Wells Fargo let me schedule payment that will process after 120-days past due has passed?

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WillySmith

Guest
Does the fact that they let me do this over the phone mean they will accept that payment and then the loan will drop back down to <120 days past due and they are OK with that?
 

OneHugeMess

LoanSafe Member
May 30, 2016
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You know... I would be very cautious with this. Generally, around the 120-Day Mark... they begin the process of "Acceleration" meaning, they demand the entire loan balance + past due interest & fees, at once. I would try to get into a modification, or talk about having the past due payments rolled into a payment plan.
 
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WillySmith

Guest
Thank you. I forgot to mention that I also just started the review process for modification. The intake person told me that "single payments would be accepted as long as foreclosure has not started". I started the modification process and scheduled the future payment both prior to hitting 120 days; though the payment will not process until after the 120 day mark. My thinking was that I could always cancel the payment if they approve mod quickly. Thoughts?
 

just_me

LoanSafe Member
Sep 14, 2015
497
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Thank you. I forgot to mention that I also just started the review process for modification. The intake person told me that "single payments would be accepted as long as foreclosure has not started". I started the modification process and scheduled the future payment both prior to hitting 120 days; though the payment will not process until after the 120 day mark. My thinking was that I could always cancel the payment if they approve mod quickly. Thoughts?
You can always have your bank schedule the autopayment instead and then have some control over the process. (take over the rolling late payments yourself) Why wait until *exactly* that date? You can or should be able to make any payment at any time if they will accept such.

I'm sorry, but this may be some sort of "good faith" requirement that I am not comfortable with. Why? because they now have your banking account numbers and may take more without your knowlege. (collections departments are like this) If I could alter that deal to being in control of the automatic payment, I certainly would. They probably had you sign forms for this, I would review that and see if this is part of a requirement for the mod, or not. Beware. Watch for charges (by the bank) that could cause missed payments too. They may want control so they can freely add fees. Stay a couple months ahead ( 2 payments) of this 120 day mark if you can (due to ability for bank to add fees to make your payment late).
 

just_me

LoanSafe Member
Sep 14, 2015
497
36
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The mod will likely take 1-3 months. If they agree to a fixed amount as payment for future autopays (say your potential future modification payment) then I would be okay with that. I actually did do a similar approval over the phone (some time ago). However the final mod took a year and lots of complaints on the prolonged credit damage and higher interest being paid for with these delays. This was some time ago and yes they got sued for this practice.