s probably not in the Obama program. I think this is one of the biggest mistakes that this administration has done. They’ve swept the FHA/VA loans under the rug, hoping no one would notice, and the borrowers are upset because they think they are getting denied for Obama’s plan when they were never eligile in the first place. My biggest suggestion for all the homeowners out there that want and need help is to call their servicer, not the bank they went through to get the loan. Most likely, that bank sold the loan or the servicing rights to someone else. The servcing company, or the company your payments are sent to, usually have the ability to refer you for some sort of hep. Goodluck to everyone.
Posted By Derrick – Parkersburg, IA: June 19, 2009 11:43 am

Okay, this is a very frustrating case. My husband was docked two increases in pay and our health insurance went from $40.00 a week to $100.00 a week. We have been having trouble with our mortgage payments. So I called “Countrywide” and they stated that we cannot apply for a loan modification due to the fact that our investor (Deutsch Bank) does not allow modifications on our loan. Help! Does anybody know what this all means and is it legal? I sent all documentation in and now they want us to try a repayment plan which increases your payment by 9 months. Does not make much sense to me.

Troubled American
Posted By Anonymous: June 19, 2009 11:21 am

I have been a mortgage broker in the Washington DC metropolitan area for over 17 years and have been trying help many of my previous clients as well as new one’s that call for help. It has been a roller coaster of events over the last 12 months. Every time a new government program is rolled out, we think this will be the one to hlep our clients but then reality sets in, either the guildines are so restrictive that only a limited number of people qualify or their current lender will not work with them becuase they are not participating in the program. In my opinion there two programs available now that should be able to help the most people. The first is the recently updated Hope For Homeonwers program. This program requires borrowers current lender to reduce the principle ballance to 93% of the homes current value and FHA would insure and guarantee the new lender for any future default. I feel that this program could have the greatest impact on slowing down foreclosures but the problem is finding a lender that is willing to originate and close the loan. The second program that was created to help millions of people with mortgages owned by either Freddie Mac or Fannie Mae that would not qualify based on current guildine due to limited equity in their home. My company has had over 50 borrowers with mortgages owned by either Fannie Mae or Freddie Mac request a refinance through one of these new programs but we have had only 1 out of 50 actually close. There are list of reasons for not closing from exceeding the 105% loan to value requirements, to the increase of the interest rates since the program was first releast but the most frustrating is when you have borrower that meets ALL of the published guidlines but for technical reasons that the Fannie Mae and Freddie Mac “help desk’s” are not able to determine, we cannot close the refinance. In my opion the the best way to help the most home owners that have been current on their mortgage and that income qualify would be to eliminate the requirement for an appraisal. The bottom line is if you can reduce a persons mortgage payment by $200-$300 per month and put them in a better position to continue making their mortgage payment, why not?? Talk about helping the economy at little to no cost to the tax payer!! It is a win, win for everyone.
Posted By Tom Gaffney, Fairfax VA: June 19, 2009 11:19 am

OOH ..Sun Trust OOOOH suntrust, how you love to screw me!
OOOH.. contry wide OOOOH country wide, with your option ARM you really stuck it to me.
Posted By Barry, san diego: June 19, 2009 11:03 am

I am current on my mortgage payments, but my home value has dipped below what I owe. I attempted to refinance anyway possible, including Obama’s DU Refi Plus Program, to no avail. I was told by PHH Mortgage, a Fannie Mae insured lender that because my PMI is paid by PHH Mortgage and not by me that I am not eligible for Obama’s DU Refi Plus Program. Being denied on this unscrupulous technicality is very frustrated for me and my family. I’ve also tried to refinance with a traditional mortgage and a FHA mortgage, but was told my loan to value ratio was too high for both. I owe $128,500 on my mortgage and my house is supposedly worth $125,000 according to, which banks seem to be using as the Bible these days. Now that rates have gone way up, I feel trapped once again.
Posted By Rodney Wallace, Parma, OH: June 19, 2009 10:08 am

My son tried to refinance the mtge on his condo in Atlanta under Obama’s plan and was told by one of Suntrust’s Vice Presidents that he was not eligible because his condo was not a Fannie Mae property. Is that a requirement?
Posted By Racheline Schwart, Danbury,CT: June 19, 2009 7:01 am

I successfully got a mortgage modification. My mortgage is through Citimortgage but the mortgage holder is Fannie Mae. I was laid off 7 months ago from a 6 figure job and finally got a job paying 1/3rd of what I was making. My new salary would just cover my mortgage! I called Citi and every time I got a different story. I finally got to the mortgage modification department – their number is 866 272 4749. Ask them to put you through the “online tool”. Be prepared to give your income (gross and net) and expenses. Ask them to order the appraisal on your house. If someone tells you you cannot qualify (as happened to me), ask them to please do it anyway. Finally, after thinking that I could not qualify, I actually got a call from Citi (just left a message with no reason). When I called, the guy entered my info in the tool and said that I was approved. My mortgage went from over 3000 to 1500! I have to make the new payments for 3 months. After that the modification will become final. During that time I will receive a mortgage modification agreement. All I have to do is sign it and send it back.!
Posted By Kathy, Boston, MA: June 19, 2009 6:52 am

I have the same sad story with Countrywide and BofA. Countrywide collected $400 from me for a refinance. “Thirty days and we will close”, they said. It has been 120 days. And they said I qualified, but then they said I didn’t, and would need to order an appraisal. I told them I was not going to pay for another appraisal, because that they had told me the value of my home in the initial negotiations. Their value was more than my last appraisal. I think the loan officer made up a number to fit for my approval to ok the process and send the $400. By the way the end results in savings were less than originally told to me. Also, two differnt times the good faith estimates with Countrywide were changed to a higher interest rate; at the last monemt of closing. Then they said they were going to re apply. I told them to forget it because I was going to apply again for a modification. Actually I applied for a modification before they started the refi. However, I paid one of the scam artist for assistance in the second attempt of a modification. That cost me another $650, for a list of what was needed from me. This list of instructions can be obtained for free. I got a call the other day and the solicitor said, “I am a third party negotiator and you need me to do a modification or it will not get done.” I said that is not true and he hung up on me. Anyway, I have re submitted for a loan modification and have been told by a rep that that they have my paper work. They tell me to call back in 2 or 3 weeks. That is a nightmare to get through to the right department. I have been spoken to rudely and been hung up on. Same old story over and over, we are in a lot of trouble America, and the banking system is kindling the fire with our money. We should march on Washington and camp in the streets until something is done to correct this mess. I have been a faithful on time customer and now where is the expedited speadience when it is turned around the other way. I pray for the just thing to be done. Hello President Obama, fix this mess for your citizens.
Posted By James Fultz, Sevierville, TN: June 19, 2009 1:01 am

I applied for a loan mod with Wells Fargo in March after my husband died suddenly in February and I lost over 60% of my household income. The initial phone conversation was very positive and it did look like I qualified all the way down the line for the Making Home Affordable Modification plan. Three months later, I received a forbearance letter reducing my payments by half for 6 months and on the first of the 7th month, the entire amount in forbearance and the full payment for the current month would be due. The premise was that this was a temporary hardship and in the 6 months, I should suddenly be able to find a way to correct the deficit in income. I have stayed current on my payments, draining my savings, but the forbearance would have a negative impact on my hard-earned excellent credit rating. They tell me, not in the letter (in writing), but on the phone, that at the end of the 6 months, they may offer me a solution – no guarantees. Meanwhile, interest rates are creeping back up. I have to decide whether to believe them and sign the letter or I don’t know what. Sooner or later, this will deplete my savings and leave me with nothing to live on. Obama’s plan is a nice thougt, but where are the LAWS(!) protecting the citizens???
Posted By Andrea Miller, McFarland, WI: June 19, 2009 12:39 am

This program is baloney. You get nowhere fast with the phonecall runaround. We were laid low by a work related injury that left my husband permanently disabled. The state funded work comp sent him to college for 3 years to retrain, and we struggled to get by on work comp, student loans, and my job that paid next to nothing. We cashed in our retirement plans, raided our savings accounts and never touched the equity in our home. We went into debt that didn’t exisit before the injury, and muddled through. We never missed a payment on our conventional mortgage. He graduated with honors in December, just in time for the economy and job market to tank. Still, we borrowed money from family to keep our house payment current, because if you were behind you couldn’t get any help. Our mortgage holder, Wells Fargo, started giving us the run around in Feb, when we called to let them know that we were seeking modification. Still we weren’t behind. Many phone calls, repeated submission of the same paperwork, and finally they call to say that our moritorium was almost up. What moritorium? We were current and no one had told us we were granted a moritorium. so they started it from that date. Its no help. Instead of the regular monthly payment due on the first Wells Fargo decided to give us 90 days moritorium, but on 1 Aug we need 4k to bring it current, or we are in trouble. What help is that, really? My spouse is still looking for work, while my job came to an end last month. We have sold or pawned damn near everything of value to keep the phones and the internet, necessary for job searches. How does this program help us? It doesn’t. We bought an affordable, modest home, with a 30 year fixed at less then 6%. We put a lot of repairs and sweat equity into it. The market in our town has held strong and our house is appraised at 80k over the amount left on the loan. That only entices lenders to take your home, because then they make money. There is no help for the homeowner, the injured or the ordinary citizen. Our credit is now in ruins and at age 50 we are trying to start over, with less then we had 30 years ago, and permanent injuries. If we lose our home we will never own another. the president’s plan was nothing but a give away to the big banks, again. Weeks of paperwork unprocessed, phone calls not returned and a 4k payment due in 6 weeks have lead us to believe that we will be homeless when winter arrives, and its damn cold in Montana. He goes without his medications and I go without decent food. Neither of us have medical or dental care anymore. We have never taken a handout, never asked for help before now. And all the hard work, the scrimping and saving, was for nothing. It only reinforces that the president and congress don’t give a damn about the ordinary citizen, the little guy. we are only good to hit up for campaign contributions and taxes. We slip further each day, and each day I feel a deeper sense of hopelessness and hurt, because the nation that I believed was so grand and glorious only cares about the wealthy, and making them wealthier. I am sorry and embarrassed that I fell for the “vote for change” line, and feel really stupid for being so guliable at my age. Never again. the banks lie, the government lies, and no one gives a damn about us, the little people falling farther down into the darkness. Where will it end? I guess that it ends with us living in a tent in the national forest somewhere, because I won’t be homeless in an urban setting. If the elements are going to get me I’d rather it be in the splendor of Mother Nature then the squallor of downtown alley ways and bridges. And Uncle Sam can kiss my hardworking, honost and respectable a$$. And I think that it is horrible that CNN makes me post my name and city. Nothing like adding to my pain.
Posted By Emm De El, Lolo, MT: June 19, 2009 12:33 am

I have a mortgage with Wells Fargo. I’m at 6.125% on 30 years and I qualified within the new requirements. I wanted to reduce my rate just in case I got laid off. I was told by my banker, who I have used often, that she had 40+ people interested in their HARP program at Wells. She would get back to me in a week to tell me the details. I called her 3 weeks later and she told me that only one of the 40 would qualify for their program. The reason being, you had to have at least 20% down on your home. They are calling this their tier one and later will involve more people in their tier two program. She had no date as to when tier two would take place. I’m guessing never. They received 7.8 billion in tax dollars for this program on top of 25 billion in trap funds. Who the hell do they think they are? This program is a proactive way for people who are paying their bills to have a little breathing room during these uncertain time. This reduction could be the difference between keeping and losing a home, if a person experiences a layoff. The government needs to take charge and kick some butt. Quit helping those who should have never gotten loans in the first place! If you have a sub prime loan, you made your own bed. Don’t buy what you can’t afford. Your stupidity has cost others to lose their homes.
So far Obama’s programs have just been a lot of hot air. You expect the banks to do the right thing and when they don’t you can blame them for the problem. You have the power Mr President, use it!
Posted By John, Andover, MN: June 19, 2009 12:08 am

I am one among the lucy few, I got my home refinanced under the Obama Administration Plan. I had alomst a high 6’s APR before the refinance and under his plan I got a APR in low 4’s, I was benefitted by 2% drop saving me about close to $600 a month. I would have to say there was a $10,000 closing cost associated with the refi. I calculate I may break even within 2years.

I had my initial loan and refinance done through BofA, The customer service and the processing was not that great (I should say among the worst) but I think it was worth taking the pain for opening up some extra income every month. I am now using the same amount to pay off credit card loans. I hope I will be in a better situation than I am right now with in a year or two.
Posted By Angara, NJ: June 18, 2009 9:00 pm

I DID get helped through Obama’s home resuce plan. I am now in a 3 month trial period and my monthly house payments have been lowered significantly. However, my bank, Wells Fargo, was hesitant to help me without a big push from HOPE NOW, a non-profit HUD agency that called people I couldn’t reach, faxed items, and kept me in constant contact of what was happening with my loan. It was 6 months of stress and worry that my house would go into foreclosure but my loan modifcation came through just in time. It was worth it. You have to show decrease in your income, have a freddie mac or fannie mae loan, and you have to be having over 31% of your monthly gross income going towards your mortgage payment each month. Sadly, it also helps if your house is worth less than you owe. The bank wants it back even less that way. At first Wells Fargo said they’d help me on their own plan but two months into it they suddenly told me I didn’t qualify. I DID qualify, however, under President Obama’s plan. I can’t thank HOPE NOW enough for guiding me through the long, difficult process. Their counselors stood by me every step of the way. If you want to see if you might qualify or can get a HUD counselor to help qualify you, go to It’s all right there on the website or go to
Posted By Mike Tempe AZ: June 18, 2009 8:29 pm

My situation is like this: I bought a home through Desert Schools Federal Credit Union of Arizona in August of 2005 for $160K. This was done through a conventional 30-yr fixed mortgage set at around 6.3%. No ARMs here folks. However, three major and unforeseen events took place that have made this $1161.00 mortgage and a $205.00 HOA nearly impossible to carry, although so far I have managed to each month, barely. My wife of 25 years (who is also on this mortgage)abandoned me. And of course, with her went a portion of the income that we had agreed to use to support the house payments. She has been gone since December of 2006. Secondly, as of mid 2007 my employer (FedEx) eventually had to cut back work hours due to the dramatic drop in their package volume that resulted from the economic downturn. Thirdly, I have a chronic ailment that has to be addressed daily with proper medicine and probiotic regimens if I am to stay on my feet and continue to work so that I can bring in the money to continue to pay for the house. The meds ARE NOT covered by my health insurance; these are strictly out of pocket, as are the $110.00 per month doctor consultations. Having said that, I went to Desert Schools four different times within a period of nearly two years to get assistence. The first three times all I received was a stone-wall. The fourth time came on February 9th of 2009. They don’t know it, but I was within a hair of signing a lease for an apartment to move into and leaving this house to go into foreclosure. The ONLY thing that stopped me from doing so is that my sister-in-law in California pleaded with me to try DSFCU one more time. I did. This time, they said they could help. So they sent me the appropriate paperwork to fill out, which I did. Along with that paperwork, I had to send them necessary financial documentation to complete the packet. They received this packet at 7:30 AM, Friday, February 13th. And I haven’t heared from them to this day!! I will be very blunt and not very tactful: First of all even though Desert Schools told me that they could help, I expected only one of two things to come out of their mouths – either a half-truth or an outright lie. And at least in that area they did not disappoint. For that reason, I say to anyone looking to do financial business, I can’t tell you who would be the best institution to go with, but Desert Schools is definitely NOT the one you want to deal with. As for Obama’s plan and program, I believe he means well and that to a fair degree he is sincere. But as well-meaning as he may be, he can only go as far as the system, financial and political, will let him. This is clearly demonstrated by the receivership of the massive bailout on the part of the banks; money that was supposed to be used in part to help families or individuals who were truly struggling to keep their mortgages sound as a result of finding themselves in difficulties beyond their control. But til now, according to the latest statistics, has supposedly helped only 55,000 struggling homeowners. Like I said folks, 98% of the financial institutions, be they banks or other lending institutions function on either half-truths or outright lies. And anyone who can’t see this reality now is either hopelessly corrupt or pathetically naive. I’m hearing from fellow workmates and others that in MOST cases, the only way that banks and other mortgage institutions will remotely consider helping you is if you fall at least three months behind on your mortgage. They are less likely to help you as long as you somehow remain current. You know, I have a ten-year old nephew who’s got better sense than that. But know this, once I have exhausted all my resources and cannot continue with this mortgage, I am taking my leave folks. I will not waste my time negotiating with DSFCU a fifth time. After all, in baseball you’re out after THREE strikes.
Posted By Robert Hill, Mesa AZ: June 18, 2009 8:01 pm

Once Obama’s man Geithner rolled out the making home affordable plan, I thought we’d be able to take advantage of the mortgage refinance in March/April. What a fiasco that’s been. We have 800+ credit scores, excellent credit, pay on time, and wanted to take advantage of the low rates…which aren’t so low now. So, we go to the making home affordable site, find out our mortgage is backed by Freddie Mac, and that we MAY qualify for the making home affordable refinance. We call our lender Countrywide/BofA in late April, early May, and they tell us that we fit the percentage 105%. Great, I’m all excited! Nope. That’s not the whole story. Because we have PMI (and who doesn’t have PMI on ANY loan with over 80% loan to value), and they can’t do the refinance until phase two of the mortgage refinance is released which will help those with PMI. Well, isn’t any loan generated that has over 80% loan to value have PMI? Needless to say it’s early June, and
Countrywide/BofA told us phase two will come in late June early July. By that time, there won’t be any reason to refinance because the rates will be the same as the 7.625% loan we have now. Well, so much for another government program designed to help ‘main street’, America. Thank you!

Dan Maldonado
Posted By Dan Maldonado Cream Ridge NJ: June 18, 2009 7:42 pm

The government does not have a clue as to what is going on, on mainstreet. With 20 years experience in the mortgage industry I can tell you that the average American is getting ZERO help form the Fed. The Fed re-nigged on their promise to create liquidity in the mortgage market and the FNMA and FHLMC policies are ridiculous when you try and use their “refi plus”. Here is a real solution but JC2 and the boys will never let it happen as they have no real intention of helping the average homeonwner.

1. Make the interest everyone pays on their home mortgage a “TAX CREDIT” instead of a tax deduction (immediate income into the hands of all homeowners to allow them to continue paying their mortgage). This could be capped at $12,000 to $15,000 per mortgage and still be extremely effective. People would immediately have an extra $1000 per month to help pay their mortgage or BUY THINGS TO GET THE ECONOMY GOING AGAIN. Individuals with mortgages would not have to refinance (which they can’t do very well anyway due to the loss of value in their homes which won’t allow them to refi) and they would still get major relief.

2. Make the interest individuals receive on Mortgage Backed Securities “TAX FREE”. This will cause investors to be more inclined to buy mortgage back securities in light of the newer lending guidelines and their increased yield based on valuing their investment as tax free. Part of the real estate problem is the lack of liquidity and the fact that investors are reluctant to buy mortgage backed securities. By giving the investors (401 k’s retirement funds, individuals, etc) the benefit of tax free yields they will buy MBS’s.

3. Make the Capital Gains on homes purchased after January 1, 2009, “ZERO” if held for at least 3 years (this includes all home purchases to include investment property, personal residence’s, second homes, etc). This should spur home buying by individuals and investors and the rate could be reinstated at some year in the future when America stabilizes. One could argue that the Government will lose money on future gains in the market but if something isn’t’ done there will be no gains to tax anyway.

The solutions will cost the Federal government, to some degree, in lost revenue but it will at least put money right down to the individual that needs it the most (the average homeowner still tying to make his payments), restore confidence in real estate as an investment (people will buy mortgage backed securities’ again), and investors will see real estate as a preferred investment due to the capital gains savings.

If you don’t fix real estate, all other areas of the economy will continue to suffer.
Posted By Rein Hollar, Kaneoeh, HI: June 18, 2009 7:02 pm

I am an experienced mortgage broker who has given many people the following fee advice that has helped them to successfully modify their loans:
– NEVER pay for a modification. You can do it yourself and most mod companies soliciting your business are illegal – not properly licensed.
– Understand the difference between a Refinance and a Modification. A refinance is a completely new loan and you can get it from whatever company has the best rates and fees. Shop around. Going to the sales dept of your existing lender is usually going to be your WORST option. Check with mortgage brokers if you are going to refi – competition keeps prices down. A MODIFICATION is keeping the same loan with the same lender and they just change the terms of your existing loan. ONLY your existing lender can approve this.
– Do not call your lender and wait for them to call back. They are LYING when they say they aren’t accepting mod requests yet or you must be delinquent.
– Find out the Fax number to your lenders modification dept / Sen Joe Lieberman of Connecticut has a great Mortgage Tip sheet on his website with all the big lender direct foreclosure numbers – google it. Then FAX a demand to the lender that they modify your loan and type QUALIFIED WRITTEN REQUEST PER RESPA – MUST RESPOND IN WRITING WITHIN 20 BUSINESS DAYS across the top of your cover sheet. Include most recent tax returns, paystubs, bank statments, W-2s and a spreadsheet of your monthly household budget. Your budget/cover letter must show them how you will fail if they do nothing and how you will be able to make the payments if they modify.
– Keep a confirmation that your fax went through.
– Three days after sending the fax, call the modification dept number from the tip sheet. If you are current on your payments, DO NOT push in your loan number or the automated system will re-route your call to the regular customer service who can’t help you. Just act like you are calling from a rotary phone and you will get person in the mod dept. Ask for status, threaten to turn them in the HUD for RESPA violations if they don’t respond in time.
– Call every day until they assign your mod to a negotiator. If they claim to not be able to find your fax, then fax it every single day or multiple times a day til they respond. The fax numbers are toll free, so its their dime.
– Be polite but persistent. If you get a jerk, say oh sorry, gotta go, hang up and call back, you will get someone else. If you get a nice person, be nice back and ask them to expedite your application.
Here some of the numbers I have so far:
Wells Fargo:phone 800-416-1472 and fax 866-359-7363.

