Posted on: 17th Apr, 2008 05:25 pm
Will GMAC renegotiate your existing loan?
Hello I have a first and second loan with GMAC. I have a fixed interest only loan that does not adjust until 2010. I bought the home for $569,000 and did not expect home values to drop. Estimated value of the home is around 480-500 K.
I am current on both loans.
I was considering forclosure and buying another less expensive home but a friend suggest I try to renegotiate the loan with GMAC.
GMAC loss mitigation told me that because my loan was not up until 2010 they would not be able to assist me and if I could not afford the payments I should like the home for sale and they would possibly negotiate a short sale.
What I need to know if I become delinquent will they renegotiate my existing loan by lowering the balance as other companies would do to avoid forclosure?
If you are reading this and do not know GMAC policies please do not guess I am looking for someone who might actually know.
Thank you for your time.
Hello I have a first and second loan with GMAC. I have a fixed interest only loan that does not adjust until 2010. I bought the home for $569,000 and did not expect home values to drop. Estimated value of the home is around 480-500 K.
I am current on both loans.
I was considering forclosure and buying another less expensive home but a friend suggest I try to renegotiate the loan with GMAC.
GMAC loss mitigation told me that because my loan was not up until 2010 they would not be able to assist me and if I could not afford the payments I should like the home for sale and they would possibly negotiate a short sale.
What I need to know if I become delinquent will they renegotiate my existing loan by lowering the balance as other companies would do to avoid forclosure?
If you are reading this and do not know GMAC policies please do not guess I am looking for someone who might actually know.
Thank you for your time.
My family and I are facing an unjust Foreclosure for the SECOND time. Our court date is April 15th, 2009. We are mentally and physically exhausted, but refuse to lose our home. We have a Freddie Mac loan, serviced by GMAC Mortgage, which is a shame. Since early 2007, we have been a non-stop roller coaster ride with our servicer. We have found that everytime you call you will be given a different answer to the same question! We have found that one department has no idea what the other depatment is doing! We have found that deception is part of their morals! Even with the overwhelming amount of paperwork, records, notes, and research I have stacked up, we are running out of time. We have spoke with the HOPE helpline, over the course of two weeks, previous to this email. We spent hours explaining our complaints and situation. At first, even they made the impression of concern. Even stating, they would directly call Gmac. However, just a few days age, we got a call from HOPE, blankly stating, " you will need to seek legal advice:" We are considering hiring an attorney from Chicago, a having a full audit of our mortgage terms, etc. to be evaluated, even though it will be costly. Last year, the first time we went through this, sadly enough, we found ONE lawyer that would help us and said we had a good case. Unfortunetly, turned out his spouse was the judge on our case, so it was a conflict of interest. We are past the point of frustrated and according to online forums, we are not the only people GMAC is giving the run around to!! I did come across a website of interest, and called the number listed. I was told, to not pay them another cent, close my bank account, and look for three specific papers that should have been included in my closing papers, then call him back. I haven't made that call,,,yet, but did find it interesting that I have no "Right to Cancel" paper and that my "Truth in Lending" paper has a different interest rate than that of which was agreed upon. Just a few more items to add to the already extensive list of problems!!! Any help would be GREATLY appreciated, before my husband and I and our three small children soon will have no where to live. Lastly, in 2007, per GMAC, we were not, "eligible" under the new act by (ex)Pres. Bush. Which in Dec. of 08', per FEDMOD.gov, we were eligible! Now, per HOPE helpline, we don't "qualify", under the very new act by President Obama. So, what do we do? What's next?
And there's MORE to this story......
And there's MORE to this story......
Hi Ely,
I can understand that you are facing a tough situation.
It is quite surprising to me that your "Truth in Lending" paper has a different interest rate than that of which was agreed upon. Didn't you speak to the lender about it and clarified the issue?
As your property will go into foreclosure, I would suggest you to speak to the lender about a loan modification and check if he agrees to it or not. It will help you in saving the property. However, you should note that while giving you a new payment plan, the lender will add all your past due payments to the new monthly payment plan. This may increase your monthly payments.
I can understand that you are facing a tough situation.
It is quite surprising to me that your "Truth in Lending" paper has a different interest rate than that of which was agreed upon. Didn't you speak to the lender about it and clarified the issue?
