Wednesday, May 6, 2009
I Need a Loan Mod! Who Should I call?
Dear Sue
My mother suggested that I write to you.
My wife and I got an ARM loan about a year ago and it has become way too high for us to afford. We are now 90 days behind in our mortgage because our lender told us they couldn’t modify unless we were 2 months behind.
I went through HOPE and they referred me to an attorney who wanted $4000.00 for a Loan Modification with no guarantee of success.
Do you suggest I go this route? Can you recommend any other attorneys that do modifications who might be a little more reasonable?
Stressed Steve
Dear Steve
The current administration has developed a website that is designed to assist the borrower in doing their own loan modifications for free.
The site, http://makinghomeaffordable.gov will guide you through the process.
Most people think that they have to pay someone to do their loan modification. It is true that it is a time consuming, patience-testing, detailed process.
If you keep this in mind and approach the loan modification process with the right attitude, I believe that anyone can be successful.
If you absolutely feel that you are not capable of the objectivity and patience that the process requires, I strongly recommend that you engage the services of a “fee for service” loan modification company.
Legislation has been introduced that would prohibit advance fees for loan modifications because of the rampant scamming by so-called loan modification companies who insist on money up front with no guarantees.
The Federal Trade Commission is watching approximately 71 companies that are running suspicious ads for loan modifications. These fake mortgage modification and foreclosure relief companies are robbing Americans of their savings, their homes and their futures.
Some of these perpetrators have even charged homeowners facing foreclosure fees for services never delivered and then filed fraudulent bankruptcy petitions on their behalf. Similar operators got homeowners to sell their homes to “straw buyers” on the false promise that they would get their homes back after they were saved from foreclosure.
At the very least, companies have taken advance fees and then disappeared before they have delivered any promised services.
Of course there are reputable loan modification companies with attorneys that have received permission from the Department of Real Estate to charge advance fees. You can get more information (and cautions) at: http://www.dre.ca.gov/cons_adv_fees_alert.html
Try it on your own and see how you do before paying anyone. It will be like paying yourself for a job well done. Good luck!
It can be a matter of good Home $$’s and Sense.
My mother suggested that I write to you.
My wife and I got an ARM loan about a year ago and it has become way too high for us to afford. We are now 90 days behind in our mortgage because our lender told us they couldn’t modify unless we were 2 months behind.
I went through HOPE and they referred me to an attorney who wanted $4000.00 for a Loan Modification with no guarantee of success.
Do you suggest I go this route? Can you recommend any other attorneys that do modifications who might be a little more reasonable?
Stressed Steve
Dear Steve
The current administration has developed a website that is designed to assist the borrower in doing their own loan modifications for free.
The site, http://makinghomeaffordable.gov will guide you through the process.
Most people think that they have to pay someone to do their loan modification. It is true that it is a time consuming, patience-testing, detailed process.
If you keep this in mind and approach the loan modification process with the right attitude, I believe that anyone can be successful.
If you absolutely feel that you are not capable of the objectivity and patience that the process requires, I strongly recommend that you engage the services of a “fee for service” loan modification company.
Legislation has been introduced that would prohibit advance fees for loan modifications because of the rampant scamming by so-called loan modification companies who insist on money up front with no guarantees.
The Federal Trade Commission is watching approximately 71 companies that are running suspicious ads for loan modifications. These fake mortgage modification and foreclosure relief companies are robbing Americans of their savings, their homes and their futures.
Some of these perpetrators have even charged homeowners facing foreclosure fees for services never delivered and then filed fraudulent bankruptcy petitions on their behalf. Similar operators got homeowners to sell their homes to “straw buyers” on the false promise that they would get their homes back after they were saved from foreclosure.
At the very least, companies have taken advance fees and then disappeared before they have delivered any promised services.
Of course there are reputable loan modification companies with attorneys that have received permission from the Department of Real Estate to charge advance fees. You can get more information (and cautions) at: http://www.dre.ca.gov/cons_adv_fees_alert.html
Try it on your own and see how you do before paying anyone. It will be like paying yourself for a job well done. Good luck!
It can be a matter of good Home $$’s and Sense.
Labels: advance fees, ARM, HOPE, loan mod, loan modification, makinghomeaffordable
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