Chase: phone 866-566-3765 extensions are all 5 digits beginning with 278XX, so just try random till you get someone. Fax 813-864-8268 or 602-680-1257

Bank of America phone 800-846-2222

Someone mentioned that they got their first lender to modify and were being ignored by their second. Solution: FAX the second lender a qualified written request, demanding they respond because if they don’t, you will let your first mortgage lender foreclose and then they will be left with NOTHING. In most states, the first foreclosing just wipes the second clean off the map. Tell them their choices are something or nothing and they have 20 days.

Good luck. These lenders are not being watched by Obama, Geithner, Sheila Baer and least of all, Barney Frank or Chris Dodd!! The more people they can convince not to submit in writing, the less work they have to do. Good luck!
Posted By Kristi, Murphys CA: June 18, 2009 5:43 pm

I am a working woman/mother who has always worked hard to help make ends meet at home. Sure, we have a big family and fell into the big house trap, but we certainly didn’t intend on buying at the top of the real estate market. Shortly after purchasing our home and obtaining a home equity loan to take care of the little things needed around the house, our entire 20% equity down payment was eaten up by the downturn. Thus, we are amongst the many, many, many homeowners, through no fault of our own, currently under water between the value of our home and what is owed on it. Now, I wasn’t asking for a modification or help by any means. My husband and I are making the payments, thank you very much. However, Countrywide pulled a bait and switch on us that, in my opinion, was close to illegal. We received a HUD statement prior to closing on the home purchase, which outlined a 30-year fixed rate mortgage. Shortly before closing, when the agent was preparing the documents, he said that we no longer qualified for the 30-year fixed rate mortgage and wanted to get us into a 7-year interest only loan, followed by a 1-year ARM – too risky for us. Countrywide showed up at the closing of our newly built Toll Brothers “McMansion” with the interest only loan. When we complained, we were told by Toll Brothers that we would be sued if we didn’t close on that day – our attorney advised us to close the loan to avoid a possible $80K loss. Shortly after closing, we approached our Countrywide agent to refinance to a fixed rate. He advised us to take out a home equity loan, since the fixed rates had moved up since our closing. We took his advice – after all, he was the expert, right? Does this all sound familiar? Well, I’ve been calling Countrywide, now Bank of America, trying to refinance. Unfortunately, since we’re making payments, there’s nothing they can do to help us modify our primary mortgage, let alone, refinance our primary and seconday mortgages. But, don’t we have a right as upstanding clients, to at least some kind of program that benefits the homeowners who are responsible and through no fault of their own, are faced with the possibility of rising rates in the near future, which would put them in a financial hardship and cause a second round of foreclosures in the US? It seems that while Obama’s team is focusing on the “low lying fruit” that needs to be dealt with presently, that they’re forgetting about the rest of the crop that will become ripe very soon……What then? Huh? Huh?
Posted By Joyce, New York, NY: June 18, 2009 4:45 pm

I have been trying since March to refinance. Here it is June. I have called over a dozen times attempting to get someone from the banks to work with me. I fall in the loop hole.

I have a 7.5% Interest Rate with CitiFinancial. I can’t refinance with them or anyother vendor because my equity in my house is no longer there. I owe 235,000 on my home that is now worth only about 190,000. So, trying to take advantage of any low interest rates are impossible.

CitiFinancial has been unresponsive and I’ve been transferred around in a circle more than once.

I am not behind on my mortgage payments Yet and our income has changed since last year due to my husband’s business failure. I have been trying to get their attention for over 3 months with no success.

We have now decided to put the house up for sale and that it’s another problem all in itself because again, we would need permission to sell the home which we can’t for the full value and would need to take a short sell. The bank has been non-responsive on this as well.

How does anyone expect people who have been doing right by the banks and fall under hard times. Reach out to them for help and it’s like they turn their backs.

It’s no wonder there are so many foreclosures. So many probably could of been avoided if the banks knew what CUSTOMER SERVICE WAS. They just don’t.
Posted By Georgia: June 18, 2009 4:04 pm

In November 08′ it contacted Countrywide and tried to get into a retention plan, I submitted twice the information they request. By January I still hadn’t heard, I called and they said a packet would be in the mail for me to apply. Mid February I called and they gave me the run around. Then all of the sudden I get a call from Bank of America stating the took over Countrywide and would work with me in lowing the interest, again I had to fax over all my financials. In April they stated I would receive a Fed Ex package to fill out in order to qualify. May 1st came around and no packet, I called again. They stated that there were so many request that they were behind and by the 1st of June i would receive. I called June 4th to state I still haven’t received the package and was upset to hear that the representative said someone (he wouldn’t say who) suspended my request and I did’nt qualify. Because of the economy the value of the house was not worth the loan. I stated I just want to lower to the 4% so I can afford to make the monthly payments, after all, they own this property this is so under valued until its paid off.One would think it would be to their benefit, but no, they would rather an individual would default and lose their house. I don’t understand because then BofA would now have another property on their hand that is under value of the loan. I’m totally exhausted in trying to find assistance. I personnelly think that Obama’s plan is a farce. The wasted billions of dollars give to Corporate American could have paid off many morgages for Americans who needed help. After all wasn’t it the Financial Industry that allowed this bubble to burst in the first place.
I would have perfer that Obama sent me a check for my total moragage instead to a corporation who spend millions on bonuses for their employees. I think the Obama administration plan is all talk and no action….
Posted By Linda Lorent, Tucson AZ: June 18, 2009 3:58 pm

Chase has been a NIGHTMARE with our mortgage rework. I can get three different stories from three different people on the phone. The left hand literally has no idea what the right hand is doing. I’ve had to resend in the same exact paperwork 3 times now, and even though I have fax confirmation sheets and postal receipts they still say they’re waiting for it — and once they’ve received everything it’ll be 60-to-90 days before I can talk to a negotiator.
Posted By David Weiss, Pasadena, CA: June 18, 2009 3:55 pm

We purchased our home in 2004 with an interest rate of 6.5% with a 25 year note. Our loan was an FHA and we wanted to refinace at the current interest rates in March which were 5%, however we weren’t sure with the home values in Michigan if we would qualify. I contacted Wells Fargo and I am happy to report that I refinanced our mortgage with 4.5% rate and a 15 year term. I am relieved because we both lost our job on the same day in April due to Michigan’s economic downturn.
Posted By Christine, Dearborn MI: June 18, 2009 3:49 pm

I contacted Wells Fargo concerning a home equity loan offer letter I had received from them as they hold my mortgage. They told me I was pre-qualified. It sounded like a great deal.

I said I wanted to get a home equity loan to fix the roof. It does not leak, but it is time to replace it.

Wells Fargo recommended I do a re-fi instead and I would save enough money each month, plus I would not have a payment the first month of the new loan and this would allow me to replace the roof using those savings as I could just charge the roofing job on my credit card and make payments on it for the next year.

I started the re-fi with Wells Fargo in mid-March 2009. I gave them a $500 loan application fee.

The re-fi would save me $350 per month.

I would have no payment in May which would save me $1270 that month.

My home appraised at $325,000 in early April 2009.

I owe $125,000 on the current mortgage.

My credit score is 790-800.

I have never been late on a payment for 11 years.

I signed 30 or so pages of closing documents on April 25th, 2009.

I received an email on May 1st saying that the loan was denied because the roof failed the inspection. The roof will take $5000 to fix. I already knew what it would cost before I contacted them and told the loan officer that when I first contacted them. I could pay for the roof replacement over the next year using the savings above that I have indicated.

I told them that this is a Catch 22 situation. I can’t fix the roof unless I get a re-fi and I can’t get a re-fi unless I fix the roof. They said they were sorry.

I asked if I could get my application fee back. They said No. Again they said they were sorry.

So here is the deal. Wells Fargo takes TARP money, makes record profits, lures people into a re-fi they know they will eventually deny and then they keep the loan application fee. What a scam! At least they said they were sorry. I feel so much better now.
Posted By Kev, Anacortes, WA: June 18, 2009 3:33 pm

I have heard the same story for the last 3 months from all the people at bank of america I talked to. I contacted a private lender and 1 month in and heard the same story for two months from them. now the rates are rising and no help has come. Obamas plan failed.
Posted By Willis, Layton Utah: June 18, 2009 3:17 pm

How the heck can I get Chase to honor the original terms of the loan!?!?!
I’ve complained and complained and all Chase does is play that whole “New York Bank Ignoring ALL” game.
They took over Wamu, and said they weren’t going to make any changes, and yet they went ahead and changed everything.
Like for instance, with Wamu I used to be able to make a payment to PRINCIPAL ONLY, now when I make a payment to my Heloc, part of it goes to principal, and part goes to interest.
That’s even if I tell the teller it check the box “Principal Only”.
With all this talk about mortgage modifications, how about something for those of us just trying to get an unscrupulous bank to honor the deal I signed up for!?!?!
Posted By Paul Richards, Seattle Wa: June 18, 2009 3:05 pm

Good Luck if your mortgage company is FLAGSTAR BANK in Troy Michigan, THE WORST!!!!!! $266 million in Tarp money plus another $250+ million in private investor money..If anyone gets a modification from them it would be a miracle. We have been trying to get something done since November of 2008. They never call, you call them and you wait over 60 minutes or more to only get someone to give you the runaround. First time tried to refinance (DENIED) didn’t know the outcome till we finally called them 3 months later since they didn’t have the common courtesy to let us know by phone or in writing! 2nd time (DENIED)found out the same way, now we are waiting to see if we can get modified and the wait??? 90 days to get assigned and another 90 days to get a decision. They want people to fail so they can take your home, They make out better by foreclosing on you and re-selling your home plus collecting the PMI insurance!!! I can only assume we will be (DENIED) again because we have never been late on payments but will be next month when all our savings is gone! You do not hear the media talk about what is really happening with these programs…Maybe if they dug deep they could report what is really going on…People loosing their homes, Banks and Investors getting richer! If we are denied this time around I’m going straight to WASHINGTON for a share of the TARP money! Responsible people who live within their means and can’t get any help at all, it’s totally ridiculous! It would be nice if CNN would do a large story on what is really going on at these banks, Fannie/Freddie, PMI companies and Investors. It would make CNN the most loved newscast in the US by HOMEOWNERS! Come on CNN help bring whats happening in (real life) to the news, do it for homeowners across the US! For the People out there loosing their homes and can’t get help…Flood your Congressmen, Senators and the President with calls, letters and emails…Maybe if enough people do this they will LISTEN and take notice???
Posted By Wanda Murrells Inlet SC: June 18, 2009 2:28 pm

I am a real estate agent for 32 years and have never seen the like of what is happening now. mortgage companies say they will work with customers, BUT they are not consistant. I have clients who while waiting for answers on short sales have been foreclosed upon. it is the same game running, ONE hand has no idea what he other is doing. I WISH an atty would step to the plate and start a class action suit by homeowners against the mortgage holders who by their delays and total disreagard for the customer blatently take their sweet time answering and either the potential buyer walks away or the foreclosure dept has no idea what the short sale dept is doing so they just foreclose. This is WRONG. after the fact so many could have either saveed their homes if some had worked with them, or if the bank had worked in good faith on the short sale ( which most times is more than the property goes on the market for after the a foreclsoure) we could keep families in their homes.Wachovia mortgage just told me they can not help a client any further because they already helped them in a 12 month period by allowing them to add 3 bi-weekly payments to the end of the mortgage. SOUND LIKE HELP TO ANYONE. i have the letter to prove it. Its been a joke trying to process short sales and i know what homeowners are feeing, stressed, frustrated and quite honestly tired of fighting so they give up. COME ON THERE HAS TO BE A LAYWER OUT THERE WILLING TO HELP THESE PEOPLE. the goverments tax credit if fine but again, 2008—$7500.00 pay it back. 2009—-8000.00 first time home buyer, and everytimne they change the game people WAIT to buy to see what’s going to come next. GET A PLAN IN PLACE that works for EVERYONE and stick to it. every change— changes the market. someone should put regulators on the short sale analysists at every institution. take them off their BONUS QUOTA.
Posted By michelle,fall river,ma: June 18, 2009 2:14 pm

I was laid off from Bank of America in March, in late April, they called me to see if I want to refinance. I agreed but then they told me it would cost me $1500 in closing costs and $400 just to file the application. I was reluctant but agreed since it would take $500 off my mortgage. Two weeks later I find a job but have to relocate. I have lost the $400, and can not get another mortgage because I have too much on my credit cards until I sell my house in Charlotte. So I am in effect paying two mortgages since my new company does not want to pay any relocation and can not sell my house yet. My 401k is now gone as I try to keep solvent. I do not see any of the government bailouts helping.
Posted By Jim Bossert, TX: June 18, 2009 1:46 pm

Countrywide/BofA Refinance. I qualified for streamline refinance because of medical hardship. I locked in my rate (4.75%) with Countrywide on April 8, 2009 for a 30 year fixed FHA loan. I had to be patient but when my 60-day lock was getting ready to expire, they extended my lock until closing. It was a very easy process, although a little bit frustrating to wait. I closed the loan yesterday. My credit was excellent, as was my employment history.
Posted By Nancy Vancouver, WA: June 18, 2009 1:20 pm

I quite don’t understand how these banks specially like Bank of America can get away with all these things…and apparently there is no governmental supervisory that pressures them to have a time limit to give customers a response…one thing is the plan to help avoid forclosures established by the Obama government, but another is what banks are really doing. It seems as if banks really don’t have any interest in helping avoid foreclosures. I recieved a shortsale contract for an investment property I own 4 years ago, and due to the financial turmoil no tennants were available to pay the amount of rent I had recieved for the past 4 years. In Sept. of 08 I received a shortsale contract for this property, only until December the loss mitigation dpt. of Bank of America took a look into it and the brokerage company who is handling this file for us calls them at least twice a week. Up to date Bank of America says its still reviewing the file. But not only 8 months aproximately have passed by (we have written proof), and they barely give you an update, they still have the guts to send us a letter saying that they have recieved a letter from the buyer backing out of the contract, (if this was true what buyer wouldn’t.) When we reconfirm with the buyers, this turns out to be a lie. Is such a scam possible from a bank, is it possible that there is a conflict of interest that many of us probably ignore. And maybe banks whom besides recieving bailout money, on the other hand have already investors from which they share an interest for this future forclosed properties. The same case applies for a loan modification request for our primary residence which we submitted in April of 09, after confirmed by tel. that it was being reviewed…now to our surprise when we call again to follow up with BofA, they say they have never reiced anything, this is a joke. Dear Mr. President, with all the respect you deserve and all the good intentions you have for our country, I believe its time to place more pressure on these banks and if it is the case that part of this bailout money is used by them to contract outsourcing services to offer customers with a diligent response, and clear and avoid so many properties in a preforclosure stage that reach this point simply because bank employees are so overwhelmed with work that they come to a point that they simply don’t care no more. If banks start being required to give a response withing a certain time limit, I believe not only the court systme will start being cleared out but also the market will get jumpstart with willing and qualified buyers that are really interested in buying a property in such stage and avoid on the other hand so many attorney fees,insurance fees, property maintenance fees that banks must pay when these properties reach such stage. I guess that there’s only one thing left to say with all this going on…”GOD BLESS AMERICAN”.
Posted By Alexandria Monge, Miami, Fl.: June 18, 2009 1:09 pm

We have been trying since March to refinance with no luck. Initially we were told we had to wait until mid April due to the lack of guidance from Washington. When we were finally allow to submit our paperwork and followed up on the status of our refinance request we were told it was being processed via email. We finally got a hold of a person last week who informed us that interest rate were up so it really would not benefit us to refinance now. I’m mad as hell and don’t understand how the banks can get away with this stuff. It’s not fair to those of us who make sacifics to pay our mortgage on time.
Posted By H.L. Moore, Douglasville, GA: June 18, 2009 12:37 pm

I’ve been working with Fannie Mae since January 2009 before the Obama Program that started in March 2009. I’m still waiting for an answer on my Modification. I thought for sure since these new program came out it would be a lot easier. I can’t seem to talk to just one person; so far I’ve talked to 15 different people. I’ve left messages every other day, and no return phone calls. I’ve left messages with different Managers, and still no return calls. I agree we the tax payers are paying for this INCOMPETENCE of these Mortgage companies. If Obama had to go through what us tax payers are going through he would feel the way we do now. There is no CUSTOMER SERVICE at these companies. If they were a store I would never shop at them again!!!!
Posted By Mary, Chesterfield, MI: June 18, 2009 12:15 pm

It is no Obama’s plan it is the thieves in the banking industry. BOA/Countrywide just ignored me. Then they said that I could not refinance until I had been with them for a year. Then they said that the value of my house was too low due to foreclosures in my area. Another bank did the refi!!!!
Posted By Evelyn, Tampa, FL: June 18, 2009 12:14 pm

I live in Lee County, Florida and NO BANK is giving out any loans unless you are a doctor, lawyers, or dentist. My branch manager at BAC has told us that we are to listen and then deny all loans. I have personally seen people with strong balance sheets but “Loan DENYED” is all I can say to them. It’s sad when I have to see all the suffering we are causing to innocent families. Lee County not the place to come and visit or open a business.
Posted By Andrew – Loan agent: June 18, 2009 12:09 pm

Jose Rivera and anyone else like him can go straight to hell.

Aww boo hoo its soooooo sad to hear about all of you people who didnt get your bonuses and and raises from your big ball companies like ING.

I dont feel bad.

You have a lot of debt?

You put yourself there.

Aww you over inflated the value of your home and now you owe hundreds of thousands of dollars more than its worth?


Welcome back to reality!

So you made stupid mistakes and want someone to bail YOU out?

Sounds like the big 3 and the rest of the country at this point.

OWN up to it people. You dont deserve to get paid as much as you do and you shouldnt have spent all of that credit you did.

For FAR too long, I’ve had to struggle to make ends meet because of not getting paid enough while everyone else got paid more than they should have.

I hope everyone feels the squeeze I have my whole life and cant wait to watch this country fall into ruins and bankruptcies because of YOUR OWN NEGLECT.

Go cry me a river.

The sun has set on the other side of the fence finally and it looks like I will finally have an opportunity to

Your government has lied to you your whole life and you have lied to yourself your whole life. Now the truth is in your face and you cant handle it.

I dont have and never will have any mercy for any of you.

Welcome to the hell I’ve been living my whole life. Welcome back from fantasy land.

Wait till everyone is bankrupt and standing in line together for the soup kitchen – because its right around the corner whether you want to believe it or not.

Most of you wont make it.

Most of you cant handle the stress.

Most of you arent built to survive.

Welcome to my world. Where people like me dominate.

Boo hoo.
Posted By John, Ohio: June 18, 2009 12:04 pm

I have a Countrywide/BOA loan and signed a contract in February to refinance to a lower interest rate. BOA first advertised and agreed to close in 30 days, then 45 days, then 60 days, and then more than 90 to 120 days. I had ample income, the home appraised well above the requirement, and there was absolutely no reason to delay closing, except that BOA simply did not find it economically advantageous to close in a timely manner. They kept stringing me along. My loan officer ended up leaving, but BOA never bothered to inform me, and I had no one to contact. After an exhaustive effort, I found someone at BOA to confirm that my loan officer was gone and that BOA had not assigned my case to another loan officer, even though it was all set to go to the underwriter. My refinance loan sat in a black hole while BOA refused to assign me a loan officer or even a contact person. BOA repeatedly claimed that the number of refinances was unprecedented, and thus, the delay was not their fault. However, throughout the process BOA was constantly bombarding me with solicitations to refinance. Once I responded to one of the phone solicitations and asked them how long I should expect for the loan to close. Of coarse, they said it would only take about 30 days. At that time my refinance application had been in limbo for over 90 days, I had no loan officer, and nobody to contact at BOA. As luck should have it, shortly thereafter I was laid off of my job of 5 years. Naturally, after I was laid off BOA finally provided me with a contact person, who made a very feeble superficial effort to have me refinance under the Obama plan. I was quickly disqualify without explanation. I think Countrywide and Bank of America wanted to prevent their current loan customers from refinancing with other institutions, and thus lose their source of revenue. When the rates were low they were at great risk of loosing customers, so they made very competitive offers to their existing customers. However, BOA would make bigger profits the longer it takes to close because they would be collecting interest at the higher rates of the original loans. If rates climb, then they can drag out closing as long as they want. I made the mistake of trying to refinance with one of these big sleazy banks, which are extremely unlikely to ever change. I have friends that had applied for refinancing at about the same time as me with reputable banks and they closed within 30 days, without any of these hassles. If I had not been laid off, I would have got a slightly better rate than my friends, but given all the stonewalling, delays, and wasted time I endured, it was not worth it. I think that I will never do business again with any of these large sleazy banks. Instead of providing these sleazy banks with billions of dollars to save them, so they can continue to steal from all of us, we should be spending billions to shut them down and put as many of them in jail as possible. Justice is the only way to truly improve the economy.
Posted By Fed up with Fed puppets, Los Gatos, California: June 18, 2009 12:04 pm

Our current mortgage is with Wells Fargo. I need to say, they are the worst bank we have ever come across. After writing a hardship letter, explaining our circumstances, showing the comps on our house that are close to half of what we owe on it and showing the bank the mass amount of foreclosures in the neighborhood (most of which Wells Fargo owns) they still wouldn’t modify our loan.
I had been out of work since Aug. 08 and never missed a payment for three years. Their modification was to increase our payment for 3 months by $400 and if we kept current, they might allow us to stay in the home.

