Posted on: 20th Dec, 2009 05:13 am
1) I just received my loan mod and the rate went from 6.5 to 5.375. Can I negotiate a better rate in today's economy? If so, how - or - is this a good rate that I should accept?
2) They changed my loan maturity date from 2031 to 2040. Can I request the maturity date not be extended so long? I'm 3 payments behind as of now - so adding 9 years to the loan life is a detriment for me. On the other hand, I will be saving $100 per month and will have a bigger tax write off with the interest I will be paying, so could it also be worth it in an odd way in the long run?
3) Their new figures don't add up. Docs, dated 12-15, don't reflect a 12-15 payment I made. I've brought this to their attention by phone and am requesting in writing they re-do the loan mod. Should I stop making payments altogether now so there is no confusion as to exactly what is owed?
4) I've done the math - I know what is owed to bring my loan current as of today. Since the loan mod's 1st payment is due 3-1-10 I included payments due for 1-1-09 & 2-1-09 to come up with the figure that should be added to my current total principal amount due. My calculation is $2,000 less than theirs. I realize there are misc fees involved here, but do they typically add up to an extra $2,000 tacked on to your loan amount?
2) They changed my loan maturity date from 2031 to 2040. Can I request the maturity date not be extended so long? I'm 3 payments behind as of now - so adding 9 years to the loan life is a detriment for me. On the other hand, I will be saving $100 per month and will have a bigger tax write off with the interest I will be paying, so could it also be worth it in an odd way in the long run?
3) Their new figures don't add up. Docs, dated 12-15, don't reflect a 12-15 payment I made. I've brought this to their attention by phone and am requesting in writing they re-do the loan mod. Should I stop making payments altogether now so there is no confusion as to exactly what is owed?
4) I've done the math - I know what is owed to bring my loan current as of today. Since the loan mod's 1st payment is due 3-1-10 I included payments due for 1-1-09 & 2-1-09 to come up with the figure that should be added to my current total principal amount due. My calculation is $2,000 less than theirs. I realize there are misc fees involved here, but do they typically add up to an extra $2,000 tacked on to your loan amount?
Hi Spinner,
You can definitely contact the lender and apply for better rates. However, it would be the lender's discretion whether or not he would accept your request. If you can afford the new payments that have been offered to you, then you should go for it.
Though you're 3 payments behind, your interest rate has also been reduced due to the new payment plan offered to you. In order to recover the dues, the lender has extended the loan maturity date from 2031 to 2040. If you do not want the extension of your loan maturity date, you will have to make extra payments towards the loan.
I don't think you should stop your mortgage payments. In my opinion, it would be better to inform the lender about the confusion in writing and get things cleared. If you've any confusions regarding calculations, you should speak to the lender and clarify them.
You can definitely contact the lender and apply for better rates. However, it would be the lender's discretion whether or not he would accept your request. If you can afford the new payments that have been offered to you, then you should go for it.
Though you're 3 payments behind, your interest rate has also been reduced due to the new payment plan offered to you. In order to recover the dues, the lender has extended the loan maturity date from 2031 to 2040. If you do not want the extension of your loan maturity date, you will have to make extra payments towards the loan.
I don't think you should stop your mortgage payments. In my opinion, it would be better to inform the lender about the confusion in writing and get things cleared. If you've any confusions regarding calculations, you should speak to the lender and clarify them.