Coronavirus And How To Get Help On Your Mortgage

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Erik Sandstrom

Mortgage Expert - Call 1-619-379-8999
Staff member
Loan Safe Mortgage
Jan 14, 2011
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San Diego, California
www.loansreduced.com
Thank you all for contributing to this thread, it seems there isn't a common ground between mortgage servicers and my only assumption is that all will follow suit here shortly. I'm not sure I would accept a plan with a deferment due at the end of the 3 months unless it's something absolutely necessary. As this is all very new, I have hope that they just need training on what we are able to get as homeowners.
 

OneHugeMess

LoanSafe Member
May 30, 2016
597
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I called NewRez/PHH/Ocwen/Whatever and they gave me the same spiel. My Investor is not allowing a permanent forbearance, but I could take advantage of a 90-Day Foreborance with the amount due in the 4th Month. I would also be requested to fill out a "Request for Mortgage Assistance" Form (RMA) - and... they are unsure, if late fees would be assessed for my account. The Rep also told me that I had a very good modification, and they probably can't do anything for that loan. That's fair I guess. They were unsure about credit reporting - would work as well.

Select Portfolio Servicing told me this on Tuesday -

I've already spoken with them about a loan in FL. They told me they were offering forbearance plans for select accounts, including mine - but... at the end of the three months, or whatever forbearance period you get -- the ENTIRE amount becomes due all at once. They will also report to the Credit Bureaus that your loan is in forbearance, and you are not making payments.

My loan with them is a Non Fannie Mae/Freddie Mac loan, that is a ARM. They said that certain customers with Federally Insured Loans will get better assistance, and that I should try to call back in two-weeks and see if there are additional programs.

If you want my advice -- I would record all the phone calls you make to them (some states do not require consent or a warning that your recording) and... I would try to get anything in writing, if possible. I would also be very cautious, because, once your 90-Days Delinquent... it's very hard to catch up, and they can start the Foreclosure Process.

I would try to hold out, or wait for a forbearance with the arrears added onto the end of the loan (Balloon Payment) or, some sort of Loan Modification. I wouldn't take the current forbearance they are offering.
 

Gaucho

LoanSafe Member
Jul 25, 2013
28
1
3
I completely agree OneHugeMess!
During my research I saw that BofA is giving a 3 month deferral which tacks on to the end of the mortgage term. I hope everyone else follows suit.
Actually, BofA is doing the same thing as Chase. It's a forbearance for 3 months then, on the 4th month you can "ask" for it to be deferred and tacked onto the back of your loan. But, it's at their discretion w/no guarantees which in turn adds to the stress we are already feeling.
 

Jeffrey L. Shurtliff

LoanSafe Member
Dec 4, 2010
3,823
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View attachment 152

Have you suffered a loss of income during this Covid-19 pandemic?

If you have, you may qualify for a variety of programs being offered by Fannie Mae, Freddie Mac, Ginnie Mae (FHA), VA and USDA. Mainly government programs will and or have started participating in a program allowing payment relief.

Fannie/Freddie have announced (as long as you qualify) that you may be able to make reduced monthly mortgage payments or be given a relief up to 12 months of the mortgage payment.

You can also obtain full relief but the payments missed or put into forbearance (tacked onto the end of the term) in many cases may have to be paid back once the forbearance ends. That is still up in the air with how it will be handled and assuming it will be a case by case basis similar to what occurred back in 2008.

All it takes right now is a phone call to the company you make your payments to. You may experience long hold times but definitely reach out. Do not just stop making your mortgage payments!

*During these times like 2008, guidelines will and continue change on a daily basis. Lenders are pulling back on product offerings. What is true today may not be true tomorrow. Call us at 800-779-4547 if you have been impacted to see how we can help*
This is a rerun of ten years ago when millions lost their homes. Once you enter into loss mitigation with a bank on your mortgage the chances of getting a modification are very slim. Especially if you recently bought a home at the high inflated prices. If your home goes into foreclosure the first thing someone wants to do is sue to stop foreclosure. Especially in a non judicial state. The best thing is defense. A suit will fail in the courts under rule 12B standard an affirmative defense, "Failure to State a claim for relief to be granted" Once in default the lender has the authority to foreclose as the borrower defaulted the contract first. Beware of asking an attorney to get a loan mod. It won't work. After foreclosure, the home will be turned over to a real estate agent and a Notice to quit will be issued to you. If you do not leave the home then an unlawful detainer will be filed against you. IF you can find a technical mistake in the foreclosure showing non compliance with your state foreclosure laws, then you can get the unlawful detainer dismissed sometime with prejudice. If you are in a a Judicial Foreclosure state then you have more time about 2 years before you will have to move. If you are behind on your payments let the bank call you. The best to all!
 

lmg9512

LoanSafe Member
Mar 12, 2020
14
3
3
I was told the credit reporting was put on hold for everyone. So my guess no late payments will be reported for a few months. If you go on their website and fill out the paperwork for "help" you can email that in and get things started. I was working with them before all this started. Once you turn in paperwork you get 1 person to work with. They seem receptive so far. But I do think we will have to push a little on the 3 months due. I will just make sure I am never 89 days late while we are applying for help.