This bank definitely did not/does not deserve any TARP money. I hope the Administration is reading this!!!
Posted By Chris McClure, Avondale Arizona: June 18, 2009 11:59 am

I am trying to figure out why so many people signed up for loans in the first place that they could not make the payments on. So what if you are “under water”? If you are still living in your house and making your payments, you will pay off your loan. If you got one of those adjustable rate or balloon rate loans, planning to refinance later, I guess you learned a lesson about how stupid that is. I do feel sympathy for those who lost their jobs, and thus need to sell or refinance, but not so much for those who bought a house they could not afford in the first place or just tried to use their house as an ATM by using HELOCs and such. Sure the banks and Wall street are at fault, but maybe we homeowners are too.
Posted By Dennis Frailey, Fairview, Texas: June 18, 2009 11:54 am

I am a single Mom, I was taken on the sale of my last home to the tune of over $100K….. I have been suing for two years, and still ongoing. In the meantime I can’t afford to pay my mortgage and applied. I just received the response yesterday, they are willing to lower my mortgage payment by $70 a month. Not sure what BofA thinks a whopping $70 a month is going to do!? My pay has gone down $10K per year, but at least I still am working. This is got to be the most ridiculous and unethical offer I’ve ever seen. Its a slap in the face!!! If only we wouldn’t have bailed all these banks out, when a small business makes bad decisions they go out of business, which is exactly where these banks should be. We’re back to the old ways, screwed by corporate America and then by our own government. Its a sad state in this country right now!!!
Posted By Pam, Tampa, FL: June 18, 2009 11:43 am

Everyone needs to re-evaluate their banking relationship and if your banking partner is NOT working with your loan modification or a family / friend then it’s time to re-evaluate the relationship and find a NEW banking partner.

From these post, I see that Bank of America, Citibank, and Chase are the top three banks dragging their feet.

Let’s NOT drag our feet any more and start evaluating who will be our NEW banking partner. When you terminate your banking relationship let the branch manager know the reason.
Posted By Padilla, San Jose, CA: June 18, 2009 11:33 am

I ask for a mod in Nov. 08 from chase and after I sent my info and hardship letter and calling every week I was told I would get a new rate of 4.0% from my 8.8% and it would add about 1k to my loan. Then I had to wait 2 more months until I got an offical note, my payment went from $3500 to $2400 but it took them from Nov. until March to get everything taken care of.
Posted By Alex, North Plainfield, NJ: June 18, 2009 11:29 am

I have been trying to refinance my loan since April 8. My lender told me that I have what is called “pool insurance policy” on my loan and I am not eligible under Obama’s plan. I do not have any mortgage insurance on my loan however this “pool insurance” is a credit enhancement that the sellers of the loans put on them to make them more enticing to sell. So even though, I have not defaulted, have an excellent credit score and have no PMI on my house I cannot refinance until they figure out what they can do with this type of loan. I have written to my Congresswoman, Senator’s office as well as the White House to find out why this is happening. I have also spoke with Freddie Mac who has told me that I CAN refinance and that the seller (my lender) needs to contact Freddie make for any special provisions. I have had the run around for over two months and it’s all for nothing now because the rates have gone up too much since April. I understand this is a new program and it takes time to fix the kinks, however, this should have been thought about prior to the program starting to make it a fair process for all. I am still waiting from the legal department from my lender to get back to me regarding when this will be recitified however I am not holding my breath. I believe the lenders feel it is not in their best interest to refinance to a lower rate when a consumer is paying their monthly payment at higher rates. There is not enough oversight with this program and that is why so many people who could benefit have not been able to do so. Good luck to all.
Posted By TJ, Londonderry, NH: June 18, 2009 11:23 am

I have been trying to refinance my parents home with them with Chase and it is a nightmare. They intially took the application in April and told my parents the close would take 90 days. At that time they locked in a low 4.75rate. It seems however that they have forgotten about us. Our rep from chase does not return calls when we call about status. They do not send us any information so we are left dangling. My belief is that they knew the rates would go up and they are stalling in hopes the frustration drives us to another lender at a higher rate. Since chase buys so many mortgages they would eventually own it anyway. I am very dissappointed with the level of service.
Posted By Vinny, New Jersey: June 18, 2009 11:06 am

The new HVCC appraisal system is a joke. Four weeks to get an appraisal, come on. The word on the street is that appraisers do not care about getting true value, because they are not getting paid the same as before. The Home Valuation code of conduct should be optional and not mandated.

I have heard nothing positive about this HVCC process to date by anyone so far.
Posted By JON: June 18, 2009 11:05 am

Posted By BUCK MADISON OHIO: June 18, 2009 10:57 am

The pattern that I see if that people having problems with their loan modifications are the ones that took out their loans at large financial institutions versus their local community bank. If you dealt with a local bank, you’d have a single person that you could call on the phone, visit in person, and who could help you every step of the way. Lesson learned? Deal with your local banks, much the same way you should deal with your local businesses.
Posted By Anonymous: June 18, 2009 10:57 am

Chase bought out WAMU for 1% of its assets. That means they bought my half-million mortgage for about $5,000. In March I lost my job, in April got a new job paying 30% less, and WAMU/Chase refuses to lower the balance owed on my mortgage — even though they paid only 5 grand for it. They will only lower the interest rate. Since there are 13 vacant foreclosed homes in my neighborhood my house is now worth less than half what I paid for it. Even though I put down 20% with a 730 credit score, it now makes the most sense for me to just walk away and make my house foreclosure #14 in the neighborhood.
Posted By Ioan Doyle, Orange, CA: June 18, 2009 10:51 am

most of the people profiled here are big losers – especially the guy with two mortgages on his house and NO equity. What a bunch of idiots. And shame on the ACCOUNTANT, of all people, to get his family into a house that he should have known they couldn’t afford in the first place. Not a very good Accountant – maybe that’s why he got laid off? The only one who might have a valid excuse here is the person with the medical situation.

Sooooo irritating to see so many irresponsible people! All of them now with a hand out asking for assistance from the gov’t to bail them out of their stupid mistakes.

where’s MY handout??? We just took out a HELOC to build an addition onto our house, reducing the equity we had in our house from 60% to 50%. It’s an adjustable rate. sure it’s extremely low (3.5%), and yeah we plan to have it paid off before it ever goes above 4.5%. And sure we plan to have the first mortgage paid off 8 years from now (when I’m 41). But can I get a hand out to speed that up? I mean, where’s my reward for learning to be so RESPONSIBLE??? The only reward I get for coming from a family with nothing, paying my own way through college, and building my career and net assets to what they are now, is to pay for these idiots’ mistakes (via taxes)! UGH!
Posted By Sharon, Florida: June 18, 2009 10:37 am

I’m currently approved with Bank of America for Obamas HASP program which will save me $550/month on my mortgage payment. I’m current on both of my mortgage but the trouble I’m running into is getting the 2nd lien holder BBT to agree to resubordinate. It seems to only make sense that they would want to agree to let me lower my first as that only helps me keep paying both of my mortgages.
Posted By Tim Delp, Jacksonville, FL: June 18, 2009 10:34 am

The program doesn’t work. This is 4 months of trying to push Bank of America to do something. Other loners are not willing to help. BOA sucks! Time is running out and the process is frustrating. Somebody have to wake up the government
Posted By Shay, Seattle, WA: June 18, 2009 10:08 am

After being in an Interstate head-on crash with a wrong way driver and being out of work for just over a year we first applied for a modification in January 2007 while still current on our mortgage. We sent the required information 3 different times in 2007 each time it was misplaced, ditto in 2008, in October 2008 we stopped making our payments and began weekly calla to our servicer Home Loan Servicing which was once First Franklin subsequently sold to Merrill Lynch then to Bank of America. With each call we were referred to a different representative who couldn’t answer any questions or find our file. Our first correspondence from the lender was actually from the foreclosure attorneys, it was the notice of foreclosure for the first Tuesday in February, we contacted the attorney who suggested we apply for modification. What a laugh. We explained we had submitted our documentation no fewer than 7 times now. The attorney asked that we send the documentation to her and she would see that it got to the right person. Within 24 hours of faxing we finally received our first letter from the servicer congratulating us on completing the first step of mortgage modification. We did not hear back from the servicer until 5 days before the forclosure sale with a verbal agreement of our proposal, yet when the paperwork arrived the next day the agreement was nothing close to what we agreed. We filed bankruptcy January 27 to forestall the foreclosure sale and give us more time to work on the modification. Now six months later and 3 more new sets of financials and application for modification we are right back where we were in January, faced with a new foreclosure sale date of July 7 our file has been in no fewer than four different sets of hands and still no answer. Plenty of promises with no action. Our property has lost over 60k in value and the lender stands to lose at least 60k if they foreclose, all we are looking for is a fixed rate with no cramdown and we can’t get anywhere. I have come to the conclusion that we are seeing nothing but a colossal case of incompetence and seriously bad planning. Nothing else makes any sense, if you know your going to lose a lot of money if you forclose but will still turn a respectful profit by lowering and fixing the interest rate, common sense says lower & fix the rate.
2-1/2 years of trying and getting no where, we must be crazy.
Posted By Rick, Hampton, Georgia: June 18, 2009 9:33 am

Although your headline reads, “Obama’s Plan Fails”, how can anyone, the President included, quarterback a team and no one wants to catch the ball?!? It seems to be a sabotage. After dozens of phone calls to my mothers lender HSBC, several foreign speaking customer service reps, and multiple transfers to different departments I was finally able to defer one month payment and reduce the interest ($600) for 5 months! Wow! Now 4 months later, I am starting the process over which is like a full time job. Although mother has impeccable credit and takes pride in same, I am convinced to tell her to walk away. Banks obviously care less about their customers, both good or bad and definitely are not patriotic enough to work with our elected quarterback… Makes you wonder who is the Fascist?
Posted By Dorian, Detroit Michigan: June 18, 2009 9:08 am

Wow, I guess I am not the only one! The holder of my mortgage note is Wells Fargo. I qualify for a refiance. Wells Fargo says they do not know anything about the re-fi program, only the loan modification program. By the time they figure it out, the rates will not be an advantage to me at all. I see it this way: Wells Fargo has no incentive to reduce the rate on a loan – WHY? Because they’ll collect less MONEY from US! That’s why. Plain and simple. They stand to LOSE tens of thousands of dollars, on my loan, by itself..
Posted By Edie, St. Louis, MO: June 18, 2009 9:03 am

I haven’t paid my mortgage since Decemder of 2008.Indy mac bank refuses to work with me . First they offered me a modification that would just right for me as a single mother of 2. Then they turn around and denied something that they offered me. they told me my only option is a shortsale.I haven”t heard from the bak since. Where do i stand .
Posted By mala ny: June 18, 2009 8:59 am

I have never seen so many cry bab ies on one post! Seriously, are you people for real? Nobody and I mean nobody forced you at gunpoint to by a house! You bought of your own free will and choice so stop crying that the government will not help you out! It is not the governments job to help people who have made poor choices! I am so sick of the lack of responsibility and accountability in this country! You people seriously make me want to vomit! Thats like blowing everything in a casino and then, when you have lost it you turn to the government to get it back for you! Please, have some self respect for yourselves. You are all a bunch of greedy slobs! That is why capitalism is so great, you take a risk and you either make out big or you lose big or you don’t play at all…However, the choice is yours to make and no one else’s. I am curious to know how many of you slobs bought a house and made an actual profit when the market was so great? I bet 75% of you crying slobs did just that! You people are pathetic and I hope you end up on the streets where you deserve to be!
Posted By Shane, Milford NH: June 18, 2009 8:27 am

This modification thing is a big joke. I’d like to know how many people these banks really help? – especially if you’re current on your mortgage – forget it. They only seem like they want to help people that haven’t paid their mortgage in 6 months! I’, just filled out my second package and seem to be getting less help then the first time through. GMAC is my provider and their customer service is bad!!! Don’t count on the loan mod. people – it’s time to start a budget! These loan mods are just false hope – they make you wait for 3-4 months and then send you a letter that crushes your dreams!
Posted By Mike, West Warwick, RI: June 18, 2009 8:26 am

I have had the same experience as others. The Obama foreclosure plan doesn’t work as long as the banks can still modify it to there liking.
I was also told because I had private mortgage insurance, I couldn’t apply until the end of May. Then early June and then was told to try again at the end of July. Now that interest rates are rising, it might not be worth it by then. Thanks Obama.
Posted By Pete, Oakland RI: June 18, 2009 7:15 am

I also had another thought but it would just to be to drive these companies crazy.
All these companes that have taken bailout money have acted in bad faith. The must be some law or loophole which would allow each person to sue them in small claims court. They have to respond to each suit. Imagine if Chase had to deal with 25000 small claims suits filed in th same week. Or in my case, if I could find 500 people whit Saxon who would all fine in the same week. They are based in Texas and have onnly a single office. They would have to respond to every charge.
Posted By Marc, Tujunga, CA: June 18, 2009 5:38 am

I have been trying to work out a modification with Saxon Mortgage since August 2008 when after 4 months of draining my savings , I finally shut down my business and took a FT position at a 40 reduction in income. At that point, the seemed to want to work with me but 5 package submission and 10 months later, I was finally forced to hire an attorney as they have begun foreclosure and there is a sale date. In additon, they have added tons of fees and charges to my balance taking my principle from 630K up to just under 700K, all while the value has dropped form 700K to just above 500. They have taken 407 million in TARP funds and say they are operating under those guidlines. The lawyer has actually received a response and an offer but it is not really a reduction. My payment when we started was 4300 per month ( which I had been making for 18 months). As of now, on paper it is 5500 a month. They have offered a payment of 3850 a month which is way above the 31% guidelines in the plans with none of the other things that are part of the Obama plan. In addition, they are not waiving all the fees and charges off the loan as outlined in the Obama plan guidelines or reducing the other charges and fees. Becuase they stalled and delayed, I was forced to hire a lawyer to get any response and they told my laywer that if I did not take this offer, they would sell my house on June 30th. These lenders committed fraud plain and simple. They clearly have no intention of operating in accordance to the government guidelines and they already have the funds to offfset the losses. They will either hook me into a loan that will cost me more with a higher principle, so they will steal even more profits or I will reject the offer, they will foreclose, write the loss off to , keep the TARP cash and come out making extra profit.
I think a class action lawsuit is in order as I think they are doing this knowingly and with malace.
Posted By Marc, Tujunga, CA: June 18, 2009 4:45 am

How are 11 former executives of Countrywide able to form a new company, PennyMac, and buy the very foreclosures that they are responsible for creating? They should all be in jail (or doing pro-bono loan modification work). Just given the fact that this was allowed, I don’t think any government official (Democrat or Republican) understands the stress and anxiety that “Main Street” is experiencing. In the future maybe we should be referred to as “Cannery Row”.
Posted By JC Orange, CA: June 18, 2009 2:43 am

I understand everyone’s frustrations. I applied for the Obama’s Home Affordability Program when it came out. After few phone calls to my lender, Navy Federal Credit Union, they told me that I am qualified for the refinance. Instead of at the market rate of 4.75% for 30 yrs (back in April), they will charge me .75% more since my loan to value is around 100%. The program allows homeowners to refinance if the LTV is 105% or lower. The bank is applying its own rules on top of the program. I told them that they are filtering homeowners out and their rate is not competitive. Of course, they claimed they are. So, instead of arguing with them, I complain to the gov’t agency which overseas Credit Unions. I am still waiting for an official response to my complaint although the agency sent me a letter stating that they are working on it.

Best of luck to everyone and I think the banks should get tougher regulations and some people should be behind bars.
Posted By Weilian Su, Monterey, CA: June 18, 2009 2:36 am

I think the banks WANT us to walk away!! After talking to the on line
making homes affordable my bank sent me a collection notice this is interestiong because I had PAID my mortgage on time. I have a FHA fixed on a foreclosure and in 7 months the value of my home has droped 80,0000
oh well it should be ok WRONG I have NO JOB!!
This is a bad joke we should be on the streets shouting out RAPE we help the banks, so lets see if i have this right
we now give to the hightest income
earners.( by 1,000 per cent ).In other
words we are Dumb, uninformed we have Family values jet every first world
country has 4 to 5 weeks vacation ect
but like Rome we belive we are number ONE power/
Posted By johannah wagner/ Phoenix, AZ: June 18, 2009 2:30 am

I considered a loan mod but you really need an attorney to get one and they cost $3000 for a good firm. Then I would be commited to a 5 year reduced payment, but they do not lower the loan balance, so I would be paying to maintain a house worth 100,000 less than I owe on the loan. The banks prefer to foreclose because the investors behind the loans have insurance. There are no teeth in the loan mod programs at the banks and the banks have no incentive to do them. The bankruptcy cramdown legislation would have put teeth in the modification effort, but Republicans voted it down out of respect for their friends on Wall Street who are against it. Obama’s plan is failing. The pathway to mortgage modification is so difficult and so full of pitfalls that the average homeowner cannot possibly pull it off. There will be another massive wave of foreclosures coming soon because of this. Obama’s plan is just talk and nothing more. Nobody has noticed because the first foreclosures hit the poor and the flippers. But now they are going to hit all those “responsible” people who were so angry at the poor people. Once the nice neighborhoods are decimated and all turn to rentals with 2 or 3 families living in each one, then the middle class will realize they have been robbed.
Posted By Charles Tunnha Madera California: June 18, 2009 12:29 am

My husband a Michigan Ford autoworker, the last three years have been a nightmare. He has been laid off more than he worked. I am terminally ill work in healthcare and had to work three jobs to help ends meet. We didn’t get unemployment for weeks. We have a special needs child, and another child currently living at home. I became pretty ill having to get Rituxin infusions at the oncology center in Ann Arbor. I couldn’t work those extra hours any more and we fell behind on EVERYTHING!!! We did not live beyond our means, one car payment, owed less than two thousand on credit cards. We lost thousands from our 401K’s. We have been trying to get a modification of our mortgage for over 6 months, our mortgage company we think is PPH. We faxed them our information THREE times. Each time we called (too many to count) we would get the answer they are determining if we qualified. I called and e-mailed Governor Granholm’s office and was told to contact the Community Action Agency in Lenawee County. It took me three weeks to have that person call us back. In the meantime we received a letter that our house had been foreclosed on January 15, 2009 and we had 60 days to get out, July 15. WHAT??!!! Guess who the letter is from; Fannie Mae, they also inquired whether we would be willing to lease the house and they needed proof of income(That was sent three times already). I now have less than thirty days to live in my home and then Fannie Mae is going to evict us. I have never asked for government handouts, I definitely qualify for disability with my illness. I love my job, I am a Respiratory Therapist, I help save lives every day. Why if I am still able and God is still letting me, give that up? All I want is to remain in the home that my children have grown up in, with all the memories surrounding me. Unfortunately my $15,000 plus we paid in income taxes last year helped Fannie Mae, but they are not willing to help us. I have contacted Senator Levin, Senator Stabenow, the Michigan Attorney General’s office to get some kind of assistance. NOTHING!!!!!
We got an appointment with the housing counselor at the Community Action Agency and once again gave all the information given three times already. She said she faxed it in with no guarantees that was two weeks ago and she has not contacted us. We can never get a hold of her. We can just leave messages and pray that she calls us back. Thanks for listening, another homeless family in Michigan.
Posted By Marianne Mullane, Onsted, MI: June 17, 2009 11:11 pm

I am a broker in California and have been experiencing much of the same thing everyone has across the country in attempting to help my clients get help with their mortgages and out from what seems like an endless spiral down. I began processing short sales and modifications in the last 2 years with a variety of lenders from Countrywide to Wamu to Chase to Citi, but there is one commonality between all, no one on the other end of the line cares about what you are trying to do and no one cares about your situation.

Daily I call different lenders with much of the same responses, resend this, resend that, your file is declined, reassigned, still processing you have to fax, re fax and fax again…on and on the cycle continues. Any process you are trying to negotiate is taking upwards of 120 days or more. I even had a rep at Countrywide tell me proudly today that he has had a short sale in process he has been watching for over 2 years. 2 years?!

I am aware this is an epidemic that is affecting thousands of people across the country all at once and lenders are bogged down with files and cases they are not equipped to handle and cannot streamline a process that actually works to help anyone in a somewhat timely manner. I see the help coming down from the government to the lender, what and who needs help at this point is the process in which each case is handled, and ultimately resolved. Most lenders have one fax number for thousands of people across the country to fax documents to, that does not seem too effective or efficient. People need help, not more problems to encounter to get there and moreover not a rep at a “customer service center” talking down to them because they need the help.

The lenders have to see that the issue is the people they are employing to represent their company and the process in which to handle these files. There is no accountability or pride in work to most of reps, when that happens the goal of helping the homeowner falls to the wayside.
Posted By Jennifer B. San Diego CA: June 17, 2009 10:20 pm

Please don’t lose hope… With the proper help and technical information it is very possible to receive a modification.

From the comments I am seeing on this page It is very alarming to see that a lot of people are having a hard time obtaining help.

I own a modification company that is hired out on a consultancy basis to help people obtain modofication.

Guideline are ever changing and tricky at best.
Posted By Aleks Vorobets, Fair Oaks, CA: June 17, 2009 10:13 pm

I have been going thru the biggest run around. I believe the banks would rather sell your house on the courthouse steps then help you keep your house and keep paying them something. I am with Chase and they shouldn’t recieve a dime of bailout money. I have become disabled since last Nov. I just recieved my first check this month after waiting 6 mos. My wife’s business is almost non existent due to the economy. With both our somewhat incomes and a part time job we can meet our current monthly if they won’t modify. What we can’t do is pay the arrears. If they could only put that on the back end we could start new. This has been going on since March on the phone with Chase every day. Now my house is in jepordy of foreclosure. They just told me they will try the Chase plan because with Obama’s We don’t earn enough to pay a reduced mortgage. They have no such thing as the 31% of your income. We easily come under that but not according to them We have lived in this house for 29 years and have only run into a problem due to this economy and my disability. I definitely think the program especially with the people at chase is a phoney.
Posted By Les Beck, Miami, FL.: June 17, 2009 7:41 pm

Some servicers are prequalifying borrower’s over the phone w/verbal info: re: their Gross Monthly Income to start them on the 3 month prepayment qualification period while they get the property value and review the financial package for a final determination. Other services are saying “call back in 7/09″ because they prefer to roll out the entire program at once.

Every client I am assisting has the same frustrating story about their servicing company.

