Posted on: 29th Dec, 2010 08:59 am
We were accepted in Making Home Affordable government program through Chase. We started paying then our loan was sold to LBPS who cashed one check then told us we had to go through modification through them and do not send any more checks. We had made to them a 2nd payment already and they returned that check. We are now facing foreclosure again. We were accepted once and had been making payments and sighned papers and sent them in but the new company is claiming papers were missing and the Congratulations letter is not valid. Since they cashed one check shouldn't that mean they have accepted at the prior modification?
Debbie,
You have a very valid point. Unfortunately, this is a problem that many homeowner's face with the typicall run-a-round from the servicing co. It's is very likely that docs when missing during the transition of servicers. Although I agree with you, trying to fight the lender no this issue is an uphill battle. Fell free to touch base with me if you have any other questions.
You have a very valid point. Unfortunately, this is a problem that many homeowner's face with the typicall run-a-round from the servicing co. It's is very likely that docs when missing during the transition of servicers. Although I agree with you, trying to fight the lender no this issue is an uphill battle. Fell free to touch base with me if you have any other questions.
Debbie,
You have a very valid point. Unfortunately, this is a problem that many homeowner's face with the typicall run-a-round from the servicing co. It's is very likely that docs when missing during the transition of servicers. Although I agree with you, trying to fight the lender no this issue is an uphill battle. Fell free to touch base with me if you have any other questions.
You have a very valid point. Unfortunately, this is a problem that many homeowner's face with the typicall run-a-round from the servicing co. It's is very likely that docs when missing during the transition of servicers. Although I agree with you, trying to fight the lender no this issue is an uphill battle. Fell free to touch base with me if you have any other questions.
Hi debbie_mann_ces!
Welcome to forums!
The new lender shouldn't have cashed out your first check if they had decided to not give you the home affordable modification program. In my opinion, you should contact an attorney and take his opinion in order to find out if you can take any legal actions against the lender.
Feel free to ask if you've further queries.
Sussane
Welcome to forums!
The new lender shouldn't have cashed out your first check if they had decided to not give you the home affordable modification program. In my opinion, you should contact an attorney and take his opinion in order to find out if you can take any legal actions against the lender.
Feel free to ask if you've further queries.
Sussane
Unfortunately, once a trial loan modification is in place and get's transferred to another servicing company, it is up to the new servicer if they will honor the original trial modification. They should, I have had this happen to so many clients from HOMEq, to Chase, to many other lenders... It is unfortunate but you may have to go through the process again. The trial modification is just that a trial not a set in stone loan modification. You can try to contact the attorney general in your state and write a letter complaining. There are no guidelines as of yet if you are approved for a trial that the servicer has to honor it.
READ BELOW THIS COMES FROM THE HAMP ADMIN MAKING HOME AFFORDABLE FOR NON GSE LOANS (NON GOVERNMENT BACKED LOAN)
1) you need to find out what time of loan you have (investor), if it is government backed like fannie mae, freddie mac etc... these guidelines may not apply to you
2) if your loan is NON government owned then keep reading:
1.4 Transfers of Servicing
When a participating servicer transfers or assigns mortgage loans, or servicing rights relating to mortgage loans, that constitute Eligible Loans pursuant to the SPA (servicer participating agreement), the transferee servicer must assume the transferors obligations under the SPA with respect to the transferred Eligible Loans.
A transferring servicer may not use a transfer to circumvent its existing obligations under the SPA. If the transferee servicer has signed its own SPA, the Eligible Loans involved in the transfer become subject to the transferee services SPA. If a transferee servicer has not signed its own
SPA, it will be required to execute an assignment and assumption agreement, the form of which is attached as an exhibit to the SPA.
A servicer may transfer an Eligible Loan free and clear of all SPA obligations only if one of the five circumstances set forth in Section 3.1 of Chapter II exists with respect to such loan, and any applicable response period has elapsed, unless a borrower with continued eligibility requests
consideration prior to the effective date of the servicing transfer. The transferee servicer is not required to execute an assignment and assumption agreement in order to transfer such loans. All incentive payments made after successful completion of the trial period will be made to the servicer of record, as indicated on the records of the Program Administrator for Treasury. When negotiating a servicing transfer, the transferor servicer and the transferee servicer should make
arrangements as appropriate to account for incentive payments accordingly.
READ BELOW THIS COMES FROM THE HAMP ADMIN MAKING HOME AFFORDABLE FOR NON GSE LOANS (NON GOVERNMENT BACKED LOAN)
1) you need to find out what time of loan you have (investor), if it is government backed like fannie mae, freddie mac etc... these guidelines may not apply to you
2) if your loan is NON government owned then keep reading:
1.4 Transfers of Servicing
When a participating servicer transfers or assigns mortgage loans, or servicing rights relating to mortgage loans, that constitute Eligible Loans pursuant to the SPA (servicer participating agreement), the transferee servicer must assume the transferors obligations under the SPA with respect to the transferred Eligible Loans.
A transferring servicer may not use a transfer to circumvent its existing obligations under the SPA. If the transferee servicer has signed its own SPA, the Eligible Loans involved in the transfer become subject to the transferee services SPA. If a transferee servicer has not signed its own
SPA, it will be required to execute an assignment and assumption agreement, the form of which is attached as an exhibit to the SPA.
A servicer may transfer an Eligible Loan free and clear of all SPA obligations only if one of the five circumstances set forth in Section 3.1 of Chapter II exists with respect to such loan, and any applicable response period has elapsed, unless a borrower with continued eligibility requests
consideration prior to the effective date of the servicing transfer. The transferee servicer is not required to execute an assignment and assumption agreement in order to transfer such loans. All incentive payments made after successful completion of the trial period will be made to the servicer of record, as indicated on the records of the Program Administrator for Treasury. When negotiating a servicing transfer, the transferor servicer and the transferee servicer should make
arrangements as appropriate to account for incentive payments accordingly.