As your property will go into foreclosure, I would suggest you to speak to the lender about a loan modification and check if he agrees to it or not. It will help you in saving the property. However, you should note that while giving you a new payment plan, the lender will add all your past due payments to the new monthly payment plan. This may increase your monthly payments.
Hi adonis.
We asked for a loan modification last year! However, in the middle of it, our house showed up in the newspaper for auction. We were never notified of a court date. The mod finalized cancelling the foreclosure upon our signature. We reluctantly signed it! We were only given 3 days to read through the new terms or it expired. Sadly enough! And yes they added it in and ten more yrs to our mortgage! We didnt have sufficient time to go over modified terms, clearly enough! To much confusing info and not enough time to seek legal services!
We asked for a loan modification last year! However, in the middle of it, our house showed up in the newspaper for auction. We were never notified of a court date. The mod finalized cancelling the foreclosure upon our signature. We reluctantly signed it! We were only given 3 days to read through the new terms or it expired. Sadly enough! And yes they added it in and ten more yrs to our mortgage! We didnt have sufficient time to go over modified terms, clearly enough! To much confusing info and not enough time to seek legal services!
Hi Ely,
A loan modification can increase the term of your loan because the lender will be reducing your interest rates. So, aren't you making the payments according to the new payment plan?
A loan modification can increase the term of your loan because the lender will be reducing your interest rates. So, aren't you making the payments according to the new payment plan?
GMAC are Mortgage Nazi's!!!!! They modified my home loan but we then found out they modified the loan incorrectly!!!They told us to gather all our financial info create a budget then submitt it to them. We did that but they admitted to us they used old account info instead to modify the loan. Since then they have ignored over 30 phone calls from me. Thinkng of a lawsuit next!!!!!!!! Already have sent complaints to Attorney Generals office (both Fed&State)BBB, State Rep's in my district, the Fed Reserve, and the Comptroller of Currency. Fraud is a crime!!! These people also received billions in Federal $$$$$
how gmac is responding to someone like me that is not my prime but iam going to hardship lost of income not be able to make up the differents between rent vrs margage are they working with investment propeties
You need to contact Gmac and check out if they are dealing with investment properties or not. With the turmoil in the real estate market, lenders have come up with new rules and regulatins. In order to get the correct information, contact the lender.
GMAC Mortgage has their hands tied. In order for them to be able to do a short sale, modification, or anything of the sort they have to receive approval from the investor of the loan. Thats why the process' take so long. Plus, the fact that everyone in the world is trying to get help. You people who live in $300,000 houses should maybe think you ARE living outside of your means and sell the property and cut your loses. No one needs a mansion to live in! You all should be thankful you at least have 4 walls and a roof over your head. Have you ever thought how much WORSE off you could be? Your just all mad because your not hearing what you WANT to hear. GMAC has to go by specific guidlines in order to do these things and you people just dont seem to understand that... wow.
I have been trying to do a short sale with GMAC and they are a nightmare to deal with. The have lost paperwork, ask for more, tell me it takes months to workout. I have been getting nothing but crap from them. I am mailing them the keys the home today....they can have it. BYEEEEEEEEEEEEEEEE
If you give them the key and walkaway from the property, the lender will foreclose it. It would badly effect your credit. It would be better if you could negotiate with the lender and ask them to speed up the process.
NO ONE KNOWS JUST HOW SCREWED UP GMAC IS!
You can't even get a valid E-mail address from this company!
AttorneyGeneral'sOffice
P.OBox629
Raleigh,NC27602
Ph: (919) 716-6400
GMAC Mortgage Corporation
100 Witmer Rd.
Horsham, PA 19044
USA
Dear Mr. Bier,
In trying to refinance my GMAC Mortgage in North Carolina the following concerns arose:
Subject to the provisions of G.S. 53 243.03, the Commissioner may, by order, prohibit licensees under this Article from engaging in acts and practices in connection with mortgage loans that the Commissioner finds to be unfair, deceptive, designed to evade the laws of this State, or that are not in the best interest of the borrowing public."
I know GMAC is currently condoning practices that are not in the interest of the borrowing public. They are providing misleading information to borrowers looking to resolve mortgage refinance/contract issues that causes unnecessary credit destruction.