Personally, I believe it to be the most exciting legislation in my life time (59 years and been in mortgage default servicing 35+ years). It is a fabulous program and I can’t wait to see the full extent of the homeowners will help.
Posted By Kathleen: June 17, 2009 5:52 pm

My name is Ted M and I have been trying to get a loan modification on my home from Countrywide since the Feb of last year. I sell real estate for a living. I missed a couple of payments last year in Sept & Oct and I was put in a proram called “The Home Saver Advanced Program, to help with missed payments. I sent paperwork in early Nov 09 and in April 14th and made pymts again in Dec of 09 & have mad monlty pymts since than. Than in Feb, March & April of this yr, I started getting collection calls. I would call BofA back and explain story to every rep that I was enrolled in this program. They would tell they were just waiting for this min loan to fund. I am in loan mod review currently. I did call back late April and rep looked at notes and told I was decliend for “The Home Saver Advanced Program, nobody at Countrywide or BofA notified me of this. I would like to see home many loan mods Countrywide & BofA have done. I don’t think many.
Posted By Ted M, Winnetka, CA: June 17, 2009 5:42 pm

A $1,600 per month mortgage with a $63,000 per year income and a family of five is doomed.
Posted By Anonymous: June 17, 2009 5:06 pm

My husband and I have been trying to get a loan modification with BoFA/Countrywide since April. We first called in December for help as we knew default was imminent and was told they could not help us unless we were three months behind. How stupid is that?!

So we decided to list our house for sale but after having a recent appraisal done, we now know our home has lost $115,000 in value so any offer that may come in would likely result in a short sale.

After speaking with an attorney and understanding the foreclosure process, we saved what little we had left in our retirement savings that we had been using to pay our mortgage and just stopped paying. After falling behind by two payments, we received a letter from Countrywide saying we may be eligible for a loan modification. I called the number and gave them our current income information back in April and was told to wait for another letter to come. It’s now mid-June and still I am waiting!!!

In the meantime, I’ve read up on every press release, all of the HAMP guidelines including the ones for servicers published on Fannie Mae’s site, the Q & A sheets, and the modification document templates that the lenders and servicers are supposed to be using. I even found an older model of the NPV test on the FDIC’s site and ran our numbers to see where we sit (since it is an outdated model, it does appear to have some flaws in its calculations). I have become a loan mod CSI trying to figure out how this is supposed to work.

I propose that the process be streamlined to allow borrowers to use fillable PDF versions of the requested documents that can be directly uploaded to the servicers’ systems and tied in with your loan information. The public should also have access to the NPV test being used. The lender/servicer may use an automated value model or broker price opinion in the NPV test to determine the home’s value. If I’ve paid to have an appraisal done and that is more accurate, then they should use my appraised value in their calculations.

Another thought would be to handle this like we handle IRS tax returns…train specialists and open up shops all over the place to give people real assistance. I can’t tell you how many incompetent morons I’ve spoken with in customer service that just don’t have a clue. I often tell them the relevant websites to direct callers to. It’s a shame how messed up this whole system is!

In the meantime, I’ve accessed my loan information online and selected workout information from a sidebar menu and it says as of June 15th that a workout letter was processed. I called to inquire about this and the Einstein I spoke with said they have no record of any loan modification review in process…around and around on the merry-go-round we go, where it stops, nobody knows!
Posted By Reading, PA: June 17, 2009 5:01 pm

Ours is a long story, we also have been trying to work with WAMU – since late 2007. In December of 2007, I sent WAMU a large sum of money to get caught up on my mortgage with a promise from them that they would put what I owed them to the end of my loan or lower myinterest rate so I could get back on track. In January of 2008, I was willing to make two payments (at that time I owned about 5 months) I was told that they could not accept two payments only three. Once again I was getting behind and asked for a loan modification. I too, sent all my information numerous times without a response. I would call every Friday to see what the status was only to be told it was in review. This went on until May. I was them told if I paid more than what I was paying for three months April, May and June they would then decide about the modification. Finally, in May after receiving a letter that I owed double the amount, and yet still no answer about a loan modifcation, my husband and I walked away. We are both senior citizens, what a shame that the banks would rather have an empty house with no payment then a house being taken care of and working with the people. That’s why we are in such a housing crisis with so many empty homes. So much for Obama’s plan to help people.
Posted By Linda, Raymond, NH: June 17, 2009 4:42 pm

After getting nowhere for the past 2 1/2 months and being told my case was under review, I finally got to a rep at USBank who told me something valuable. The government calculator provided to the loan organizations were incorrectly INCREASING payments for client that were processed. The banks rejected the calculator and just 3 weeks ago (mid-late May) they were just now starting to process cases. At USBank, there were 25,000 cases to review. And no, mine was not yet one under review…call back next Month!
Even though I have given up trying to get through the 5 different telephone trees at my bank to check on my case, I at least understand how wonderful! it is having the government work on my side!!!
Posted By C Salsch, Seattle, WA: June 17, 2009 3:54 pm

I have been begging U.S. Bank for a modification since I lost my job in Feb 2007. I now make 30k less than I was making when I took out this mortgage. I have seen nothing but roadblocks! In march U.S. Bank posted on the website that they ARE participating in the Making Home Affordable plan, however when I called they told me that they knew nothing about that and it was only for fannie/freddie. I actually made the person go to the website and look for himself. I faxed a modification packet to them on 4/6. Then again on 4/15. Then again on 5/1. Then again on 5/18… Supposedly this time it has gotten through underwriting and is waiting on approval from the “executives”… Meanwhile I am drowning under my payment and am filing bankruptcy… so far no help here from Obama…
Posted By Lisa, Cleveland Oh: June 17, 2009 3:42 pm

I qualify for a refinance on my 7-year ballon mortgage. My credit is excellent, I have a good job and no credit card balances. CitiMortgage delayed processing of my application repeatedly+++, and I was among the first who applied. A week after the rates went over 4.75 and to 5.35+++, they then, of course, processed my papers and properly coded my application. I do not qualify for a regular loan since the value of my house dropped dramatically due to the economy. Where is the help the government promised? Why should Greedy CitiMortgage be balled out and not help their customers?
Posted By K. Bristol, California: June 17, 2009 3:32 pm

What part is everyone not getting? The FDIC went into the banks and had them sell off the bad loans for 20 cents or less on the dollar. Then the banks then got the TARP money and re bought these notes for themselves or their buddies. Using round numbers so you will understand this.The new investor buys a $500K loan for $100K. The market drops 50% the note is now worth $250K Right? The borrower cry’s I can’t make my payment and request a loan modification. They get denied WHY? The note is still worth $250K. The investor can and will foreclose on the property, sells the property for $250K with a profit of no less then 150% and the kicker is no taxes on their profit. WHY? Because they sold the note at a loss. The face value is $500K selling it at $250K is taking a loss under the current tax code. What a great deal for these investors with our tax dollars. If you could make this kind of profit and not have to pay any taxes.You would do the same thing? Right?? I’m a real estate broker who is shocked that this has yet to hit the news. I want to know who these lucky investors are??????
Posted By James, Huntington Beach, CA: June 17, 2009 3:30 pm

“I applied for the HOPE program with Countrywide when I was unemployed and received a letter a few weeks later stating acceptance and a new monthly payment with start date. I made the first payment at the new rate then received a letter from Bank of America (they bought Countrywide) stating that they will not accept any amount less than my original mortgage payment. Any check they receive for less than the full amount would be returned to me, they would not even put the amount towards the martgage balance owed. Bank of America overrode my Countrywide remodification agreement and refuses to even discuss the matter with me. These Banks don’t want to help Americans, they are greedy and want to make a profit at our expense. Our president wants to help us but these banks make the process difficult and full of red tape that prevent those of us affected by the economy from regaining our foothold.”

Sadly, this doesn’t surprise me. A friend of ours worked for the mortgage division of Countrywide and now, following the takeover, works in the same capacity for BofA. He was amazed at how much better the benefits are with BofA – defined pensions etc., and the poor bank has to pay for them somehow – right? I was just so disgusted when he told me that. It is so wrong on so many levels for the former Countrywide people to be getting what are effectively pay raises when regular working people are hurting like this as a direct result of Countrywide’s shenanigans.
Posted By JK, Phoenix, AZ: June 17, 2009 3:15 pm

i tried under home obama plan with gmac and i was told loan to value of home i did not qualify and the operator and gmac says the plan is so strict that very very few homeowners do qualify under this new plan. i owe $178,000 and my value of my home is worth $140,000 to no fault of my own. my husband lost his job and i am the only one working making $50,000 a year with 2 kids. so what needs to happen for me to qualify.
Posted By emma, broadview illinois: June 17, 2009 3:11 pm

My name is Robert Castro and I am a mortgage broker based out of New Rochelle, NY…I have been doing this for several years now and have had nothing but problems with trying to get loan modifications done or trying to help people take advantage of lower rates and refinance…The loan modifation process is a total joke and is more of a headache then a help…they will ask you for TONS of paperwork and get back to you 6 months later, either saying you dont make enough money, make too much money, or any other excuse they can think of not to get it done…its a real shame because the idea behind it could really help people out and the economy as well
Posted By Robert New Rochelle, NY: June 17, 2009 3:10 pm

I too tried HOPE – It did nothing. After all the phone call and time spent they send me to a credit counselor service. it was a joke. I have tried tio call GMAC for load mod. They don’t listen or don’t care.
Posted By sue hille: June 17, 2009 2:24 pm

I have been a mtg. broker for 18 years and Obama’s plan either the modification or the new programs (Fannie Mae Plus and Freddie Mac Relief)have NOT been help for many homeowners. These two new programs where made to help the good paying homeowners who were unable to refinance due to low value. This gave them an opportunity to refinance without appraisal into the great low rates we are seeing. But, again, this program designed by Obama adm. is failing due to requirements on the new loan. If you currently have monthly PMI you are not eligable for this program because the Mortgage Insurance Companies like MGIC, PMI will NOT allow a new certificate under the new loan. So, if you currently pay monthly MI,then your only option is to call your current lender to see if they participate in either of these programs. You must find out if you are fannie or freddie first. Being on the inside give me an opportunity to see how these new programs work and how they do not. My opinion, we have NOT seen them working for many homeowners who pay on time. I also think Obama is going in the right direction to fix this problem but in order for it to work, the Banks and Lenders must also comply.
Posted By Michele, Michigan: June 17, 2009 2:11 pm

I tried to refinance and do a loan modification, but each time was turned down because I am unemployed. This obama plan is a toal joke and a waste of taxpayer money since it’s not helping the unemployed who have lost 80% of their income and are on unemployment.
Posted By jeanne, westland, mi: June 17, 2009 1:55 pm

I didn’t need to apply for a loan modification because I’m smart enough to live within my means and not over extend myself! I was laid-off back in August 07 but even on unemployment I was able to meet my financial obligations. It’s a good thing I’m at work right now to help support everyone who is looking for a handout!
Posted By Sally, Mission Viejo, CA: June 17, 2009 1:52 pm

Rejected by Chase and Citi for loan modification.Last company has been paid in full and no results.We are both empl’d @ lower wages due to cancer & loss of bsns & need lower pymts to keep home.NO equity & lower value.They refuse to modify, and threaten foreclosure.Help .
Posted By Memari Chula Vista CA: June 17, 2009 1:44 pm

I applied for a loan modification with WaMu (now Chase), and the official date that they received my application was January 21, 2009. After calling them repeatedly, I was told that my applicaion was incomplete. I FAX’ed and mailed all the paperwork that they stated was required to complete the application. I called after that and they confirmed that they had received it successfully. After many calls during the following months of February 2009, and March, I was told that the modification had been assigend to a negotiator, but that it had not been reviewed yet. In early April I called again, and the representative said that under the new plan, the bank had now exceeded the time frame within which they were required by the government to review my modifcation. (over 120 days) They asked that I send the same packet that I had originally sent to a ‘Priority’ FAX line. I sent it to the Priority FAX line as they had asked, and on April 15th I received a letter stating that everything in the package was received, and that they would review my modification within thirty days. I thought that the modification was certainly I was on the right track at that point. However, shortly thereafter, I received a call from Chase, stating that because my loan was not in default, I had been transferred to another department. After hearing nothing for another thirty days, I called again, this time to the new department. I was now told that somehow, (the package that was previously complete) was now incomplete, and required that I send it again. At this point, I still have not been able to speak with anyone other than a call center representative, and nothing has been done in regards to the modificaiton. It certainly seems that none of the goverment’s programs are being implemented effectively by Chase, and everyone that has posted here has had similar experiences. I don’t see how the ecomony will improve, if a significatnt part of the foundation of the economy (homes and homeownership) continues to go unaddressed.
Posted By Debi, Grants Pass, OR: June 17, 2009 1:42 pm

We were paying both loans on time until husband got diagnosed with cancer, economic slump started, and had to sell business at a loss.Got ripped off by mtge fixers,and current one has problems with Chase and Citi. We are behind on payments due to lower wages and they refuse to modify
Posted By Jenny Gamboa Chula Vista CA: June 17, 2009 1:38 pm

I am amazed at how familiar my story is.

My bank is Chase/Wamu
-I have filled out paperwork multiple times.
-The process is 4 months old
-I get unqualified people on the phone.
-They mail stuff to my wrong address.

I have a list of all my conversations and their seemingly unwillingness to help. The CEO of Countrywide is going to prison it looks like. One of his last acts was to scoff at a customer in need of help. I feel this is being done to me. After seeing these reviews, I am not alone.

I am also not surprised at teh mess these banks are in based on my recent experience.
Posted By Pat Conroy Los Angeles, CA: June 17, 2009 1:32 pm

I qualified for a refi, since I have a Fannie Mae loan and an average FICO of 765. The HARP program allows up to 105% of loan to value, but apparently Wells Fargo does not! My loan to value is about 94%, and I had a chance at refinancing to a 4.5% interest rate. That has now evaporated! Wells Fargo is certainly not cooperating or complying with the HARP guidelines. I sure hope they didn’t get any bail out money, because it certainly is not filtering down to the people they’re supposed to be helping!
Posted By Laraine Wrobleski, San Diego, CA: June 17, 2009 1:29 pm

The banks are playing the game and Washington knows it. It sounds good and makes for a good story when Obama reports that “help is on the way”. But help is only on the way to the banks and their “compadres”. Its really about the Federal Reserve and their inner circle not about the citizens.
Posted By David Meek: June 17, 2009 1:07 pm

Unfortunately the Obama plan has made it almost impossible to get a modification. I can tell you with utmost certainty that it was easier to get a modification before the plan. The Obama plan put on a whole new layer to the qualification process
( knocking out a great percentage of modification applicants). I worked with a modification company and they were great. If you do it yourself you can step on your own toes and get rejected. expect many more foreclosures under the new plan vs. the old one. I think that having to miss payments to start the process is ludicrous ( what ever happened to common sense)!
Posted By J. Pereira: June 17, 2009 12:48 pm

This is very sad. The plan is not working. We pay taxes to make the rich richer. The rich got money from the bailout to put cash into their companies which have been made them ultra rich in the last years. They still pay themselves a lot of money with the bailout (taxpayer money) …we (the regular taxpayers) are not receiving any direct help. I had big hopes in Omaba, but I think we are trap. We work for the rich and the government.
Posted By Armand Vil, Atlanta, GA: June 17, 2009 12:18 pm

These programs, right now are causing more frustration with borrowers then they are assisting. What the government needs to do is take the time and involve the INDUSTRY in to setting parameters that can be worked with. The vast majority of people will end up with more run around then assistance as there is always one more hurdle to jump or one more corner to turn. I have been in the mortgage industry for 20+ years and there are easier answers to this solution then forcing decent people to beg to get work done. Every bank is under the microscope and is afraid of making the “common sense” deal that they supposedly all thrive and live to do. Unemployment is over 9%, the banks take TARP funds in the billions, the mortgage industry has shrunk by 30% at least, quality people in financial positions are out of work and it takes 60 days to get a phone response for a borrower who needs help. Does anyone else clearly see the issue here. As a tax payer you have thrown billions at the banks, they in turn lay you off and then have no one to help you with the Making Home Affordable plan so you can stay in your home. The whole deal is messed up and for every lucky one that has been helped there are 10 sitting and waiting for a call, for some help, for anything from the bank servicer that they are REQUIRED to work with. America wake up and realize the system from the top (yes even though we have a new top) to the bottom is broken and overhaul is the only way to plow ahead. The housing issue will not fix itself the way we are moving. For every new first time home buyer we have coming in with the stimulus tax credit we are losing one for four years beacuse they will not qualify with a short sale, foreclosure, deed in lieu or other major mortgage issue on their credit report. We are swapping borrower for borrower and NOT growing the housing market. It is sad to see the decimation on peoples faces as you tell them your only solution honestly might be to stop making payments and go in to foreclosure. It hurts to look at people who are upside down $50k and know they will in all likelihood not get back to even for 5-10 years. Sometimes the choices are made even though you have a morally and ethically solid borrower that they must walk away to keep any semblamce of a normal future available to themselves and their families.

The answer is in taking the time to sit down with people in the know and making laws and not to have a bunch of lawyer/politicians come up with ideas in one night to save the world.
Posted By Jerry, SW Burbs, MN: June 17, 2009 12:18 pm

Sure, I would be happy to share my story. I have run into the same problem with Countrywide/BOA. Plus, the Obama plan state you have to be current on payments, but the bank won’t consider you unless you are in default..It is a shell game, just like the rest of what is now going on in the economy. So, even when I could make my payments any more. I was told that my case was being handled. I sent in all paper work and then I was told my case was sent to a modification expert & I have not heard back from them since. This process has been going on for almost 5 months. I have called back and nobody has returned my calls in over 3 weeks. I am losing my job & house because of what CEO’s like Mr. Mozilo at Countrywide & the criminal acts by the rating agencies who have bought this country/globe to it’s knees. Lets face it, the Obama administration isn’t even helping the poor people who got crushed by the Maddoff Ponzi scheme…What I think we need to do is this. All people interested in making a stand against the ruthless, greedy and arrogant people who put us in this situation shouls contact me in signing a class action law suit against all parties involved in financial terrorist acts against hard working Main Street America. It is time to stand together and make these people pay for thier criminal actions, that they contiue to get away with because they know that they can stick us with the bailout tab and there is nothing we can do about it. Well, I say. It is time for change. We are in unchartered waters and it is time to let these people know that Main Street America isn’t going to just sit back and take it anymore!
Posted By Michael, Keyport NJ: June 17, 2009 11:47 am

My modification experience is somewhat the same as Kevin Richmond…waiting, waiting, waiting. I applied for a modification in February with Countrywide (now BofA) and have been told repeatedly by the reps that the government keeps changing the program and that is causing the delays.
Posted By Shawn, Houston, TX: June 17, 2009 11:30 am

OUr income has been cut in 1/2 over the past three years. I started working a second job for a fortune 500 company that processes foreclosures for the banks. A senior VP told us that business is not going to slow down any time soon. The banks were anticipating 75% of the Obama loan modifications to start defaulting within 6 months anyways. Some program! Furthermore…

The banks received Tarp funds to cover their risks. They no longer have incentive to work out these loans. It is better for them to foreclose, write down any losses, take the PMI mortgage insurance payout, take the money you paid over the years, take the Tarp funds and then auction the house. They are getting paid 5 different times!

I applied for a modification with Wells Fargo on my Freddie Mac loan. They gave me until August to pay and then the full amount would be due all at once. Thanks!

By the way, these same banks hold our credit cards. Over ten years we have never paid late, not even once. They have now increased our rates up to 15 to 25% and will not work with us. How do we cover this increase when we are already struggling?