As far as late fees. After the RMA assistance paperwork is turned in your late fees get suspended while they review the paperwork. At least that is how it worked for us. They have not charged us any late fees.


I called NewRez/PHH/Ocwen/Whatever and they gave me the same spiel. My Investor is not allowing a permanent forbearance, but I could take advantage of a 90-Day Foreborance with the amount due in the 4th Month. I would also be requested to fill out a "Request for Mortgage Assistance" Form (RMA) - and... they are unsure, if late fees would be assessed for my account. The Rep also told me that I had a very good modification, and they probably can't do anything for that loan. That's fair I guess. They were unsure about credit reporting - would work as well.

Select Portfolio Servicing told me this on Tuesday -
 

lmg9512

LoanSafe Member
Mar 12, 2020
14
3
3
So basically once you are in "loss mitigation" as you put it the bank won't even work with you on a forbearance? Especially considering job loss and furlough with the Covid 19? I just don't understand if you are 60 days late why they wouldn't want to work with you to catch up. They would rather just take the house for being 60 days late?


This is a rerun of ten years ago when millions lost their homes. Once you enter into loss mitigation with a bank on your mortgage the chances of getting a modification are very slim. Especially if you recently bought a home at the high inflated prices. If your home goes into foreclosure the first thing someone wants to do is sue to stop foreclosure. Especially in a non judicial state. The best thing is defense. A suit will fail in the courts under rule 12B standard an affirmative defense, "Failure to State a claim for relief to be granted" Once in default the lender has the authority to foreclose as the borrower defaulted the contract first. Beware of asking an attorney to get a loan mod. It won't work. After foreclosure, the home will be turned over to a real estate agent and a Notice to quit will be issued to you. If you do not leave the home then an unlawful detainer will be filed against you. IF you can find a technical mistake in the foreclosure showing non compliance with your state foreclosure laws, then you can get the unlawful detainer dismissed sometime with prejudice. If you are in a a Judicial Foreclosure state then you have more time about 2 years before you will have to move. If you are behind on your payments let the bank call you. The best to all!
 

rogers29

LoanSafe Member
Feb 18, 2009
18
0
1
I started a COVID-19 loan help with Cenlar I was with Citi i guess they do their mortgage administration. I am with Freddie. What will they offer and If i don't offer like can i stay on my current and try paying which is hard but i dint want to come up with lumo sumo..
 

Jeffrey L. Shurtliff

LoanSafe Member
Dec 4, 2010
3,823
139
63
I started a COVID-19 loan help with Cenlar I was with Citi i guess they do their mortgage administration. I am with Freddie. What will they offer and If i don't offer like can i stay on my current and try paying which is hard but i dint want to come up with lumo sumo..
Freddie offers help sometimes however it is up to the servicer of the loan if you are going to get help.
 

Jeffrey L. Shurtliff

LoanSafe Member
Dec 4, 2010
3,823
139
63
So basically once you are in "loss mitigation" as you put it the bank won't even work with you on a forbearance? Especially considering job loss and furlough with the Covid 19? I just don't understand if you are 60 days late why they wouldn't want to work with you to catch up. They would rather just take the house for being 60 days late?
It is up to the bank. Understand the bank is an "it". It is a citizen and is unconscionable.
 

just_me

LoanSafe Member
Sep 14, 2015
643
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28
This all sounds so familiar... Let's review the possibilities. 3 mo deferral and balloon of past due appears to be current offer. This looks like kicking the foreclosure can down the road. They may capitalize it. Increase payments. I would venture to say this will all involve repeat applications as these request (per last round) expired and needed a new 3 month history. Hmm.

My suggestion is to put things in writing. Such as "Per our recent phone call on (date/time) I requested assistance and have returned your requested information. I would like to modify at the end of this temporary forbearance by (state your offer). This is a legal request to defer any foreclosure for 6 months."

Realize you got 6 months (see links below). With COVID19 and everthing going on... This is SLOW PAY not NO PAY. If they take anything less than full amount, put whatever amount you have into your own personal "escrow account" savings plan so you have a lump sum to negotiate with or prevent capitalization of past due. Some people have successfully created "rolling late pays" to prevent the full 6 month past due requirement for foreclosure. Is this the new WHEEL?