I believe per the General Statutes chapter 14 118.12. Residential mortgage fraud is being carried out & applies to GMAC loan services division
(a) A person is guilty of residential mortgage fraud when, for financial gain and with the intent to defraud, that person does any of the following:
(1) Knowingly makes or attempts to make any material misstatement, misrepresentation, or omission within the mortgage lending process with the intention that a mortgage lender, mortgage broker, borrower, or any other person or entity that is involved in the mortgage lending process relies on it.
(2) Knowingly uses or facilitates or attempts to use or facilitate the use of any misstatement, misrepresentation, or omission within the mortgage lending process with the intention that a mortgage lender, borrower, or any other person or entity that is involved in the mortgage lending process relies on it.
Their loan modification department is currently misleading clients to STOP MAKING PAYMENTS in order to QUALIFY for assistance programs .
When full payment is made they do not reinstate delinquent loan notifications to credit agencies by retracting negative reporting that was a direct result of their program criteria.
They are in violation of N.C. GENERAL STATUTES – Chapter 53 Article 19A # 53-243.11 Prohibited Activities # (1) by misrepresenting requirements and influencing decisions associated with loan modification practices.
This all started with a request to refinance the existing loan to a lower rate.
GMAC customer service referred to refi department. Refinance department advised the only option was a loan modification since it would not appraise higher than the loan amount.
Loan modifications personnel on two occasions advised to get into the loan modification program you have to be in arrears for them to help. This was not true per the loss mitigation department discussions after complying with their criteria to be in arrears.
I believe this practice of deception may somehow be tied into a bigger picture to get funding from the federal government by showing a larger than required increase of delinquent mortgages.
Even though I have been current, GMAC continues to post false negative statements against my credit rating, latest being 2-28-09.
Any help you can provide to fix my credit report back to the high excellent rating it was and aid in lowering my existing interest rate to the current market rate would be much appreciated.
Thank you,
William
Oh, I didn't tell you the financial numbers I provided had to be changed at GMAC's coaching to BETTER my chances to get the loan modification. I should show a positive cash flow by a couple hundred dollars, no more than 5%, that would better my loan mod approval chances. All said and done the loan mod after the submittal was for the amount in arrears for $4300 at a lower interest rate. Needless to say I was slightly pissed.
Called today 7-21-09 to refinance and because I had been late (following their guidance) within the last 12 months they can't refinance.
Be aware if you short sale YOU HAVE TO THE PAY TAX ON THE DIFFERENCE between what you owe and what it sold for.
I personally think I'm going to let it get foreclosed and at the hearing ask them to produce the ORIGINAL contract with my signature. They are SO screwed up I doubt they can produce it. If they can't they can't foreclose. Let you know in several months to a year.
One other thought, this whole mess in the economy probably could have been stayed since the government owns Fannie Mae and Freddie Mac why couldn't they have set ALL existing mortages at say 4% instead of all the TARP and bailout money to the corporations? We who are funding this with our tax dollars would have benfited and the economy would have kept on cranking out. Think about it, if your interest rate for your mortgage(s) was 4% how much extra cash would you have been able to put into the economy? There would be a lot less unemployed and it would have been an IMMEDIATE stimulus. To simple I guess.
Good Luck
[E-mail address deleted as per forum rules. Thanks.]
AttorneyGeneral'sOffice
P.OBox629
Raleigh,NC27602
Ph: (919) 716-6400
GMAC Mortgage Corporation
100 Witmer Rd.
Horsham, PA 19044
USA
Dear Mr. Bier,
In trying to refinance my GMAC Mortgage in North Carolina the following concerns arose:
Subject to the provisions of G.S. 53 243.03, the Commissioner may, by order, prohibit licensees under this Article from engaging in acts and practices in connection with mortgage loans that the Commissioner finds to be unfair, deceptive, designed to evade the laws of this State, or that are not in the best interest of the borrowing public."
I know GMAC is currently condoning practices that are not in the interest of the borrowing public. They are providing misleading information to borrowers looking to resolve mortgage refinance/contract issues that causes unnecessary credit destruction.