My wife and I are now forced into bankruptcy and will have to let them take the property.
Posted By Brian Jacksonville, FL: June 17, 2009 11:27 am

People who bought houses that they could not afford with mortgages that they can not pay should NOT BE rewarded. Those of us who were responsible and bought what we could afford are paying the price. It is WRONG. Obama is penalizing hard working people who did every right and rewarding those that did everything WRONG!
Posted By No Name, Stamford, Connecticut: June 17, 2009 11:17 am

I have started my loan modification process in April 2009 and now it is June 2009 and to no avail. Chase Mortgage has our loan and they are offering no assistance what so ever. I have sontacted them 27 times, faxed all the documents that they need 6 times and still they are not assistin me. The last contact I had with them was on June 11, 2009 where they indicated to me that they cannot tell me anything about our loan, that it is on hold for 6 weeks becaue of new guidelines that came down from the government. I actually called them liars and told them that I was contacting my state congressman which I have done. I have sent his office a letter and they indicated to me that they would get back with me with a contact name and a case number in 10 business days. So still I wait. Still I have no assistace in my loan! The plan that Obama was implemented is aweful! Does he not know that the homeowners are crying out for help! mortgage companines STILL are not assisting troubled homeowners. I WANT MY VOICE TO BE HEARD!
Posted By Tanya, Jacksonville, Florida: June 17, 2009 11:16 am

I guess the government needs to oversee how the banks enforce this policy. I noticed most comments here are negative. I called Chase after I missed two payments. Although the waiting period is over three months and I had to make dozens confusing phone calls, they finally approved my application. My payment is slashed from $2,700 to $1,240. I am happy. Hail President Obama!!!
Posted By Henry, Minneapolis, MN: June 17, 2009 11:11 am

I have been approved and then denied for a loan modification because of the “investor” per American Home Mortgage Servicing, Inc. meanwhile my mortgage is in a pool of loans so there is not just one investor(Harborview Mortgage Trust and Loan -the investor). I have had my electronic mortgage payments sent back to me with “address unknown” and both my bank and AHMSI confirm everything is correct. It’s very upseting that this company and other mortgage companies are allowed to get away with what their are doing. I contacted my local government and they filed a complaint with the FTC on my behalf and I have filed an online complaint with the OCC and am waiting to hear back on those complaints. I’m now told to wait another 2 months to see if the circumstances will change(once again a maybe)that I may be able to qualify for a loan modification, but they are waiting for restrictions to be changed and that they will contact me as soon as that happens. Not sure if they are telling me the truth or just trying to keep me quiet. Where is the justice and real help especially in today’s economy?
Posted By Christine Cefalu, Boise ID: June 17, 2009 11:02 am

Last August I found myself almost 2 months behind in my mortgage payments (1st and 2nd). Countrywide assured me they could help and they would “take me under their wing”. After sending them the required documentation they told me it would be as long as 120 days before I might hear anything. They told me not to send any payments until they had responded back to me. I followed up with phone calls, emails, etc. In March, I finally talked to someone who informed me there was no modification plan pending for me and I should re-send the required info (pay stubs, taxes, and financial info, hardship letter, etc.). Two more months passed, I called again and was told the modification plan was being finalized. To my surprise last Friday I received 2 Fed-X documents in the mail congratulating me for the fact that I had been approved for loan modification for both mortgages. The first page broke out the details. To my surprise, all they did was add up the almost 10 months worth of late payments and attached that amount as ‘interest’ to my outstanding loan balance. They kept my interest rates the same as they were originally!!! So now I will have a mortgage payment over $200 more per month than it was before. I feel like I’m between a rock and a hard place, because technically I am 10 months delinquent and if I don’t agree to their modification program, I am sure they will foreclose on me. Do I have any options at this point? This modification was done by the “HOPE” team. My mortgage company is now Bank of America, since they bought out Countrywide.
Posted By D Cull, Marietta, GA: June 17, 2009 10:19 am

Donnie PSI Florida would you send me an email I need your help in Florida
Posted By Rick Ft. Myers, Fl: June 17, 2009 10:14 am

Last week I gave-up on trying to negotiate a loan modification with Wells Fargo after 8 months. I lost my job at Washington Mutual and for that they gave me a moratory of 3 months (suspension of payments) but with the total 3 month amount due in May, which did not help me at all. In the meantime I tried to negotiate the modification and they told me that it could not be done because I was still current. So I delayed the May payment for 3 weeks and was told that it would take another 2-3 months to resolve my case and that I ran the risk of going into foreclosure during this process. They reported me to the credit bureau with 90 days. All of this after I never delayed a single payment in 4 years of mortgage with them. Since I wanted to stay in my house, I collected all my money and made the 3 month payment. I was also treated very poorly by their collections department as if I was an irresponsible person. They showed no respect at all. Then they asked me to send them documents that I already sent several times before. To me they are keeping customers on hold on purpose to see if they give-up so they don’t have to do their job. I simply don’t believe in this process anymore and will take my mortage somewhere else as soon as I get back on my feet.
Posted By Norwalk, CT: June 17, 2009 9:58 am

not a conspiracy theorist, but does it seem strange the only one reportinng any success was affiliated with ACORN?!?! also wanted to report a complete disaster trying to work w/ Chase to get a loan mod. been trying for 2 years. at first they said ‘no’ because i was current. then the obama guidelines specifically included those who were current so I resubmitted everything. Finally got a hold of a chase rep last week(after holding for over 2 hours) who told me that only those borrowers who were deliquent were being processed because of the backlog. Easy enough, time to stop paying the monthly payments. There is obviously no merit in this program for struggling to make the payments.
Posted By b s, columbus, oh: June 17, 2009 9:25 am

I’ve been working with Chase to re-fi my 30 yr fixed at 6.5 percent to a lower rate under the Obama refi loan. Chase is taking forever, I have no idea what the status of the loan is. It has been over a month since I called. I think it will happen, but it is going to take several months. I have no debt other than the mortgage and excellent credit, and I am not sure why it is taking so long to make a decision. I’ve had a mortgage with Chase for many years, always paid them on time. Anyway, I am frustrated that it is taking so long but remain hopeful that I will hear back from someone at Chase very soon. When my app was first taken, Chase screwed up my paperwork and that caused a two week delay.
Posted By Bill, CA: June 17, 2009 9:21 am

I did apply with Wachovia 6/8/09 and after a 30 minute interview and I faxed the required documentation (for the Obama Plan) I received a call yesterday 6/16/09 that I was approved for a loan modification. I will receive all the details in the paperwork however, I was told that I received a 20% Principal reduction! My original principal was 323,000 and it has been reduced to under 258,000 so needless to say I am thanking my heavenly Father for this is what I desired as well!
Many people are just asking for the loan payments to be reduced but I believed for more: principal reduction and reduced payments…..

I should receive our documents in the next 2 days to reflect the terms and what is the magic number for the monthly payment… I requested it be between 1100-1300 since it originally was $1885.00.. I am very pleased with the fast turn around and I am highly blessed!

If you have Wachovia — CALL NOW!
Posted By Pat Adams, Oakley, Ca: June 17, 2009 9:17 am

We applied for a Making Homes Affordable loan through Bank of America. We have always been current on our payments, but wanted to take advantage of the low rates (3.875) and lower from a 30 years to 15 year mortgage. In the end, we removed 11 years from our existing mortgage. With these types of loans, we understood cashout was not an option and we completely understood.

On the day of closing, the Bank of America Closer called to review our numbers. Bank of America reviewed incorrect numbers with us and advised we would receive a payout at closing of $98,000. We quickly discussed the numbers and Bank of America argued their numbers were correct. We escalated this to the Bank of America management team and expressed our concern over their lack of controls.

Our closing papers were also incorrect with regards to names on the documents, including one social security number.

In the end, we delayed closing by a week, Bank of America reimbursed our application fee and we closed.

If the original closing numbers would have been used, Bank of America would have a disaster on their hands. We were going to be given two mortgages in excess of $200k for a house vauled at $380k.
Posted By Gary; Athens, Georgia: June 17, 2009 8:53 am

I have been going through “the process” with M&T bank for almost 2 months. The agents who talk to me have been extremely rude, don’t return phone calls, and cannot explain why I “don’t qualify” . My partner was laid off from his company (along with 400 others), and our income has been cut in half. Our mortgage is well above the 31% of our current combined gross earnings (which include what he now collects from unemployment office). The mortgage agent claims that our mortgage falls under 22%, and refuse to share how they calculated it. It all seems very “fishy” to me. If it were “by the books” they would be able to share how they came to that conclusion. I’m not looking for freebies, I’m just looking to get some help so that we DON’T miss a payment, and so that we can continue to pay our other bills/utilities during this period of economic hardship. If we don’t qualify, I can’t immagine who does. According to the government website, we meet all of the proper qualifications.
Posted By Mark, Pine Bush, NY: June 17, 2009 8:52 am

I was contacted by my current mortgage holder Bank of America (Countrywide) and offered a refi deal even though my loan was upside down by about 5%. My loan will be a 30-year mortgage at 5.125% as opposed to my current 10 year arm at 6.38%. The refi did cost me $2,800.00. If not for this refi I could see myself letting my huse go… I am hanging in there and not missed any payments on my home or elsewhere…the refi is a great help.
Posted By Daleesp, Clearfield, UT: June 17, 2009 8:51 am

Dont trust banks ,only matter time now the other shoe drops. for those who can pay off their debts even if means quitting finding new job do it. Isnt going to be socail security any how so why pay in to it. Better off working under table an if ya loose your health just claim being homeless go to emergency
Posted By Jerry: June 17, 2009 8:07 am

I have applied for the loan modification with Wells Fargo back in February, and I was told in March mine was put on hold because of the new program, Home Affordability. I am a Freddie Mac too. I have been in review since April 6. I have lost my job over a year ago in manufacturing after being there 17 years. The home affordability program would be good for our family. I have been in the school program offered to be retrained to change careers offered through the government. It is a good program, but my income has dropped over 40% and we struggle to make our payments. I am frustrated with why it is taking so long to get help. They gave me my home loan in a week, but they can’t verify anything sooner then 6 months!!! Crazy and I feel they need to be more efficient. You talk to so many people who tell you something different all the time. I was trying to be pro-active before I fall behind, but the length of time it is taking it doesn’t matter.
Posted By Donna Elkhorn,Wisconsin: June 17, 2009 7:52 am

why was my comment removed? there was nothing offensive in the comment whatsoever. was it because said “Obama, you’re plan is a failure”?
Posted By john doe Charlotte NC: June 17, 2009 7:34 am

I have been assisting people all over the country with loan modifications and principle reductions under the fha H4H program and the Fannie & Freddie harp program. They are time consuming depending on the lender but understand that you have got to have knowledge of the bills (IE programs) and how they determine elegibilty.
Posted By Donnie PSl Florida: June 17, 2009 7:04 am

Foreclosure prevention plan for Obama administration stands no chance to succeed without any accountability and government’s monitoring of these modifications and refinancing activities. Matter of fact we have given the blank check to the Banks for tax payers money to punish these homeowners.

I have been trying to work with Washington Mutual/Chase Bank from the past 10 months and during this time I have experienced the worse humiliation and run around no tax payer should ever experience. It has been a frustrating and exhausting experience. I think I have made almost close to 100 phone calls, several emails, many letters to include emails to CEO’s and other senior officials but still I am struggling to save my home and feel I am still at the same place where I have started 10 months ago. I am left with the feeling that all the publicity to call your lender to avoid foreclosure is nothing but a fantasy.

I have closed the doors of my business in Real Estate Finance in January 2008 with a good standing with all concerned (creditors, authorities, employees).

Due to very tough job market in the US, I have finally taken up an overseas position and currently I am working in the Middle East to meet my monthly obligations. I have left behind a loving wife and 3 young children ages 9,8 and 5 to sacrifice to save my home we have built with lots of love but it is very clear that Chase/Washington Mutual Bank are determined to foreclose my home.

See the following comments:

• In May 2008 I have started a proactive role and requested Washington Mutual to modify this loan but my request was denied because my loan was not late or not in collection.
• In August 2008 I have submitted a full loan modification package via Fed Ex to Chase/WAMU for modification this time my package was lost.
• In September/October 2008 another set of package was sent and lost again.
• In November 3rd package was sent through a law firm and a negotiator was assigned.
• I have worked very closely from overseas with a competent negotiator and my modification request was approved.
• After many reminders it was completely ignored that I am working overseas and more time should be allowed to process and submit my modification papers to Chase/WAMU.
• Chase/WAMU gave me only 1 week to sign and send the papers back.
• I have called and complaint to Chase/WAMU and they agreed to give me extension of time till March 23rd 2009 to receive the papers.
• By the time my wife received a notarized package by US Consulate she has received a letter from Chase/WAMU that due to delay in submission this modification is now null and void and also now I should be eligible for Obama Administration’s new program.
• Upon my complaint to Chase/WAMU that what happened to extension of time, I was told to start the process all over again.
• I have worked for 3 months with executive response team and 3 negotiators, and now I have been presented a letter to sign and submit to Chase/WAMU by June 19th, 2009. No explanation, terms and disclosures were offered to justify increased monthly payment instead of reduced payment for someone who is going through a hardship.
• My new deadline is approaching on 06/19/2009 and I am afraid once again I will be forced to miss this modification due to lack of response to my communication and no disclosure and details were provided by Chase/WAMU despite the numerous messages and requests were made.
• My Existing Mortgage Payment without Modification $ 5,242.00
• My Last modification payment which was cancelled $ 4,810.33
• New ayment $ 5,907.89

You can imagine what kind of modification, or trial period this is going to be, I am asked to pay more money than my original mortgage payment is without modification. If I could do that why will I have to go through this modification, to me this is just a joke and they want to set me up for failure. I still cannot believe the bank will offer this kind of strange and incomplete modification offer. I wonder if it meets any government guidelines or this is just a plain and simple collection efforts and ignoring all the government’s policies or programs.

With the above explanation, I am sure you can understand my position. I have clearly demonstrated my interest and ability to stay in home and would need your help to publish this story to assist me in retaining my home and alleviating the current financial pressure and allowing me to rebuild and improve my finances at this time. Please help to save my home.

Many thanks
Posted By Zahid, Ashburn Virginia: June 17, 2009 3:21 am

I am sorry so many of you have had bad
outcomes.I live with my daughter.She just got her ok for a loan modification.She almost paniked and was going to pay one of those companies that promise to get your loan approved.She has been working with ACORN since February and as of this month she got her modification loan approved.Of course she had to continue to call on a regular basis.Once you go thur one of the free services save your future mortgage money because you may have to put some money down.You can send it to them also and they will put it toward the mortgage.Try Acorn and be patient.
Posted By Charleen ,Owings Mills,MD.: June 17, 2009 12:04 am

The system is broken! I don’t know if its the banks that took the TARP and don’t care, or a lack of oversight. We have the same story with Bank of America as everyone else and have been trying since March. We have heard everything from BofA: from we don’t do modifications to sell your house. After four months of pushing back, we finally got to a modification analyst…her gist back was “we aren’t going to modify your loan that much” then she followed up with “we only do Fannie Mae/Freddie Mac loans and not modifications.” As we reminded her that one of the terms of Bank of America’s second TARP infusion was an agreement to do loan modifications and their press release states that they are doing modifications, her reply was “are you so naive that you believe everything we put into a press release”. After asking for her VP (who should be an Officer) she came back and said, “I’ll give you a forbearance for three months; if you miss the lump sum payment, then we’ll foreclose on your home, if refuse, then we put you at the end of the line. We escalated the issue and were told “Bank of America does not have a loan modification program and we should consider selling our house.” Just like most people, we hate the situation we are in, and we have always made our payment on-time for 15 years. So who’s going to help us? The Banks? The Administration? CNN? I hate to say it, but maybe a good Class Action for Lender Liability. CNN: I hope you can get something done or recommend a good attorney…
Posted By Krista,: June 16, 2009 11:34 pm

The Mortgage Modification Plan is “The Great American Scam of All Scams”, maybe Mr. Obama should read these comments. Like many of the people here we bought a new home in September 2007 and put 20% down with a 30 yr fixed at 6.25%. My spouse was layed off in January 2008 and did not gain employment until September 2008 and at a reduced income which equals our yearly mortgage Principal, Interest, Taxes and Insurance. Our credit scores are 800++. We did not miss a payment, we have no car payments and we pay off our credit card monthly. We now just work to pay bills. We used savings to keep pace. We paid $ 478,000 for our home with upgrades and the builder is selling homes to our Canadian neighbors at any price they will pay because they shell out cash. Our home is worth less than our mortgage. We sent in a Loan Modification in April to Chase and after 30 days with no reply, we called. They said that they had the paperwork; however, it had not been assigned and that they are looking at 120 days for this program. We guessed that was for any acknowledgement, not necessarily an approval or denial. They do not have enough people to handle the volume. We only want to have our mortgage payment reduced to a 31% LTV. Any banker or mortgage company that suggests that people miss payments to get help is completely irresponsible and setting up the American Public to be further screwed. The lower your score the higher your interest payments for everything you purchase on credit. What a great idea to make money for the already greedy banking industry, “Who and What was Washington thinking about when they came up with this half butted plan?” As a previous mortgage underwriter of 15 years, I know this business inside and out and trust me after 3 years with, Countrywide Home Loans, I got up and walked out. They wanted me to sign off on an FHA Loan so they could get documents out to title for a loan closing to please the realtor; however, the loan was in no position to be closed. They simply wanted me to sign it without even reviewing the loan file. The Operations Manager was completely unable to make a decision, because she didn’t know how to underwrite loans. Boo, hoo, maybe a little training for managers might go a long way. I stood my ground and they attempted to reprimand me so I left and that was in July 2003. Angelo Mozillo (Countrywide Chief Executive Idiot and Thief). I use to tell people Countrywide was the next Enron, but no one wanted to listen. He should be hauled away and thrown in a deep dark dungeon where he can live happily ever after with the other rats, just like him. Trust me this has been going on for a very long time with all the lending institutions. Nothing has changed. Credit is now tight while the industry figures out new ways to get back to being rich quick and they will. First they get all the money they made over the last years, then our tax dollars and then because their programs were sold by untrained loan originators to people who clearly could not absorb these payments in any economic down cycle, they will get big bucks again from all the loan victims with credit ratings that will be in the dumpster for 8 – 10 or more years. Wow, what a STUPID PROGRAM. Totally disgusted. WAKE UP WASHINGTON. You have no control over these institutions. You can have as many regulatory agencies as you like and rules for them to follow and you will not stop these thieves. Washington has given them a Carte Blanche mentality. They are not Harvard smart they are Harvard thieves. They refer to it as talented and creative. In fact, they are creative, talented master thieves. They walk with millions and we have to pay so they maintain their lifestyles of the rich and fabulously talented. We will all survive this, no doubt, but we will all have to suffer together and don’t bet on any help. If you don’t fit into the box they have built you will get nothing . . .
Posted By BMK: June 16, 2009 11:06 pm

Well 1st of all my house is in the wonderful state of Michigan. That is the # 1 problem. I tried the Keep America home program, but my LTV is 125%. Great! They will only look at you if your < 105%. Currently, I am in a 7/1 Ballon Arm at 4.3% interest. Payments about $650. Plus I did the 20% piggy back HELOC, to eliminate PMI. Never late with payments, and only have a car payment. No credit cards. Since my LTV is bad, I have the option to reset the ballon next August 2010 to a 22 year loan. I would like to do, but I didn’t make one requirement. I have a 2 lien the HELOC. I heard the banks make exceptions, but that doesn’t sound to promising. I spoke to a real estate agent, and he told me to be a good little soilder and pay the mortage. When it comes time to reset, indicate you have a 2nd lien and it would be great if they forgo the requirement. If not, he told me to walk away and rent. My credit is important to me, and I would hate to do it but unfortunatley I am out of options. Any help or ideas would be appreciated.
Posted By Don Turner, Eastpointe/MI: June 16, 2009 10:17 pm

I’m commenting on this subject, based on an experience my sister had. For over a year, she had been trying to work with her mortgage company in regards to modifying her loan. She had NO success and for many, many months she struggled to make her payments. Because she was forced to borrow money from the family, some months her payment was made and sometimes it wasn’t. When the Obama plan went into action, she submitted the required paperwork, but did not hear anything for months. She often called her mortage company, only to be told that the “process” may take longer. Just two days ago, my sister received a letter from her mortgage company that cut her monthly payment nearly in half. Our family was happy about the news, and we are delighted that our sister will not lose her home. I understand the frustrations that some people who posted on here must feel, but this is NOT a wasted program. For those who haven’t heard anything from your mortgage company, I encourage you to be patient. If you’re having problems with your mortgage company not cooperating, by all means, reach out to the White House or to your representatives from congress. I’m sure they know what’s going on, but if you have enough people making noise, then maybe something can be done. I wish everyone the best and I can only hope that this plan works for everyone, just as it has worked for my sister.
Posted By St Louis, MO: June 16, 2009 10:15 pm

We are trying to get help. We are independent contractors and have lost some serious income beginning in 2009. Submitted all our paperwork to Wells Fargo 04/12/09, then again on 04/28/09, then again on 06/12/09. Depending on who you talk to (someone different everytime) the estimated time for completion of the process is: 1st (30-45 days from the time the negotiator gets your file) 2nd (30-60 days) and last time I called (30-90 days). The representatives are mostly rude, and do not seem very eager to help. I recently started requesting a supervisor (at which time the reps attitude becomes a little more willing to help and they don’t just answer “your file is still in review, there is nothing else noted”). Regardless, it is a very disappointing process. We need help, yet I keep calling (weekly)and get no answer, I keep sending my paperwork over and over. I am losing confidence we will receive any help. We are current, but struggling. I can’t imagine the people that are in foreclosure. By the time they review your file, you’ll be out on the streets. The whole process seems very disorganized, no one seems to know what they are doing. It is like the head isn’t talking to the tale. I know they are bombarded with submissions, but this does not excuse the fact that no one is providing any kind of status on what is happening with the submissions. We even received a letter dated 04/29/09 stating we would receive status within 30 days. Then on 06/12/09 we were told to resubmitt information. Very frustrating.
Posted By John, San Diego, CA: June 16, 2009 10:12 pm

I have been working with GMAC Mortgage since march of 09 on a loan modification . The service is Terrible and they always want or need something else and then they cannot locate anything. They have lost over 100 pages of documents and still no answer They are terrible and a total failure . why does it have to be this way????
Posted By jim Shawnee Ks.: June 16, 2009 10:03 pm

I called my lender (Huntington Bank) as soon as I was laid off from my job in February and heard about the program. I used the website to determine if I was eligible for a modification, and I was (not late on payments, mortgage owned by Freddie Mac, etc.)

My lender said Huntington Mortgage Group was sent a contract to participate in the program and that their legal dept was reviewing it. She also stated, “… reduced income is part of program, but unemployment apparently is not. That is my understanding. Also they indicate that most liquid assets need liquidated before modification is an option.” True, or not? I have no idea. And haven’t heard back.

There were promises of calls, and of being put on a list, but that’s it.
Posted By Karen Demerly, Lafayette, IN: June 16, 2009 9:59 pm

I have tried to work with GMAC Mortgage since March of 09. After filling out all forms and mailing them certified letter, I received a notice that they had lost all of my paperwork, so I sent them all new copies. and called them everyday for 1 month. after 1 month they needed something else and I supplied that information to them. I was told it would take 7-10 days for an answer. No answer in 2 weeks, so I called them again and I was told 45-60 days and they may change the program. GMAC has been nice on the phone, but all information is wrong, not timely and I believe they are just dragging their feet with no intention of helping anyone. There is no willingness from GMAC nor the Govt. What a mess
Posted By J. Drake Shawnee Ks.: June 16, 2009 9:59 pm

This plan has not worked for anyone but people with Fannie/Freddie. Anyone with PMI is rejected, anyone who has a private investor held loane is rejected, there are so many loopholes that the only people being helped are the ones who really do not need it nor asked for it. I can’t remodify my loan and and i am now in foreclosure. I jumped thru every hoop and after ONE YEAR, my modification literally is still in “review process”
The mortgage banking industry is the biggest scam ever and hundreds of thousands of lives are being turned upside down.
Posted By Tracy, Chicago Illinois: June 16, 2009 9:57 pm

My nightmare started on July 28, 2008. I first contacted Ocwen and informed them I was slowly depleting all my savings and was about to fall behind with my mortgage. I was always current with Ocwen for over two years. I sent via e-mail, fax, and mail, a complete loan modification package with all the docs requested (about 38 pgs) After not hearing for a month, I called. It is next to impossible to contact Ocwen as all calls are routed to India. Comforting to know where my financial and personal data is going. A rep (Indian) at Ocwen told me they did not have my w-2’s so they filed it in the circular file. I tried to explain numerous times over a period of several months that I was self employed and there is no w-2 or 1099 for me. Since they had my bank stmts and my 2006 & 2007 income taxes, all they had to do was look on Schedule C. After 3 months of trying this, sending my paperwork three more times, and talking to several more “employees” at Ocwen, STILL NO REPLY.

