Bayview Loan Servicing

dssciarretta

LoanSafe Member
Apr 7, 2017
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Our mortgage at BofA was behind, they set up a modification, which we accepted and mailed our first payment to them. The payment was never cashed because they transferred the loan to another servicer. That servicer then transferred the loan to Bayview. Bayview had the wrong contact info for our mailing address and sent a streamlined modification documents to that address. We just happened to call them and the lady said we were already accepted for a mod, at that point we had missed the first payment of the plan. So the plan was kicked out.

Now we have submitted for another mod and they keep asking for documents and we are currently in the process of the loan modification. In the mean time they have sent it to a trustee to proceed on foreclosure activities.

The loan is fairly late over 4 years worth, with one payment in a holding status.
So what I am wondering is

1 Do you think Bayview will be willing to work with us on a Mod
2. what happens to all the missed payments if they do decide to do a mod
3. There is a hearing date with the clerk of court for them to proceed to foreclosure, can I get this postponed or even halted altogether since we are trying to do a modification. Dual Track?
4. How long does it take all in all

We live in Mooresville, NC if that gives you any legal info
 
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Moe Bedard

Call 1-800-779-4547
Staff member
Loan Safe Mortgage
Aug 10, 2007
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Southern California
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Hello,

Yes, they will be willing to work with you because they already have worked with you. The problem is you are caught in their terrible loss mitigation model with bad customer service.

Your missed payments will most likely be applied to your mortgage balance which would raise it.

Yes, you can respond to the foreclosure notice and let them know that there is dual tracking going on.

You never know how long it will take. For example, you have been payment free for 4 years which is a long time. I have seen it as short as 4 months and as long as 7 years.
 
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dssciarretta

LoanSafe Member
Apr 7, 2017
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Hello,

Yes, they will be willing to work with you because they already have worked with you. The problem is you are caught in their terrible loss mitigation model with bad customer service.

Your missed payments will most likely be applied to your mortgage balance which would raise it.

Yes, you can respond to the foreclosure notice and let them know that there is dual tracking going on.

You never know how long it will take. For example, you have been payment free for 4 years which is a long time. I have seen it as short as 4 months and as long as 7 years.

ok so is dual tracking illegal since it is an FHA mortgage or is it legal in North Carolina? And if it is illegal then how do I address it with the Trustee?
 

Moe Bedard

Call 1-800-779-4547
Staff member
Loan Safe Mortgage
Aug 10, 2007
26,850
466
1,000
49
Southern California
www.loansafe.org
It is not illegal, it is just against the alleged rules.

This is what the CFPB says:

  • Restricted Dual-Tracking: Under the CFPB’s new rules, dual-tracking – when the servicer moves forward with foreclosure while simultaneously working with the borrower to avoid foreclosure – is restricted. Servicers cannot start a foreclosure proceeding if a borrower has already submitted a complete application for a loan modification or other alternative to foreclosure, and that application is still pending review. To give borrowers reasonable time to submit such applications, servicers cannot make the first notice or filing required for the foreclosure process until a mortgage loan account is more than 120 days delinquent.
  • Notification of Foreclosure Alternatives: Servicers must let borrowers know about their “loss mitigation options” to retain their home after borrowers have missed two consecutive payments. They must provide them a written notice that includes examples of options that might be available to them as alternatives to foreclosure and instructions for how to obtain more information.
  • Direct and Ongoing Access to Servicing Personnel: Servicers must have policies and procedures in place to provide delinquent borrowers with direct, easy, ongoing access to employees responsible for helping them. These personnel are responsible for alerting borrowers to any missing information on their applications, telling borrowers about the status of any loss mitigation application, and making sure documents get to the right servicing personnel for processing.
  • Fair Review Process: The servicer must consider all foreclosure alternatives available from the mortgage owners or investors – those with decision-making power over the loan – to help the borrower retain the home. These options can range from deferment of payments to loan modifications. And servicers can no longer steer borrowers to those options that are most financially favorable for the servicer.
  • No Foreclosure Sale Until All Other Alternatives Considered: Servicers must consider and respond to a borrower’s application for a loan modification if it arrives at least 37 days before a scheduled foreclosure sale. If the servicer offers an alternative to foreclosure, they must give the borrower time to accept the offer before moving for foreclosure judgment or conducting a foreclosure sale. Servicers cannot foreclose on a property if the borrower and servicer have come to a loss mitigation agreement, unless the borrower fails to perform under that agreement.
The mortgage servicing rules take effect in January 2014. The CFPB plans to work with mortgage servicers to ensure an easy transition to implementation. To help with compliance, the CFPB will, among other things, be issuing plain language implementation guides and, in coordination with other agencies, releasing materials that help servicers understand supervisory expectations. For many of the new rules that require specific notifications, the rule contains model and sample forms. As the effective date approaches, the CFPB will also give consumers information about their new rights under these rules.