I believe per the General Statutes chapter 14 118.12. Residential mortgage fraud is being carried out & applies to GMAC loan services division
(a) A person is guilty of residential mortgage fraud when, for financial gain and with the intent to defraud, that person does any of the following:
(1) Knowingly makes or attempts to make any material misstatement, misrepresentation, or omission within the mortgage lending process with the intention that a mortgage lender, mortgage broker, borrower, or any other person or entity that is involved in the mortgage lending process relies on it.
(2) Knowingly uses or facilitates or attempts to use or facilitate the use of any misstatement, misrepresentation, or omission within the mortgage lending process with the intention that a mortgage lender, borrower, or any other person or entity that is involved in the mortgage lending process relies on it.
Their loan modification department is currently misleading clients to STOP MAKING PAYMENTS in order to QUALIFY for assistance programs .
When full payment is made they do not reinstate delinquent loan notifications to credit agencies by retracting negative reporting that was a direct result of their program criteria.
They are in violation of N.C. GENERAL STATUTES – Chapter 53 Article 19A # 53-243.11 Prohibited Activities # (1) by misrepresenting requirements and influencing decisions associated with loan modification practices.
This all started with a request to refinance the existing loan to a lower rate.
GMAC customer service referred to refi department. Refinance department advised the only option was a loan modification since it would not appraise higher than the loan amount.
Loan modifications personnel on two occasions advised to get into the loan modification program you have to be in arrears for them to help. This was not true per the loss mitigation department discussions after complying with their criteria to be in arrears.
I believe this practice of deception may somehow be tied into a bigger picture to get funding from the federal government by showing a larger than required increase of delinquent mortgages.
Even though I have been current, GMAC continues to post false negative statements against my credit rating, latest being 2-28-09.
Any help you can provide to fix my credit report back to the high excellent rating it was and aid in lowering my existing interest rate to the current market rate would be much appreciated.
Thank you,
William
Oh, I didn't tell you the financial numbers I provided had to be changed at GMAC's coaching to BETTER my chances to get the loan modification. I should show a positive cash flow by a couple hundred dollars, no more than 5%, that would better my loan mod approval chances. All said and done the loan mod after the submittal was for the amount in arrears for $4300 at a lower interest rate. Needless to say I was slightly pissed.
Called today 7-21-09 to refinance and because I had been late (following their guidance) within the last 12 months they can't refinance.
Be aware if you short sale YOU HAVE TO THE PAY TAX ON THE DIFFERENCE between what you owe and what it sold for.
I personally think I'm going to let it get foreclosed and at the hearing ask them to produce the ORIGINAL contract with my signature. They are SO screwed up I doubt they can produce it. If they can't they can't foreclose. Let you know in several months to a year.
One other thought, this whole mess in the economy probably could have been stayed since the government owns Fannie Mae and Freddie Mac why couldn't they have set ALL existing mortages at say 4% instead of all the TARP and bailout money to the corporations? We who are funding this with our tax dollars would have benfited and the economy would have kept on cranking out. Think about it, if your interest rate for your mortgage(s) was 4% how much extra cash would you have been able to put into the economy? There would be a lot less unemployed and it would have been an IMMEDIATE stimulus. To simple I guess.
Good Luck
[E-mail address deleted as per forum rules. Thanks.]
I think it is best to use an attorney. They know the law and the deadlines that the bank must meet. If the bankers don't respond within the time frame specified by the law, the attorney knows the legal footing to defend your rights. The trick is to find a reliable attorney.
hi brenda,
you are going through a tough situation and your lender is not ready to help you as you're not employed. lenders want to check if you would be able to pay your debts after a loan modification. in your case, you aren't employed anymore, the lenders may feel that you won't be able to afford the payments.
filing a chapter 13 bankruptcy will help you in saving the property as your lender would give you a payment plan to pay off the mortgage dues. the payment plan will depend upon your financial situation. however, you should note that filing bankruptcy would badly affect your credit and would remain on your credit report for 10 years.
thanks
you are going through a tough situation and your lender is not ready to help you as you're not employed. lenders want to check if you would be able to pay your debts after a loan modification. in your case, you aren't employed anymore, the lenders may feel that you won't be able to afford the payments.
filing a chapter 13 bankruptcy will help you in saving the property as your lender would give you a payment plan to pay off the mortgage dues. the payment plan will depend upon your financial situation. however, you should note that filing bankruptcy would badly affect your credit and would remain on your credit report for 10 years.
thanks