On one call to Ocwen, I was on hold for 67 minutes and another time 45 minutes, and still was unable to speak to anyone. On occasions when I did contact them, I had to start over and explain the same things to every one of them. Still no help. One told me I made too much money. The next one told me I did not make enough money and could not afford the loan. One told me they had all my documents, another told me they did not have any documents. Now, they either have them or they don’t, right? Well, then why didn’t they offer me any options? Another “employee” told me they could not help me because I was still current. How stupid is that?

I finally fell behind in October, after depleting all my savings trying to keep up. Now, they start to call me DAILY! They only want money. They refuse to talk about alternatives, and direct me to the Loan Mod Dept. Same phone number, no names. I fax them my cell phone # so I can’t miss the call. No calls. I call back dozens of times and can’t talk to a real person.

In Dec, 2008, I hire a lawyer backed loan mod company They try to help me for three months. Finally I get an offer that is the same amount as what I was paying, except now I am five months in arrears so they add that to the end of the loan and make the mortgage upside down now and end up with the same payment. What kind of loan mod is that? All I ever asked for was a lower interest rate and payment. What do I get for my good payment record with them—-9.65% They are “helping me out”, and I should be grateful. Well, I suppose looking at the legality of it, they definitely were MODIFYING the loan.

Jan 15, 2009, I get a certified letter from Shapiro & Weisman LC attorneys, saying they represent HSBC NA, who actually owns the loan. (first I ever knew HSBC owned the loan I took out with Sebring Capital and they transferred to Ocwen–big mistake for me), and that I am in default and they MAY foreclose. My first question to my atty is why can’t we try to deal with HSBC since Ocwen is Impossible? No, this can’t be done. Ocwen has a service contract, so I must go through them. Fat chance!

Feb 26, 2009, I call Ocwen for one, last attempt. You guessed it, going in circles for ten minutes trying to get to a real person. I requested short sale info to be faxed to me in three days as the recording states. Four days later, no fax. I call again Feb 29th. Still no real person, and request a short sale agreement and a “leaseback agreement” from the automated menu. Days later, no fax, no call, no nothing.

I have to state that having my loan involuntarily transferred to Ocwen 2 1/2 years ago is the single, most nightmarish thing that has ever happened to me in my life and I am 62 yrs old. I am a 4 yr US Marine, Viet-Nam combat Veteran and nothing in Viet-Nam was this bad!

Today, as I am sitting at my computer, after calling Ocwen 3 more times last night (no response), I am typing an e-mail to my attorney to tell him to go ahead and try a short sale since I have exhausted all my avenues with Ocwen, including two attempts with HOPE NOW (which is a complete and utter JOKE!!), I get a phone call from a friend of mine who says, “Hey, I’m really sorry about the house, anything I can do to help?” He tells me that my house is in the legal notice section of the local newspaper, and is scheduled for a Sheriff’s sale on April 6, 2009, at the County Courthouse. Talk about being “Blindsided”. This is the way Ocwen works. They are totally untouchable
by anyone, including President Obama!! They have ALL MY CONTACT NUMBERS, and did not even notify me of this action yesterday. Sound familiar? I read this same thing happening to others several times on ripoffreport.

So, I am inviting whoever reads this to please, take a few moments (or hours if you have the time) to go to, and read through the 1580+ and growing, list of similar complaints. Everything I have related here is totally true and is being practiced by Ocwen every day. It will turn your stomach and make you sick, and you will wonder how a business like Ocwen can remain in business and do these things to thousands of consumers who, like me, are just trying to stay in their homes. They are consumed by the dollar, their greed, and are simply just too STUPID to try an easier solution or even look for solutions to these problems. We are all just a number to them and THEY DON’T CARE!!
I have made it my mission in life to pursue this all the way to the top of our government, including the media, and I will join in any class action lawsuit attempt, and will tell my story over and over as many times as it takes. I don’t have any money and I don’t know where I will go, at this point, but I will try to help others in this same situation in any way I can.

I have a LOT more information, that I will share with any interested persons, attorneys, parties, or whomever. Let’s work to stop this kind of ABUSE, because that is exactly what it is.

Update: June 16, 2009.
Ocwen calls me on Mar 16 and asks me if I am interested in staying in my house with Obama’s Home Stability and Affordability Plan. Says she will send paperwork. Finally receive documents on Mar 27th. They give me 24 hours to reply. I send all my docs for the 6th or 7th time. What are they doing with this paperwork?? April 3rd, they postpone my foreclosure and tell me to call back in 2 weeks. I call every 2 weeks since.June 12th I get a letter from ocwen dated June 4th giving me 5 days to re-send all my documents to them AGAIN!!! This makes 7 or 8 times! I am still calling back every 2 weeks and it is now June 16th. I call them today and tell them I am going to walk away or to give me a Deed-in-lieu of foreclosure or a short sale. I am suicidal, and I simply don’t care anymore. I have been trying to deal with them and have answered every single request from them for 11 months!They have all my docs, all my phone numbers and they still refuse to contact me or return my calls. I give up!!! I just want to go to sleep and never wake up.

Sign me,

Frustrated in Missouri
Posted By Ron, Missouri: June 16, 2009 9:51 pm

File for bankruptcy, give the home back, relieve yourself of unsecured debt (CREDIT CARDS). Let the banks hurt,since they are not willing to work with their customers.
Posted By Midwest, Milwaukee, WI: June 16, 2009 9:40 pm

The plan does not work. As mentioned in many comments already posted, the plan requires every homeowner to pass through tons of red-tape, that by the time the banks reach any kind of decision (accepted or rejected) you are more behind with less money, and in a deeper hole than when you began the process. The real problem is the people who are stuck in the middle; such as myself. People that have been able to keep up with the monthly payments, but do not qualify for the modification program. Furthermore, those stuck in the middle do not benefit from refinancing because the rates would only put you at a higher payment. There is no relief. Obama, your plan is not working!!! I know this is the “Change” you promised; more government dependency. The only thing you have stimulated is more depression throughout America.
Posted By Jim Dewitt, Salt Lake City, UT: June 16, 2009 9:37 pm

I applied for a modification and was declined because I was not late on my monthly payments. They would rater have me not pay my monthly obligation for a minimum of 90 days, incurr expenses, attorneys fees, filling fees, court cost. All of this to “consider” you as a loan modification client. RIDICULOUS.
Then with the new plan, they re started the modification process. I have now been at it for over 5 months and nothing but we are working on it! Every call is 2.5 hours on hold with “nothing yet” reply. It seems that the presidents plan was really hot air and smoke and mirrors. It sounded really good in his address to the nation, but REALLY the lenders are not following the plan nor implementing it. The plan is supposed to give homeowners incentives to stay current, but really there is none. And the best part is that the lender is one of the biggest recievers of the bail out funds, ironically part of my hard earned dollars. They need it to stay open but wont help me! Go Fiqure. Its all a huge joke and typical politician stories and in the end the average joe gets nothing.
Posted By Michael, Miami Florida: June 16, 2009 9:33 pm

I called National City Bank to refinance my home equity line of credit. The bank told me that could do nothing for me. They are not part of the loan modication program. However, I received in the mail today a letter stating they have forzen my line of credit due to recent credit rating. They stated that since my credit rating has changed they don’t see that I am capable of making the loan payments. However, the next sentence stated that I must continue to make the monthly payments on time. I have never missed a payment or made any late payments since the incepetion of the loan 3yrs ago. They stated since I owe more than what the home is worth they could do nothing for me. I then informed them that since they are not willing to work with me then when I could no longer pay the payment I will mail them the house keys. Then they will be responsible for the yearly taxes, water bill and up keep of the home. I fill that all the people in American who are not getting the assistance of loan modication should give the homes back to the banks! Go rent an apartment and keep all the money that they were paying to keep a home stay in thier pockets. GIVE THE HOMES BACK TO THE BANKS!!!
Posted By Midwest, Milwaukee, WI: June 16, 2009 9:32 pm

We have been current on our payments but as it gets harder to make due to the economy we tried to refinance. At first Bank of America offered a great interest rate which would have lowered our payments by $600 a month, put us in a fixed rate and it would only cost a $1500 processing fee. They did credit checks which easily passed. After receiving the appraisal all of a sudden we didn’t hear anything from them and they continually avoided calls or emails. Eventually they come back saying the appraisal showed a $15000 decrease in value and now the rate would be increased and the processing fee would be $5000.

All they could say was sorry and check back in a month. We have a second property in CA that we’re having to rent for a loss since when we had to move for work the value had dropped so we would have lost $35000. No bank will even discuss the options of refinancing on it. We have been tempted to cut our losses and just do a short sale but don’t want to ruin our credit. Plus – we hope that just maybe the values will increase to where we can take a smaller loss or maybe break even.

It is disappointing to see so many homes going into foreclosure and families losing a place to live. Financially I can’t see how a bank is better off to foreclosure on a home and make no money than it is to at least collect partial payment. Plus – wouldn’t it at least make sense to have someone live in it to at least take care of it so it isn’t vandalized and ruin all the adjacent property values? I see some people that aren’t making payments seeing success but where is the help for us that are making payments and want to avoid missing a payment?

I admit I voted for Obama as I expected a change but I am yet to see a positive change. Yes – maybe all the billions of dollars injected into the financial system has helped to keep things from being worse but I didn’t vote for him to keep things from being worse. I voted for him to make things better.

So far – I don’t see people being better off. Maybe I am being too pessimistic or expecting too much so I’m our here reading to try and find some positive news since eventually all of us will be paying higher taxes for the billions of dollars injected. I’m just hoping it is a positive return on investment.
Posted By Mike, Scotch Plains NJ: June 16, 2009 9:26 pm

I hired a loan place in December to help me get a loan modification. I don’t understand the debt to ratio part because your debt ratio is going to be better if they lower your house payment. If I didn’t have a hardship (which I do, lost job of 32 years plus am disabled now) I wouldn’t be trying to get one. Loan place went out of business, I lost $1000 and Saxon Mortgage has denied me twice. When the Obama package opened up they said I didn’t make enough money to qualify. Go figure that one I would qualify if they would let me participate. I have not been late on any payments but no one has asked me about that one. I called the HOPE counseling and I do not see for myself where that is beneficial. I have no credit cards, no car payments I just have alot less money than I use too and I want to keep my house. I just keep making a payment I cannot afford and we starve to death, don’t have any medical insurance anymore and don’t go anywhere. So no loan modifications have not helped my family out.
Posted By Julie D Blackfoot, Idaho: June 16, 2009 9:17 pm

I hope someone will print these comments and forward them to President Obama!!!! My printer is out of ink and I can not afford more ink!!
Posted By JK Naples FL: June 16, 2009 9:11 pm

Talking about BoA I started my loan modification process for refinance in May when my loan application was taking with BoA with $400.00 processing fee which put it on my Credit Card. The interest rate was around 4.78% and I was scheduled to cloase the loan on June 12. The BoA loan officer never locked in rate and I was not able to close. When contacted BoA I was told that there is nothing can they do and I need to call my Loan officer, I called the Loan officer I was told that I have wait until interest rate comes down which may not happened again. Which means that eventhough I qualify for the President Program I’ll not be able to refinance. For the mean time they have charged me $400.00 application fee. (I was wondering why my rate was not locked when the rate was lower when they have given me Good faith estimate.) This is clear indication that BoA did not want do the refi. to lower rate.
Posted By Martin, Silver Spring, MD: June 16, 2009 8:54 pm

While I don’t have a mortgage, I work on the industry side of people who approve these modifications. Let me just say that the real untold story is here.

When the Treasury department “introduced” their program, they neither consulted the banks that service the mortgages OR gave consistent guidelines. In fact specifics for the program still are not clearly laid out or consistent. Fannie Mae and Freddie Mac have been held to the whim of the Treasury department on these guidelines, which have changed no less than 3 times since their introduction.

I know it’s hard, but your bank is being jerked around too, which is why you may get conflicting answers.
Posted By Rob, Cleveland OH: June 16, 2009 8:50 pm

I just want to add to my comment THE AMERICAN DREAM IS GONE…I guess our new dream will be to live in a shack because our credit history will not allow us who go into foreclosure to rent much more than that….WE NEED TO ALL WRITE THE PRESIDENT AND SPEAK UP FOR OUR RIGHTS.
Posted By Amanda, Chesapeake Va: June 16, 2009 8:39 pm

Obama, your plan is a failure… all of our taxdollars that you gave to the banks have been used to shore up their balance sheets. They are not doing the modifications they claim to be doing and you’re to ignorant to actually have someone go around and check to see if they are in fact doing what they claim. I tried for 6 months to get Chase to help us with a mod until i finally realized that the reps are actually instructed to just stall, ask for more papaerwork, basically just give lip service to see if you’ll throw in the towel and just drain your savings to keep up. Well Chase…you can go pound sand, and good luck with that house we stopped making payments on 6 months ago…the mortgage we would have gladly done a mod on was for 575k, the house is now worth maybe 390k :) soooo good luck with that! we’ve already purchased another home, got a great rate and you guys can deal with the old house…will end up costing you probably 250k after all the smoke clears because you couldnt return a phone call…so again, good luck with that!
Posted By john doe Charlotte NC: June 16, 2009 8:38 pm

We submitted a refi request to an online broker that matches us with lenders. We were connected with a lender who offered us 4.25 with one point. Things went really slowly and the documents were blank half the time. Right before we were supposed to close, we were contacted by somebody from Quicken Loans who was doing loan mods for our current lender. They offered us something in the high 4’s and we said we were just about to close on 4.25%. He called back and offered us either $6k off the balance at 4.75 or 4.25 no cost. We took the 4.25 no cost loan. We didn’t mention this to the other lender but we didn’t close with them on time and the next thing we got from them was a broker disclosure statement showing they were going to make an additional $3,500 on our loan. We told them to cancel the loan after a really bad appraisal with hidden fees and went with the no cost Quicken Loan. It took less than 30 days, went extremely smoothly and didn’t cost us a dime on either end. We cut our 30 year mortgage at 5.5% which was an ARM set to adjust after 8 years to a 20 year fixed at 4.25%. We’re very pleased, it was smooth, went exactly as Quicken said it would and although we initally thought their representative was another smarmy loan peddler like the first company we dealt with, we realized quickly they were legit (they had the right information nobody but our current lender would have had). So for us, this went very well and we were very happy.
Posted By Lisa, Leander, TX: June 16, 2009 8:33 pm

The Obama plan of paying the lenders the money first with no requirements to truly modify mortgages was a huge mistake. The original Obama plan included the amendment that would allow bankruptcy judges to modify loans if the lenders didn’t and they took that out. The lenders now have this huge amount of taxpayers money with no incentive to modify loans, in fact, they now have the ability to agressively foreclose and collect PMI insurance instead. The lenders should be forced to modify loans; they should be forced to liquidate their REO inventory to supplement their cash reserves.
My husband and I purchased our home in 2006 for $610,000. It is now worth approximately $325,000 and still falling. Our first is with IndyMac. I was hopeful that when IndyMac was taken over by the government that they would be first in line to follow the President’s request and guidelines to modify. Just the opposite is true. They have the reputation for being the most difficult to deal with and not doing any modifications per guidelines. We started in November 08 to request a modification. We supplied a massive amount of documentation and our denial letter was received before they even received our paperwork. We were told we had to wait 30 days to resubmit. We requested info for reason for denial and still have not received. We waited 30 days and resubmitted our request for modification. After 60 days we were told that it was kicked out because now they were going to follow the Obama guidelines. We faxed our third request on 5/18/09 and began to follow up. We were told that it took at least 21 days for them to “image” the documents and then be forwarded for review. They could not even verify receipt of info during this time. After 21 days we were told they only received half of the fax??? We had confirmation of full fax being sent and received. We then had to re-fax info and again no one can verify receipt of info until it’s imaged. In the mean time we are running 90 days delinquent; each month they increase our mortgage payment in order to defer foreclosure; they call EVERY DAY to ask same questions such as why we became delinquent; can we bring arrears current that day; etc. In fact we were actually told by an IndyMac employee that the default letters are sent to “scare” us. Thanks we are scared enough without the harassment. I’m not sure if they simply do not have the manpower to handle the demand or if they truly are just stringing people along collecting money with no intent of ever giving a modification. I don’t know how the President expects the economy to ever rebound if people are still afraid of losing their homes. Surely no one wants to buy a car; take a vacation; or spend any extra money on anything if you’re not sure you will have a roof over your head. We need action from our government! Either lenders need to return the bail out money or allow bankruptcy judges to cram down our first mortgages or apply pressure for lenders to use the money for the purpose it was intended.
Posted By Judy, San Diego, Ca.: June 16, 2009 8:31 pm

I am a business owner. I lost my largest customer and asked my Aurora Loan Services to modify my loan. They told me to pay $1071 for 3 months as a test and then they would modify the loan. This was more than my house payment. I made the payments. When I asked for the modification, I was told to continue making the payments or short sale the house. I went to a housing counselor. She called and they said that I did qualify for a loan modification under President Obama’s plan. When I received the paperwork, their were 3 payments of $1497 and one balloon of $30,000 due the 4th month. They did not say that the balloon covered. My Attorney advised me not to sign it. The housing counselor advised me not to sign it. I called them this week and they told me ‘you don’t have to pay the balloon!’ Just make the regular payment. When I refused, they said my house would be foreclosed! I’m seeing the housing counselor again. Also, I made a formal complaint with the Government.
Posted By Brenda, Ypsilanti,Michigan: June 16, 2009 8:24 pm

In November my husband was told that he would be loosing his job as an area sales manager with Owens Corning. He was making around $84,000 annually at that time. In December we contacted IndyMac Bank to ask for help. We knew that we could not continue paying the $1500 month mortgage, a $500 second and our additional monthly expenses. We had always lived conservatively so we had other “payments” for extras like a car. I lost my job about a year earlier, because I was the “wrong color” for the school I was teaching at. We were lucky and a job offer came for my husband in January, but the income was $30,000. He took the job because it was there immediately. He still works there now. I filled out the loan modification paperwork in January, again in March and again in April. We still have no answer. I call weekly and I am told they are still “working on it” but will not be sending any certified letters giving us an answer. This is from the only bank I am aware of that has been taken over by the FDIC…and they can’t seem to implement there own programs!
Posted By td, memphis, tn: June 16, 2009 8:18 pm

My story is very similar to Kevin Richmond except that the lender is Countrywide which is now owned by B of A. To add more to our aggravation, the lenders hired some “telephone solicitor” service who keeps calling for the same issue and don’t have any clue that the loan modification is being processed by the mitigation dept.
Posted By Ben, San diego, Ca.: June 16, 2009 8:17 pm

I’ve been trying since February to Refi or Modify with Citi. I was eventually referred by Citi to go through Lendingtree because Citi was to backed up. I paid Lendingtree $400 to propose adding $15,000 to my loan balance as well as increasing my payment by $800- no thank you. So back to Citi to get the same run around as everyone else not to mention their lack of service and knowledgable employees. I get a different story or department everytime I call-which is almost weekly. Today I was told I have too much money in “savings”/retirement so I don’t qualify for a modification. I’ll try again tomorrow and see what excuse they come up with.
Posted By Tami Ransdell, Lakewood CA: June 16, 2009 8:15 pm

I work a commission only income that is VERY reliant upon the economy and stock market. Needless to say it has been a rough run. Countrywide held the mortgage on my home that I share with my wife and three children ages 10, 7 and 3. The balance is roughly 230k. When we began to fall behind last year I was in contact with the HOPE department only to be constantly denied because I didn’t make enough money to pay my mortgage plus a small amount. We then listed the home for short sale although we desire to stay in the home…we listed as a measure of good faith that if we can’t receive modification, we are trying to pay our obligation. After B of A took over Countrywide loans, I began asking for more information on Obama’s plan and was told repeatedly that they didn’t have the details yet. When they finally did, I put together my financials, pay stubs, tax returns, family budget and list of outstanding debts along with a cover/hardship letter. I did this in March and called weekly to get updates. I was consistently told that it was in review and can take up to 90 days..however, each time I called I had to give them my income/expense information to them again even though I had previously done so and included it in my request for modification. The last time I spoke to someone they said it was in review for the Making Home Affordable plan and that I would get a letter of acceptance or denial but that I would be notified either way and that foreclosure proceedings are temporarily postponed while in the review process. Three days ago I received foreclosure notice. When I called today I was told that my loan had never been in review for Obama’s plan and that there was nothing they could do. It looks like I will now have to pursue deed in lieu of foreclosure. All this after dilligently reaching out for assistance for the last year. Lenders aren’t very eager to extend the help they themselves have received.
Posted By Edward Goodson, Grayslake, IL: June 16, 2009 8:06 pm

My mortgage modification process under the Obama plan has been a nightmare. Although I had not missed payments, my income had changed and my mortgage became 44% of my gross pay.

I jumped through all of the hoops that the mortgage company told me I had to and supplied all the paperwork within days.

Then, I got nowhere. I called and emailed and called and emailed and was stalled, delayed and literally hung up on by the company that I was paying more than $26,000 a year to in interest.

I was told by my lender that the modification department was not taking telephone calls and I could not speak with them.

After almost 4 months, it took me 23 telephone calls, 17 emails to five different people at my mortgage company including the president and their Executive Resolution person, three complaints to the banking commission, an email requesting help getting my mortgage modified to my state’s U.S. Senator and an email to the White House asking for help, but my mortgage is finally being modified from 44% of my income to the max of 31% of my income.

