Posted on: 09th May, 2010 08:23 am
Our Mortgage lender Wachovia/Wells Fargo suggested we take a 3 month forbearance on our fixed 30 yr mortgage, while we filed for HAMP Loan Modification-which after 9 agonizing mos was denied to us. We were not behind but were struggling, so I accepted the Forbearance. However, since we started payments again since Sept 09, I noticed every payment we make goes towards interests nothing to Principal. I called Wells Fargo yesterday and asked why, they said because of the forbearance every payment from 9/09 to ??? I have to pay late fees and interest fees to Lender which will probably go on for 2 yrs. So nothing is going into Principal. They never advised me of this when they offered Forbearance. I back to square 1. now I owe even more. I'll never get caught up. I was late 2 payments March & April because I'm still struggling. So anyways, I feel like I was duped by Wachovia/Wells Fargo. Does anyone out there know if this even legal????Help!!!!!
Welcome les,
Forbearance doesn't mean that your dues have been forgiven. Under that plan, your dues were suspended for a certain period of time. These dues would get accumulated and you would be responsible for paying them off with time. Thus, the lender is charging you the fees and interest. I don't think there is anything illegal in this.
Forbearance doesn't mean that your dues have been forgiven. Under that plan, your dues were suspended for a certain period of time. These dues would get accumulated and you would be responsible for paying them off with time. Thus, the lender is charging you the fees and interest. I don't think there is anything illegal in this.