Now, the question is what is the consequence of breaking these rules?

https://www.consumerfinance.gov/about-us/newsroom/consumer-financial-protection-bureau-rules-establish-strong-protections-for-homeowners-facing-foreclosure/
 

dssciarretta

LoanSafe Member
Apr 7, 2017
4
0
1
48
It is not illegal, it is just against the alleged rules.

This is what the CFPB says:

  • Restricted Dual-Tracking: Under the CFPB’s new rules, dual-tracking – when the servicer moves forward with foreclosure while simultaneously working with the borrower to avoid foreclosure – is restricted. Servicers cannot start a foreclosure proceeding if a borrower has already submitted a complete application for a loan modification or other alternative to foreclosure, and that application is still pending review. To give borrowers reasonable time to submit such applications, servicers cannot make the first notice or filing required for the foreclosure process until a mortgage loan account is more than 120 days delinquent.
  • Notification of Foreclosure Alternatives: Servicers must let borrowers know about their “loss mitigation options” to retain their home after borrowers have missed two consecutive payments. They must provide them a written notice that includes examples of options that might be available to them as alternatives to foreclosure and instructions for how to obtain more information.
  • Direct and Ongoing Access to Servicing Personnel: Servicers must have policies and procedures in place to provide delinquent borrowers with direct, easy, ongoing access to employees responsible for helping them. These personnel are responsible for alerting borrowers to any missing information on their applications, telling borrowers about the status of any loss mitigation application, and making sure documents get to the right servicing personnel for processing.
  • Fair Review Process: The servicer must consider all foreclosure alternatives available from the mortgage owners or investors – those with decision-making power over the loan – to help the borrower retain the home. These options can range from deferment of payments to loan modifications. And servicers can no longer steer borrowers to those options that are most financially favorable for the servicer.
  • No Foreclosure Sale Until All Other Alternatives Considered: Servicers must consider and respond to a borrower’s application for a loan modification if it arrives at least 37 days before a scheduled foreclosure sale. If the servicer offers an alternative to foreclosure, they must give the borrower time to accept the offer before moving for foreclosure judgment or conducting a foreclosure sale. Servicers cannot foreclose on a property if the borrower and servicer have come to a loss mitigation agreement, unless the borrower fails to perform under that agreement.
The mortgage servicing rules take effect in January 2014. The CFPB plans to work with mortgage servicers to ensure an easy transition to implementation. To help with compliance, the CFPB will, among other things, be issuing plain language implementation guides and, in coordination with other agencies, releasing materials that help servicers understand supervisory expectations. For many of the new rules that require specific notifications, the rule contains model and sample forms. As the effective date approaches, the CFPB will also give consumers information about their new rights under these rules.

Now, the question is what is the consequence of breaking these rules?

https://www.consumerfinance.gov/about-us/newsroom/consumer-financial-protection-bureau-rules-establish-strong-protections-for-homeowners-facing-foreclosure/

Thank you for this info, we have been submitting and submitting and resubmitting all docs that they ask for. It is so bad that I actually have a folder on my computer with all the extra docs just waiting to send it as soon as requested. Our asset manager said that if we keep sending in paystubs with out being asked that it resets the process for application. Also is it good that they asked for our insurance policy info and a letter saying my wife works year round, for some reason they thought she was a teacher.
 

Moe Bedard

Call 1-800-779-4547
Staff member
Loan Safe Mortgage
Aug 10, 2007
26,850
466
1,000
49
Southern California
www.loansafe.org
You are welcome. By the way, they do this be design to delay and run up the fees. I have seen this happen about 10,000 times over the last 10 years
 

dssciarretta

LoanSafe Member
Apr 7, 2017
4
0
1
48
You are welcome. By the way, they do this be design to delay and run up the fees. I have seen this happen about 10,000 times over the last 10 years
So our status changed today to read

The status changed from
"pending asset manager review" to "workout pending approval"

also now says "document review completed by underwriting"

What I am wondering about and want to know if this means we have a modification coming in the mail or if it is denied.
 

Moe Bedard

Call 1-800-779-4547
Staff member
Loan Safe Mortgage
Aug 10, 2007
26,850
466
1,000
49
Southern California
www.loansafe.org
The letter means that you are in the loan workout process which means you are neither denied nor approved at the moment and you may have a modification coming or n0t. If I were you, I would say this is a good sign and stay positive and patient.