I did not feel like I started making headway until I became very aggressive in demanding that they take action on my modifying my mortgage. But in the end it will be worth it because my mortgage payment will be dropping by $700/month.
Posted By NC homeowner: June 16, 2009 8:05 pm

Posted By Anonymous: June 16, 2009 8:00 pm

We’ve been trying to get a loan modification since last September. Countrywide stalled it for 7 months, and now B of A is carrying on in their tradition. I don’t believe there was ever a chance that anyone would actually get help… just a lot of false hopes and being led on until we get smart enough to walk away.
Posted By Pat Wade, Surprise, AZ: June 16, 2009 7:53 pm



Posted By Eileen Bolitho Placentia, CA: June 16, 2009 7:47 pm

We are about to loose our home. We are two college graduates. I was told today by Bank of America that there is nothing they can do for us…
Where is the Plan? I have worked all my life to put down roots and give my children a secure home and future. The banks let us down with their bad loans nothing but greed and now our family is paying the price. This is not the America I know? Where is our help. The banks took tarp funds and now won’t release the money. There is no justice. Look for a family of 4 on a street corner in Los Angeles soon….
Posted By Leslie Reimer, Long Beach CA: June 16, 2009 7:37 pm

I tried with national city mortgage to get a loan modification and after about almost two months of waiting they finally got back to me via a one page one paragraph letter response. No they could not modify my loan due to the fact that I was laid off due to the economy and had no employment..????
I thought that this was to help all those folks in need??? I’ve never missed a payment in over 10 years, have a great credit score at above 750+. What is it with these banks and loan institutions not wanting to help out us guys but yet they are the first to have their long arms out asking for the government to bail them out? What gives with our government?
Yes, they did offer a forebearance of 4 months but after the 4 months are up national city mortgage wants a balloon payment for those for months to get caught up on the loan , sell your home or have a job so you could hopefully apply for another loan if your lucky. Basically we’re doomed and will need to foreclose on our home.
Thanks Avnet
Posted By Hansell, phoenix az: June 16, 2009 7:33 pm

Countrywide aka Bank of America has the worst customer service! Shortsales and modifications are a huge battle. I am a realtor and I can tell you that if you tell other realtors you have a loan with Bank of America and you want to do a short sale they’d rather not have the job!
Posted By honolulu HI: June 16, 2009 7:31 pm

My husband and I have lived at our property for 25 years and we had to in 2006 go to ARM for we had some financial problems. Our ARM was to come up in August of 2008. We tried to refi at the HOPE website for an FHA loan in June 2008. Are property came in to low and the broker we used put FHA claim number on property addres with out our knowledge. So we could not do an FHA loan for one year. So we went to our Mortgage Company, Aurora Loan Services,asked if they would modify our Loan for it was going to go up from 2100.00 to 3250.00 per month. They turned us down twice telling us we did not make enough money to qualify for a Loan Modification. And then we kept getting behind more ever month. So when Obama came into office 2009 we submitted for a loan Modification again in Feb. 2009. They still say they are reviewing it. I send them funds ever month hoping it will go through. But now they are refusing any payments what so ever and have put us into foreclosure. I called today and was told I could make payment arragements but it would stop our loan modification. I am afraid we going to lose our home and our credit is now trashed because of this mortgage company who is backed by Lehman Bros. of which we all know they filed bankrupcty last year. And I want you all to know they have themselve on the Hope website to help people. Yeah right!
Posted By Lucinda Gugala, Monroe, WA: June 16, 2009 7:28 pm

I applied for assistance with Wells Fargo who is my lender. Needless to say, it has been nothing but a runaround and frustration. Everytime I would fax them my information, they would tell me that information was missing. Once I gave them everything they told me they would call me and/or send me a letter. I started this process in January and just recently now in June they denied because they said that the debts I provided to them exceeded my income that I had turned in. When I looked at the financial statement, they were dead wrong!!! My income is well above my debts and I told them that they must either gotten my paperwork mixed up or the informatin was not properly entered into their system. In any event I had to submit everything all over again. To make it worse they called me to see if I’d be willing to do a short sale at the current market value. My arguement is, why can’t I get my mortgage modified at the current market value. This has been a very frustrating process and Wells Fargo needs to go!!!! I cannot understand how we are giving them money, and they in turn are not helping the the consumer. Additionally, they told me I had to behind on my payments to get help. But even with that it has been nothing but frustration and I might lose my home.
Posted By Rickie, Riverview, FL: June 16, 2009 7:21 pm

I applied for a modification with my mortgage holder-CHASE- (2x’s,) three months ago and have not received a call or letter advising me of anything?? I finally called last week and they told me that I would not hear back until the end of July or possibly middle August.
I do understand that there are thousands of applicant submissions for this plan however, many will be wiped out by the time it’s effectiveness is realized.
Possibly/HOPEFULLY the President’s plan is working in some parts of the country but for (me) in Mount Pleasant Michigan. I ask that the administration look more closely into how these programs are being administered – “Some banks(CHASE BANK) are not cooperating”.
Take care,
Posted By William Vaught – Mt Pleasant Michigan: June 16, 2009 7:21 pm

I’m in the mortgage business and I can tell you first hand it’s a nightmare. The process is so slow and you are lucky if you get anything done. The government keeps spouting about all these great programs and there is so much red tape nothing gets done. Some people are told they can’t be helped if they are current and others are told they can’t get help unless they are behind. Others that are trying to get a regular refinance can’t get done because the appraisal comes in too low. It’s like threading a needle.
Posted By Kathy Izzo Homer Glen Il: June 16, 2009 7:10 pm

My wife and two boys (five and three) own our house with a first mortgage and a second mortgage. The first 30 year mortgage ($193,000) has an interest rate of 5.375% and the second 30 year mortgage($19,000) is at 7.8%. Countrywide had our mortgages originally and now Fannie Mae has our mortgages. Because Fannie Mae has both our mortgages we figured we could easily move our second into our first mortgage using an FHA loan (thus lowering our payments by $200.00 a month). We had an appraisal done and the value of our home came in at $235,000 (originally we bought in 2005 for $372,000) but because of our area code in Sparks, Nevada (a high foreclosure zip code area) we were “flagged” for an extra FHA appraisal review of our house and they then lowered our appaised value to $190,000. We therefore did not meet the 95% loan to value to qualify for the FHA loan. They explained that the problem is consolidating a 1st and 2nd with different origination dates, which classifies this as a cash out refinance, which disqualified us from the Hope for Homeowner’s program. Even if we did qualify for this program going to 105%, the rate at zero points would be 6%, as pricing jumps tremendously over 95% Loan to Value. Our frustration is why should we have an FHA program to help homeowners when if you live in an area of high foreclosure the FHA loan punishes you? We have never missed a payment and have a 760 credit score so apparenly we are too responsible to qualify for the FHA loan? Doesn’t this defeat the purpose of helping homeowners keep their payments lower so they can stay in their homes easier? Being the sole provider for our household I were to lose my job we could not afford our house payment but we won’t qualify unless I lose my job? The review of our appraisal and whacking of our home value killed us for quailifying for an FHA loan. Am I the only one that sees the insanity in this? Does this make sense to anybody else?
Posted By Mike Aguilar, Sparks, Nevada: June 16, 2009 7:05 pm

I work in Detroit at one of the largest mortgage lenders in the US (not naming names, but we made the Best Places to Work for List 5 years in a row). We have a group that is specifically dealing with modifications that the banks mentioned by people here either can’t do or won’t do. Modifications are darn near impossible to get. Fall three months behind on your mortgage, lose your job and don’t have a dime to your name and maybe – just maybe – you will get a response. If you think you can get a modification and you have a job, assets and some equity, it will not happen. For those of you seeking to get in on the Obama housing plan, pay attention. You can only have one loan.
You can’t be paying PMI or have lender paid PMI on it. It must be insured by Fannie Mae (to go with any lender) or Freddie Mac (you must stay with your current lender). Fannie Mae has a link on their website so you can check. Your loan can’t go over 5% of the homes appraised value – 105% max.
Consider this – if your current lender actually valued your business, why didn’t they call you when rates were 4.25%? Why weren’t they proactive calling you instead of making you chase your tail? They are too worried about merging with other banks, and charging you too much.
Posted By Ann, Detroit, Mi: June 16, 2009 7:04 pm

After the failure of a side business and loss of my wife’s job, we first applied for help with our IndyMac Home Loan 11/08. Fortunately I still have a good job and my wife has found some work. I’ve now been denied modification twice. They will not tell us why we are being denied, so we have little way to prioritize what to do next. If we knew we could cash out what little retirement remains to pay down debt, or if I worked my second job for more hours… if we knew exactly what was missing, we might be able to stretch to meet the criteria. But we’re in the dark entirely.

I plan now to appeal to my Senator, Maria Cantwell, to ask for her help in getting someone from IndyMac to have a real conversation with me to explain what we can do to qualify for modification.

We pay 7.375% right now. 5% would be a God send.

We are told that our “investor” at IndyMac started participating in an Obama plan recently but then still denied us. We don’t even know if they are complying with the terms of taking the Obama money. IndyMac won’t let us know who the investor is. No one we call at IndyMac can answer our questions.

Now we’re two months behind on our payments and they won’t even accept a repayment plan unless it catches us up in just 6 months. So every payment we stretch to make, is still reporting as two months late every month.

Where is the honest contact and respect in these business dealings? If I had a loan from a local bank, I could go talk to someone who could figure this out with me or at least leave me convinced that I’m not being denied based on some minor technicality or mistake.

There appears to be no accountability and a total veil of secrecy with these banks. Not to mention the incompetence. I’m all for Government getting in there. It can’t get worse than the run around we’ve received from these so-call for profit banks. They don’t even appear to understand what they too will lose if we don’t work together to account for the current circumstances. Don’t they know we’re in this together?
Posted By Dennis, Bellingham, WA: June 16, 2009 6:40 pm

Posted By DAVID JENKINS, CHARLOTTE, NC: June 16, 2009 6:38 pm

I am frustrated as well. My husband was diagnosed with a serious disease a little over a year ago and we have had about $5000 in medical a month. We are barely keeping our heads above water but we are starting to sink. I started the modification process in February only to be told I need to wait until Obama’s new law takes effect so I waited and resubmitted the day it rolled out. It’s now June 16th and I’m still waiting for word. For 2 months Ocwen kept requesting more documentation and that a decision would be made in 10 days. So I just called last week and was told it is finally in underwriting and will take another 10 days. I am just hoping and praying this next 10 days aren’t like the first and I’m stuck waiting another 3 months because I won’t make it!
Posted By Marci, Salt Lake City Utah: June 16, 2009 6:34 pm

Posted By KAMAL GA: June 16, 2009 6:17 pm

I applied for the HOPE program with Countrywide when I was unemployed and received a letter a few weeks later stating acceptance and a new monhtly payment with start date. I made the first payment at the new rate then received a letter from Bank of America (they bought Countrywide) stating that they will not accept any amount less than my original mortgage payment. Any check they receive for less than the full amount would be returned to me, they would not even put the amount towards the martgage balance owed. Bank of America overrode my Countrywide remodification agreement and refuses to even discuss the matter with me. These Banks don’t want to help Americans, they are greedy and want to make a profit at our expense. Our president wants to help us but these banks make the process difficult and full of red tape that prevent those of us affected by the economy from regaining our foothold.
Posted By Kitty, Shawnee KS: June 16, 2009 6:10 pm

our mortgae payment was $3500 per month with Litton Loan in Houston, TX. I applied for the mordification in February and was told to wait till Apirl. In May I got a rejection letter and I wrote to the CEO of the Litton. I received a call and the 80% ($2785) was reduced to $1491. We are currently waiting on the 20% to be approved. We are in a pre-trial program. If all payments are received in the next 3 months, then the payments will be perminent.

Patricia Kyei
Gilbert, AZ
Posted By Patricia Kyei: June 16, 2009 6:08 pm

I am fustrated…. I was only one month behind in January when I called Bank of America to ask for a loan mod. By March they sd I do qaulify and proceeded with the terms with me and I signed all of the paperwork that I was required to sign, I sent in two months of payments under the loan mod aggreement and was told once it was approved to skip one month and start paying in May. I worked in the auto industry for eight years and my income suffered from the economy. So In May I had to file bankruptcy. I asked Bank Of America if the bankruptcy would affect my loan mod they said no. I just found out last week that my loan mod has been cancelled because of my bankruptcy and I am 5 MONTHS behind even with the 2 payments I sent for May and June. Now I cant buy the basics, just to save my house. I cant pay the power so I can save my house. I hope our food will last for 2 months. When I asked if I qaulify for the bill Obama signed THe BOA rep sd it only covers Freddie Mac and Fannie Mae customers not traditional bank customers. CNN help me to protest if my house gets into Foreclosure. Thanks
Posted By Amanda: June 16, 2009 6:00 pm

The Loan Modification program HAS NOT worked. We have our first loan with Citimortgage, you know, the one who took over 40 BILLION dollars in tax payer money to help themselves. My wife and I have NEVER been late on a payment we both have excellent credit scores and after being passed around by various departments from Citimortgage for months and going through them evaluating all of our finances over and over they wont help us out!! Its not as if we bought some huge mansion, its a 2 bed 2 bath condo which is our first home. The monthly payment for our first mortgage is over 1900 dollars a month, all we need is for them to reduce the payment by 4-500 dollars and help us restructure. I have been laid off for 6 months now and our income has been cut in half. Its not as if they arent going to get their money and its not as if we havent shown them that we are responsible, but they dont care either way. The Obama administration is NOT helping out by NOT monitoring what these banks have been doing to customers in good standing with hardships at hand. These banks are nothing more than financial crooks and should be held accountable for taking taxpayer money!
Posted By Jason Santa Cruz CA: June 16, 2009 5:56 pm

Posted By TERRY G, MARIPOSA, CA: June 16, 2009 5:55 pm

The current plans are not working because they clearly miss the target. As a mortgage banker for more than 40 years (who did not make any of the problem loans) I have seen similar markets and know what will work, but no one listens. The solution is for Congress to authorize mortgage servicers to make modifications without approval from the loan investor because loan ownership is too convoluted due to mortgage backed securities spreading ownership far and wide and it is often difficult to identify who actually owns the loan. Loan servicers should then be required to offer every borrower (not just those in default) the opportunity to modify (not refinance) their loan at current market rates on fixed rate loans for 30 or 40 years and for ARM loans with initial fixed rate periods of 5, 7 or 10 years. For those borrowers whose payment would still be too high, they should be given the option to give up between 10% and 50% of the property ownership to the lender in an “equity share” transaction. The borrower would then modify the loan for an amount equal to the portion of ownership they retained with a 30 year fixed rate loan. This will have far greater impact on the borrower’s monthly payment than the current plans. The new loan would need to have a balloon payment at the end of seven years by which time the borrower would have the opportunity to sell the property or refinance and buy back the portion of the property ownership they gave away in return for a lower mortgage obligation. This allows the lender to recover the portion of ownership for which they have not been collecting interest. When the borrower “redeems” the ownership given to the lender, the lender will receive their percentage of the property’s then current value. It may be less than they would have received had they been collecting interest on the loan, but the probability is that they would not have been receiving interest on the loan and would have had to foreclose on the property and take a much greater loss. For the borrower, it is better to own 50% of a home than to be foreclosed and have nothing. They also benefit from being able to stay in the home providing care and maintenance for the property and shelter and stability for their family as well as preserving their dignity. Naturally the best solution would be for the economy to magically revive where everyone can afford their mortgage payments, but that isn’t likely to happen; at least not for several more years even with the economy showing some early signs of recovery.
Posted By Ken Poole, White Post, Virginia: June 16, 2009 5:47 pm

You wont get much help because these banks don’t own your loans anymore. These loans have been sold like pork bellies into the bond market. Banks got the money to lend you from a corrupt Fed not bank depositors like you and me. They sold your loan and its risk to hungry investors around the world which is why they didn’t care if you defaulted. The Banks did this with the blessing of the U.S. Govt. and all of its supposed regulators. Banks are not banks anymore just big used car lots, like Congress and the Senate.
Posted By bill: June 16, 2009 5:46 pm

We are also trying to modify our loan with Bank Of America but no success. I started December 2008 byt like the rest need to be late first. We dedided to be late so they will look into aour applications. They said we need more income to be consider for modification. I told them the if we have that kind of money, we are not talking about modifications. last month they send me file of paperworks
saying congratulations, you are approved to for modifications but the monthly payment was higher by almost $400.00 that what I used to pay for my mortgage. If I cannot afford our mortgage of $2,570.63 a month how can we afford $2,983.40 a month. As of this writing I am re-applying for modifications again. We would like to keep our house but I am not sure anymore. We are thinking of filing for banckruptcy if the bank will not help. They say they don’t do the new Obama’s modification, thats Bank of America that was bailed out too but will not bail out customer, people that need help. its a joke!!!
Posted By Connie Magat: June 16, 2009 5:45 pm

I was intersted in obtaining a lower interest rate, but through no fault of my own, my property value had fallen about 25% and I did not want to pay mortgage insurance. I called in May and applied over the phone with a very knowlegeable BofA rep. I did not have to present any financial information. I qualified for 5% and bought it down to 4.375% 30yr fixed. I closed on June 29th and not only did I lower my payment but I no longer have to escrow my taxes and insurance. So my payment went from $822 to $518 and I pay my own semi-annual taxes. Brialliant Mr. Obama!
Posted By Margaret, MD: June 16, 2009 5:43 pm


I can’t get refinanced because of a tax lien on my credit report. A tax lien that is paid, a tax issue that I thought was resolved. It never should have never gone that far. I have been at my job for 32 years and the IRS never even tried to garnish my wages. I thought this was resolved and now I stand to lose my home because this tax lien is preventing me from refinancing. I have been a good tax paying citizen for 35 years…WHERE’S MY BAILOUT?
Posted By NOREEN: June 16, 2009 5:39 pm

Working with Chase for Refinancing / Modification is TERRIBLE. We applied 2 months ago when rates were very low, and still nothing…. I’ve called many times and nobody knows where my paperwork is. The last thing a rep told me: you have to miss several payments in order to get attention, that is, you have to ruin your credit first. I think the plan needs some adjustments, and banks must be forced to follow the rules.
Posted By Enrique, Weston FL: June 16, 2009 5:39 pm

I think that the president is trying to help, unfortunately I am sure that his missed the mark by a large margin. I am mortgage lender and I can tell you that at least 3-5 times weekly I have clients that want to refinance out of their sub prime loan but can’t because the govt hasn’t provided for the millions of people that are not in Fannie Mae loans but are current and can prove income. These loans may be serviced by Fannie but due to the fact they are not originated and funded these folks are unable to get out from under. The banks created these loan products then went out and asked every mortgage company to help fund these loans. The banks have received all the help and innocent folks are still digging out from the storm
Posted By Joseph Miami Fl: June 16, 2009 5:36 pm

Posted By KAMAL MIRCHANDANI, SUWANEE GEORGIA: June 16, 2009 5:31 pm

I have been sending in COMPLETE Chase paperwork since January. I keep getting the run around. I have begged, borrowed, and stolen (not) to keep current on my payments, and that may be why they don’t seem interested in helping. I haven’t fallen behind yet. Every week I call, and every week I’m told the paperwork is “still being processed.” I’ve been asked twice, once in April and once in June, to submit missing paperwork that I’ve already sent them. I just re-send the same files and again keep waiting.
Posted By Lawrence, Santa Ana, CA: June 16, 2009 5:31 pm

It’s been nine months of following up with Countrywide/BofA regarding my loan modification. Each time I call I get a new person who has no idea regarding my loan modification. I have tried to escalate the issue and I’m always told that a negotiator will return my call in 24 hours. I have yet to hear back from a negotiator. I continue getting calls from the collections department at BofA seeking payment. I wonder if I should just give up and let the bank take the home back which is over 200K under water? Maybe, we need to close our bank accounts to send a message.
Posted By Padilla, San Jose, CA: June 16, 2009 5:31 pm

This plan is a joke. It doesn’t work. It is a waste of the taxpayers money. My husband and I are trying to participate in the program. We meet all of the qualifications (Freddie Mac loan, my husband is unemployed, we have about $25K in equity in our home). I have been contacting my mortgage provider (US Bank) since 3/19/09 to ask to participate in the program. They will not respond to me and let me participate in the program. I get form letters in the mail letting me know a decision hasn’t been made yet and when I call they can’t tell me when a decision will be made. Are lenders required to participate in this program? We have contacted other lenders about refinancing on our own through them and they are telling us they hear that all the time (lenders won’t work with you on the HAM program if you make your payments on time).
The only way we have been able to make our mortgage payments on time is because our son dropped out of college to help, we cashed out our 401Ks, and have been borrowing money from friends and family. We can no longer do these things so we will no longer be making mortgage payments and I’m sure the foreclosure process will start sometime soon. I have contacted President Obama through and my local representative to tell them the program is not working.
Posted By Mary, Snellville, GA: June 16, 2009 5:28 pm

I sympathize with the people who have already submitted comments. My loan is with Countrywide and until the economy hit tough times the later part of last year, I was able to make my payments of $3200.00 month without a problem. I too am with Countrywide and requested a modification when things were getting tight. They wouldn’t speak with me unless I went down 30 days. My credit had to suffer because of things out of my control. Then I was swallowed up into a hole. Calling them every week to see what the results were, asking, begging for some answers, so afraid they were going to foreclose on my house. During this time, they would not accept a payment, even a full one as I was in their hope program. What a hoot! Their final answer was to increase my house payment to 5800.00 for 5 months then return to the 3200.00 payment. DO YOU BELIEVE THAT? OMG it didn’t deserve a response. Keep in mind, it took them 5 months to arrive at the above answer. I then sent a certified letter to Ken Lewis, CEO begging him for assistance. He had them rework the loan for 3 years only, interest only 2200.00 per month. It’s 1,000.00 per month savings. Thank you Ken. BUT now I have thousands and thousands added into the loan, still showing past due amounts and other issues and still can not get anyone within Countrywide/now BOA to respond to emails, faxes or phone calls. I just sent Ken Lewis another certified letter. Even offered my assistance if he wanted to hire me to put service back into customer service for his organization. We all need help and a person empowered to make decisions. I’ve aged so much during this time and still think – perhaps I should walk away from it all. Let them foreclose, my credit has already been ruined and there is no chance to recover from this at my age.
Posted By Christine Ryals, Kernersville, North Carolina: June 16, 2009 5:28 pm

