Should I try to modify my arm loan?

well, walt, i have to say it's shameful that countrywide would treat you the way they've done. i suppose that from what i've heard in the not-too-distant past, that's not the most surprising thing in the world. surprising would be madoff giving back money or bush being contrite.
i digress...
i absolutely agree with you that $2400 is a lot of money to give to strangers who promise to do something that you ought to have been able to do on your own. my take - i would not do it. in my opinion, there are far too many firms out there who are willing to help without stripping you of your cash.
at the same time, i look at your overall income, and recognize that $2400 may be a risk you're willing to take, inasmuch as it represents such a small percentage of your income. i recall my own loss of about $1300 or so on an overseas trip that someone reneged on (and she's in jail now). i decided at that time that i couldn't cry over the loss, since i couldn't do anything about it anyway.
i said that to come back to this: your spending $2400 - a very personal choice, of course - is just that...a personal choice. if you feel it's worth the risk that you may be throwing away that money with no results but that it may indeed reap a benefit, then you may want to make that choice.
if i found myself in the same circumstances, i promise you i wouldn't do it.

and, of course, that post was mine...i forgot i had been logged out.

George,

Thanks for he input...I plan to talk it over with my wife. While we do have the money, I would much rather spend that money elsehwere..We work hard for that money! We are far from rich. It just burns me that we are even in thissituation when we simply applied for the remod to get a lower rate and they botched the entire deal now we are in this position.

On the other hand, the company we have been talking to has given us everything short of a guaranteee...I sent a final letter to Country Wide after they got the 2nd remod wrong too. They left me a robo-call last Thursday stating that they will get a new packet out to me within 5-days. Tomorrow will be the 5th day. We will see what happens.

If no success, I will be in a tight spot! If, however, I decide to do it and I have any degree of success with it, I will besure to let you know so that maybe referrals can be made to a reputable Remod Company based upon actual first-hand experience...

Thanks a again

- Walt

indeed, it's a pleasure to be of assistance where possible. you had me chuckling with your description of "everything short of a guarantee."

that might even be the best thing they're doing for you - not giving a guarantee. it seems that everyone in that industry makes a guarantee "or your money back (a little bit)."

I agree with George about paying 3rd party to modify your mortgage. so many companies have taken the borrowers money and do nothing to help them. one of my relative was a victim.
I bought my house in 2005 for 450K and today market is 350K. It's lucky that i got introduce to a workshop that they show me a lot of tips how to modify my own house. They have provided me all the forms and show me how to put the package together to send to the bank. Even they show me how to talk to them too. you know banks and lenders are difficult to talk to. sometimes, they give us attitude as well. but it was great to know how to do it on my own. i saved close to 40% on my payment now. And i just have to pay 100 bucks for the workshop. it's worth it. ANY COMPANIES HAVE ASKED TO PAY THEM UP FRONT TO MODIFY YOUR MORTGAGE IS A SCAM MOST OF THE TIME.

mina, i appreciate your taking the time to drop by and leave us your testimony. we see lots of posts from people who have been taken advantage of, but far too few of the kind of post you left, speaking about how successful you were by finding a true service to help you throught the modification process.

you are so right - upfront payments to third parties are often a scam.

i'm so sorry that you lost your mother and that this has put you into a financial bind. there are a couple of things to think about. first you say the loan was taken out in your mother's name. were you a co-signer? if not, it might be best to seek some legal help first. it sounds like the original loan agreement was between your mother and the lender. so even though you, as the survivor are the deed holder you may not be able to modify a transaction in which you did not originally take part. please understand i am not trying to provide legal advice since i am not an attorny and have no qualifications to give legal advice. i am however strongly suggesting that you sort out the ownership issues with the help of an attorny before you contact the bank and open up a whole can of worms. if you don't have funds for an attorny contact your state bar association and see if they know of any free or subsidized help services. also see if there are any non-profits that deal in homeownership and foreclosure issues. here is another option: instead of trying to refinance or go for a modification it might be better if you take in a roomate to generate extra income. i know it is a difficult thing to do - privacy is at stake and it's hard to have somebody you don't know and love living you your mother's old room. but given you situation it may be the most practica. it will help you make ends meet and it will allow you time to improve your own credit. i would also suggest that you set up the formal accounting system needed to verify your income for future transactions. if you do take in a roomate, have a formal lease in place and keep formal records of payments recieved. this means make photo copies of any checks, money orders or cashier's checks. do not take cash. you must have copies of payment documents and show corresponding bank deposits to have any lender look at that rental income as legitimate income. a receipt book alone will not serve the purpose. regarding loan modification companies: check with the department of financial institutions in your state to see if the company is licensed and registered to do business there. here in wa state for example, modifications can only be performed by licensed attornies, licensed consumer finance companies or licensed loan professionals. they cannot cross state borders so somebody licensed in oregon cannot do one in wa unless they carry licenses in both states. i repeat, they must have a license issued by the state in which the property is located. further, a loan originator is a loan professional but he or she must do the modification under the supervision of a licensed broker. a loan originator cannot take your modification to another company for whom he or she does not work(ie...another broker) or place it with an attorney. they may refer you to another broker or an attorney but they cannot touch the transaction or recieve any financial compensation if they refer it out. if a loan originator wants to be paid, the entire transaction must take place under the umbrella of the broker that sponsors/supervises that originator.