I tried for 8 months to work with the banks and they never responded. I called and called, but all I got was a representative telling me to keep checking back. Overall, the Obama plan did not work for me or my neighbors. I since then filed for Chapter 13 and was able to save my home. Thanks Obama! Thanks for nothing..
Posted By Gil: June 16, 2009 5:09 pm

I just tryed Refienceing under the new plan with Suntrust my bank and I was able to get no help. Have never missed a payment but the rates are going back up also. Nothing I have tryed to do under the new plans with our president has failed. Fla. has been living thhis nightmere for 9 to 10 months longer and things are just so bad in Fla. There is no help with anything and have seen no help for our Governor either. Food stamps you have to be dying to recieve them and not a dime of income. I feel a person as myself to ask for food stamps for a few months never asking or recieving any help from our government should never have been turned away. It took alot to ask. Seems like its who you know or who you are voting for. Our president shouldn’t be as concerned about his next 4 years and start working the real problems with the people. I know at this point the government is no help to the working person. It really shows now. thanks darlene bell of Bervard County Florida.
Posted By Darlene Bell Melbourne Fla.: June 16, 2009 5:07 pm

OMG, I am so frustrated with Countrywide. I have been going through the loan modification program since the beginning of March, 2009. I am still calling them every week to check the status and am told consistently that they have rcvd out paperwork but it has not been givien to a loan negotiator yet. I was a loan officer making good money when we purchased our home and I have since had to take a $50,000 pay cut. I’m concerned that we may never get to a negotiator and they may forclose on our home. We haven’t been able to make a payment since October of 2008!! We are digging ourselves deeper and deeper in a hole if we don’t get some answers from Countrywide soon!! Please help if you can.
Posted By Kim Drwal, Carol Stream, IL: June 16, 2009 5:02 pm

Posted By JUDY KONA HAWAII: June 16, 2009 4:55 pm

I tried to apply for the program with Bank Of American and I was fortunate to have a person who tried to explain everything to me. My problem is that I got a mortgage from BofA when they had their NO PMI program, so in essence I do have PMI but its lender PMI and I was told to call back in May because by then there were suppose to be getting ready to help me. It’s now mid-June and no word yet, and the mortgage rates are getting so close to 6% it will not be worth it anymore. What a waste of all of American’s tax money!
Posted By Collette Brown, Farmington NM: June 16, 2009 4:54 pm

LOAN MODIFICATION: Lenders do not know what they are doing. My lender, like others, are EIGHT weeks behind/backlogged. I cannot make my full payment during the LONG wait, that is why I applied for assistance. Mortgage co. states that many homeowners end up going into default, bad credit reporting and a majority go to foreclosure PRIOR to loan modification is complete. How is this helping? Where is the grace (payment deferred) time during the extensive modification wait time, there is NO loan modification, it is false hope to families. Why can we bail out big business and those who give their lives and make this country work, receive NOTHING?
Posted By Sue Perry: June 16, 2009 4:54 pm

I refinanced after falling behind due to child support not being paid and JP Morgan Chase modified my loan. My payment was $607.00 a month now it is $685.00 how is that helping? My payment went up and I continually have to struggle to pay it. I am a single mom on one income I just wait for the time that I fall behind again and lose it all.
Posted By Rachel, Rolla, MO: June 16, 2009 4:53 pm

I am not fannie or freddie backed, but am FHA. Laid off, current on mortage, but struggling. Tried with 3 banks to refi. All wanted approx. $3000 up front! If i had that kind of money I would be able to pay my bills!
Posted By M.R. Louisville Ohio: June 16, 2009 4:52 pm

No, I have not been able to get help, even after the (angels heard singing) Obama “plan” came online. I have been trying since January to work with GMAC. Calling and calling. I get “call back in a week””make these three payments and you’ll get a mod” and still no help. There is NO accountability in this “plan”. GMAC is getting billions in bailout money and they have done NOTHING for the homeowners that are just asking for a little help.
Posted By Renee, Monterey, California: June 16, 2009 4:51 pm

I have been working “with” Countrywide and Bank of America for several months. Horrible service. I was told to get a second job (which I have) and that my wife needs to get a job (which she has). Totally unacceptable attitude and performance. To date, we stuggle but are still current and with sound credit. We should be prime candidates for a rework; I can’t fathom why they won’t discuss alternatives. Take my advice: stay away from BOA!
Posted By Andy, York PA: June 16, 2009 4:48 pm

My “loan mod” is that I saved all my life to purchase a house I could afford, and accept responsibility for the consequences of my actions.
Posted By John U: June 16, 2009 4:47 pm

We sent all of our paperwork to Flagstar Bank March 26 and we are still waiting. They told us the same thing, you have to miss a payment, which we have, but we still have not been assigned anyone to help us. We do not want to lose our house, but we would very much like Flagstar Bank (Fannie Mae has our mortgage) to work with us to get this taken care of as soon as possible. So far, Obama’s plan is not working for us or through Fannie Mae and Flagstar Bank.
Posted By Helen Kneeland, Grove, OK: June 16, 2009 4:45 pm

I recently lost my job after 15 years and wanted to know what my options were to keep my home. I too tried to apply for this new Obama plan and was told by Countrywide there was nothing they could do because I was not behind in my mortgage payments. If the name of the game is to keep people from going into forclosure, wouldn’t it make sense to work with those people before they get into foreclosure and every one looses?
Posted By Vanessa Hubbart, Romeoville, IL: June 16, 2009 4:43 pm

I was going to refinance to get a good deal on a loan that was over 2 percentage points lower than what my current loan is. I applied, but when I received my Good Faith Estimate, it showed that I was going into MORE debt. The closing costs and fees totaled to over $11,000. The new loan would be LARGER than my original loan, even though my payments would have been $300 a month cheaper. I cancelled the application because I didn’t want to owe more than my original loan. If I had to sell my property, I would have to take a loss becuase it’s not worth what I paid for it. With the new loan, I would really be upside down!! Refinancing is a way for the banks to make money, it’s not really helping the homeowner by putting them MORE into debt with less equity in their home.
Posted By Darleen, Honolulu, HI: June 16, 2009 4:41 pm

I’ve had the same experience. Chase has not cooperated at all. First was the loan modification process and I have not been late. Then the Obama plan where I’ve never received a call back 3 months after the fact even though the time limit was 6 weeks. They are required to assist us in the GOVT sponsored plan and yet seem to have no desire to do so. I will file a complaint to the GOVT that my mortgage holder is not allowing me to take part in a GOVT sponsored plan. Chase – the company you have to CHASE after.
Posted By Roger, Dallas TX: June 16, 2009 4:39 pm

I too have been given the runaround by Chase Mortgage when back in April I followed their directions and submitted documents along with their application for a loan modification. I didn’t hear back so I called and was told it was still in process and could take four to six weeks. Six weeks later, I called back, and they said Chase has received new instructions from the Federal Bank and I should be getting instructions soon via mail. I haven’t received anything yet and that was two weeks ago. Interest rates are on the rise again, is it worth it? I am current on my payments, but my wife was laid off and she was the primary borrower on the loan. I hope things get sorted out soon, barely surviving.
Posted By Danny Patel, Charlotte North Carolina: June 16, 2009 4:39 pm

I have had to fax more 30 pages of documentation to Ocwen 4 different times. And each time i am told they were missing something. I have been working with then diligently and have had no response back, except that i should hear something with in ten days,
it’s been month’s
Posted By James, Fitchburg Mass: June 16, 2009 4:35 pm

I called my Bank, Wells Fargo and they told me to call another number which stated that the person changed their CELL number and I needed to call them at the new number, very unprofessional. How do I know these people are who they say they are?? Wells Fargo wants to get help from the taxpayers money but not so interested in helping the taxpayer!! So Sad, President Obama, your plan is NOT working!
Posted By Darlene Robinson, Naugatuck, CT: June 16, 2009 4:31 pm

I applied for loan modification through the New Hope Alliance 800 number which was recommended by my lender Countrywide and was put through to another company that took my information and made a recommendation to re-modification. Months went by and Countrywide kept saying “we haven’t received it” while the company said “we’ve sent it 7 times”. Every time I tried to communicate with my lender, I was told to call the 800 number or their hardship assistance line – who would recommend the 800 number. I once tried to be connected to a supervisor after a front line person yelled at me and she refused, then eventually said she would transfer me, but put me on indefinite hold. All the time – my house is headed towards foreclosure. I finally got some upper management to do a 3-way call between Countrywide, the other company and myself. It was amazing. One company is saying “we’ve sent it multiple times over the past several months” and Countrywide claims they didn’t have it. So this representative “pulls” our file from an attorney’s desk and sends it to a negotiator who sends a re-modification packet within days – with a price lowered only $300. Really??? How is that going to help? We thought they were going to lower it considerably. My partner and I both experienced unemployment for up to 6 months the last year (but were employed at the time of the modification and presently employed) a car accident, multiple deaths in the family, health problems and Countrywide – who is now owned by Bank of America and received Federal Bailout money- offers us a modification of $300??? The bail out money should have gone to help homeowners stay in their homes with realistic help and not to line the pockets of ceo’s. My house is set to auction next month after I have spent months trying to get in touch with someone who could make a real difference.
Posted By Hilary, California: June 16, 2009 4:05 pm

My loan modification with Saxon Mortgage Services Inc P.O. Box 161489
Fort Worth, TX 76161-1489 Phone: 800-594-8422 has been a nightmare. I was originally denied a Loan Mod June 2008 because I was on time with my payment but I called them back in December 2008 to try again. I spoke to a Saxon Loss Mitigation rep and they sent me another loan mod package and I sent it back the first week on January 2009. I waited 30 days because the Saxon rep said it would take some time to process but when I called, Saxon said they never “received” my faxed loan mod package. They sent me a new loan mod package in February to fill out and I decided to hire a loan mod company because I read about all the horror stories about Saxon on the internet with regards to the games they play to prolong the process. In March 2009 my loan mod company sent Saxon a complete package and called them every few days until they got confirmation that the package was received. Its now June 16, 2009 and I haven’t made my mortgage payment since March and Saxon reps keep calling me and sending me letters telling me they’re still missing documents from my loan mod package. I pass that on to my loan mod company and they send Saxon what they ask for and get confirmation but Saxon still calls me to say I’m missing the same documents. It’s like one hand doesn’t know what the other is doing at Saxon. I just can’t believe Saxon is being so difficult after they received $482 million from the Government to help approve their client’s loan mods. I work as a mortgage banker and when the mortgage bubble burst my income dropped to ¼ of what it was a few years prior. I have a 2 year old daughter and thank goodness my wife has a solid job as a 5th grade teacher but it’s still not enough to cover the mortgage payment, property taxes, and household bills. I’ve cashed out my 401k just to stay afloat in the beginning of the year but now we have no choice but to foreclose if Saxon doesn’t want to help us. I’m going on my 7th month of this loan mod process with Saxon and I still don’t have an answer.

Posted By Anthony Fallico, Arlington Heights Illinois: June 16, 2009 3:55 pm

I tried to get my interest rated lowered and was told that since I had been curent on my payments except for one that was 16 days late over the past 12 months that. Plus the fact my home had devalued becuase of the housing marking crash so Bank of America said they could not help me even though it would have lowered my payments 200 per month so I am still stuck in my ARM. However people I know who have not made a payment in over a year all got letters from Bank of Americal offereing to re-finance thier loan.

Its a joke, honest people get shafted once again and the wealthy get more free money.
Posted By Richard, Milton FL: June 16, 2009 3:46 pm

I have also had several negative experiences so far with the loan modification program. The value of my condo fell 60 percent in the last 4 years and even though I put 20 percent down I’m still over 100 grand underwater. I don’t qualifiy for a refinance because of this and I’ve tried to apply for a modification with Washington Mutual one time with the help of a broker and was told no because I wasn’t delinquent on my loan. I applied again on my own and was told no again because I have had no loss of income. I am currently working with an agent at HUD and I have been waiting for several weeks with that with no answer. Each time I’ve applied my paperwork has gotten either lost or someone fails to tell me that I’m missing paperwork until I call them to check on the status several weeks later. It’s been extremely frustrating. I am now stuck in a high 6.5 percent loan with PMI added on to that and can’t take advantage of historically low interest rates and I’m stuck in this condo unless I do a foreclosure or short sale. This plan doesn’t seem to be helping hardly anyone and we as taxpayers keep paying out of our pocket to not get any help. It’s pretty enraging. If anyone knows how to help change the way these things are handled let me know.
Posted By Barbra San Diego, CA: June 16, 2009 3:36 pm

I’ve been trying to refinance my Freddie Mac-backed loan with Citimortgage for months, and have gotten a constant runaround! First they weren’t participating, then they were only working with Fannie Mae mortgages. Now that rates are way up, they’re finally ready to play ball. Too bad it’s not worthwhile for me anymore! Citibank and the mortgage giants continue to win, and the taxpayers continue to lose!!!!
Posted By MJ, Dulles, VA: June 16, 2009 3:36 pm

I can tell you from a realtors point of view that the plan is not working. I have been working with sellers who are trying to do a short sale in lieu of foreclosure. The banks are taking approximately 4 months before you even find out whether they will take the contract. In the mean time, they have the sellers and or realtors working for the sellers fax in a hardship letter, the last two years income taxes, copies of pay stubs, bank statements and anything else they want to ask for, all for what? So that they can tell you that they just decided to close the file and let the bank foreclose on the property. As a realtor, I can tell you that not only do I work very hard to help out these sellers, but I can tell you that so far I have nothing to show for it. I’m told by others that I am just wasting my time, because the government has guaranteed these loans, so the bank would rather foreclose and get their entire amount back instead of working anything out with them. Someone needs to realize that these forclosures are also penalizing the person that is able to make their payments, because it is reducing their property value. I wish all those in this situation the best of luck. Hopefully the government will realize that the program is not working.
Posted By Angie Dickens, St Louis, MO: June 16, 2009 3:33 pm

I saw folks paying more for a home than they could afford, HELOCed their way to a driveway full of new cars and decided to play it safe.

I sold my home due to a job change and decided to rent, where’s my bailout?

Hummm, guess I should have purchased the largest home I could not afford and then just waited for a hand out.
Posted By Robert Virginia Beach VA: June 16, 2009 3:30 pm

The Obama refi plan is a load of $#@%! It was a “feel good” response Obama had to address for the current foreclosure crisis to the american people. Lenders have no idea how to structure the loan program nor do they want to. Banks just want to mitigate their risk and try to set up their own modifications. Your best bet is if you are “upside down” in you home is to let it foreclose. Treat it like a business decision. You don’t think if a bank made a bad business decision they wouldn’t cut their losses and walk away? Is so then you are just kidding yourself. FYI, if you don’t already know the current guidelines allows are person to purchase as long as 3 yrs has passed since the date of the foreclosure. Do yourself a favor and foreclose and start fresh in 3 years. You’ll never break even on a home thats 100k “upside-down.”
Posted By Matt, Phoenix AZ: June 16, 2009 3:30 pm

I called Countrywide (now BofA) immediately after the story was on the front page of and just closed last Thursday. My payments did not change by more than 1%, however from a 5/1 ARM @ 6.5 which was due to adjust in 2 years, I am not in a 30 yr. fixed ay 5%. Thank you President Obama! I never missed a payment, and now I won’t have to worry about doing so in two years.
Posted By Michael, Tucson, Arizona: June 16, 2009 3:28 pm

Unfortunately, our loan refinancing experience is turning out to be not so good. Our first mortgage is with B of A, and we also had a HELOC taken out through KeyBank. We applied for a refinance under the Homeowner Affordability and Stability Plan (HASP), but ran into a snag when KeyBank informed our loan officer at B of A that they would only subordinate roughly half of our HELOC, which effectively torpedoed our refinance. What is interesting is that if KeyBank approved or disapproved of subordinating our HELOC, nothing would change for them – they would still remain in second position with a house that is worth less today than it was two years ago (when we took out the HELOC). Frustrating!!
Posted By Dave, Seattle WA: June 16, 2009 3:24 pm

There is NO PLAN…Banks will not lend even with a 780 credit score.. equity in home, good income…They do not want to move.. delays and more delays.. If nothing else works they question the appraisal.. why should they lend at 4.5% when current rates are rising.??????? I have a lock til July 3rd.. Im sure that will come and go!!!!
Posted By Junipurr.Naples FL: June 16, 2009 3:22 pm

I lost my full time employment a year ago. I was fortunate to find some contract work for about 10 months and now I have had no work in 2-1/2 months. In that time frame when I was working my work slowed to part time. When I was working part time I qualified for loan modification but now that I’m on unemployment I don’t. I have also been told at one point that I actually would only qualify for a refinance (not nearly as good as modification) because I am current on my loan. With less money coming in than just the cost of my mortgage I am still current, and Wells Fargo offered me a forbearance this week. I feel thankful to have gotten it…but it’s still a weird offer because it give me two months off from paying my mortgage and at the end of those two months all that money and the normally mortgage payment I would make comes due with late penalties. I am at home today thinking and praying about if I should sign such a document. I consulted the Seattle Urban League and they did not think in their experience that I would be able to get Wells Fargo to rewrite the letter with more favorable terms. They seem willing to work with me on the phone but the language in the paperwork they sent is very different. I call them at least once a week, and I have written a letter every other week. I am sort of making myself a pest since I don’t know any other way.
Posted By Dean Watkins, Seattle Washington: June 16, 2009 3:21 pm

We were behind about 7 months on our mortgage. After several payback programs that had failed, we were finally offered a modification. It only took a month to get approved, but they wanted $2232.00 up front and then our payments only were reduced about $200.00. We don’t know if this will be the fix that we were hoping for, but we will try.
Posted By Lorie Kingman, Az: June 16, 2009 3:14 pm

I have been waiting for months for my “Presidential Re-Fi” I am the ideal candidate that President Obama wants to help – I have a steady job, have always paid my mortgage on time, am middle class with a young family and my Mortgage is inching closer to 100% of my home value because of the housing bust.

Unfortunately I have been waiting for months for Bank of America to Refinance. I have been told 4 times I will be called back, but haven’t been called back. I have talked to people who have said, “I’m sorry I can’t help you, I have been talking to folks like you all day and I have no idea what to tell you.”

Apparently I finally found out that Bank of America is apparently waiting for Fannie Mae to start approving the Re-Fi of “STAGE 2″ Mortgages – AKA Mortgage with Mortgage Insurance.

So I guess because I already pay what essentially is a penalty – MI – I have to wait for the people that don’t pay the penalty to get Re-Financed first?!

So I am basically just sitting here watching the $400 per month I would have saved go bye bye as I wait to Re-Fi. I am just sitting here watching mortgage rates go up costing me even more money. I am just sitting here watching my mortgage slowly creep past 105% of my home value, which will in essence, make me ineligible for the Refinance.
Posted By Drew K.: June 16, 2009 3:13 pm

I live in Southern California where my house is now worth about 45% less than what I paid and my condo, a rental, is worth about 40% of what I paid for it. I have been calling Citi and Wells Fargo since the day this plan was released in March. I cant tell you which company is worse. After 3 months Citi finally told me I was eligible to refi my house and I would save hundreds…yep, that week interest rates went up and up. If they would have had there crap together i could have refied at 4.75% and saved 700-1000 bucks a month.
Wells Fargo wont even talk to me about the rental. Im a couple months away from stopping the 1000+ a month loss bleeding a take. I have tried what I can, now I must walk away from this condo conversion that will take 15 years to sell at what I owe. By then I will have lost over 200,000 dollars…ouch!
Posted By bs, San Diego CA: June 16, 2009 3:12 pm

It was impossible to even get in the application process. I got my mortage thru Tropical Finance Credit Union; the mortgage is being serviced by Dovenmuehle Mortgage. When I mentioned I wanted to apply for Mr. Obama’s “Making Home Affordable Refi” program, I found out, after at least 20 phone calls, that none of them were receiving applications. Entities like these only react when you stop paying your mortgage (and risk your credit). As long as banks are “voluntary participants” this program’s success and number of favoured families will be small.
Posted By J.R.G Miami, FL: June 16, 2009 3:06 pm

I was turned down from Wells Fargo, My husband has lost hours, i am in the Mortgage Business, lost of hours and bonus. They told me not to make a payment for 3mths to get my financial situation togeather and then in Sept make a payment of $4286.00 to make up the 3 months they told me to skip. Yea right i am going to let my mortgage go for 3 months and then foreclosure proceedings will start. this process has taken 45-60 days so i am not sure how everyone on the internet was able to find out within 30 days. i can submit proof of this. Also when i called wells fargo back told them i will not put my home in jerpordy to catch up on credit cards the customer service rep said i was making the correct decision. we are still struggling in making the payments but i will continue until i have not other choice. my 2nd mortgage which is with homecomings deleted all my info yea right
Posted By Janet, Springfield, OH: June 16, 2009 3:02 pm

Wachovia reachhed out to me in January to tell me I was in a terrible loan, a negative amortization loan, which I orginally obtained thru World Savings Bank. They asked me to fill out an application, had an appraiser come out to my house and then denied me because of credit concerns. I tried to speak with a wachovia mortgage “therapist” and they asked me to fill out another application, submit my tax forms and pay stubs again, only to deny me once again. When the Obama plan was announced, I called weekly only to be told they did not have the man power to handle all the calls, to continue to follo-up. In late May they finally said, we cannot modify this loan because its not held by Fannie or Freddie… Wachovia holds this mortgage. I am currently researching Loan Modification companies, contacting lawyers to see if there is anything they can do to get through to Wachovia. This loan is set to explode in May 2010.
Posted By Chris, Brooklyn, New York: June 16, 2009 2:54 pm

Get ready to send information more than once. I sent all of my information twice and just had to send my pay stubs a third time. After 60 days, I was finally given a number of a real person that would be working with me. I called the number only to get his answering machine and a promise that he’d call me back within 24 hours. A week later, I’m still waiting.

It does take a long time but if the results are as I hope then it will be worth it. Remaining hopeful!
Posted By Chris, Hilo, Hawaii: June 16, 2009 2:36 pm