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Information on Mortgage Modification and Credit Impact

Posted on: 16th Jun, 2009 10:37 am
I have excellent credit and am six years into a 30 year fixed mortgage. I have never missed nor been late on my payments. I was recently laid off and decided to explore a workable solutions option that my motgage company was offering. They are offering me an option of reducing my payments by 20% given my payment history and my current financuial situation. I asked if thiswould affect me adversely from my credit rating standpoint. And they said it would only show that I was in a payment plan with my mortgage company. My question: Will this have any adverse affect on my credit score? I ask because I have worked very hard at keeping my credit at a top level and wouldn't want any help that would hurt me. Your response wuld be greatly appreciated.
Sunil,

We can no longer take you seriously. Your posts regarding your personal situation do not make any sense and they contradict one another. Here you say that you have excellent credit. However, this other post http://www.mortgagefit.com/predeal/about22301.html indicates that your score is near 520.

You also say that you are six years into your 30 yr loan when this other post http://www.mortgagefit.com/predeal/about23271.html says that you refinanced last year and you have poor credit.

Please stop wasting our time.
Posted on: 16th Jun, 2009 08:21 pm
Good catch Eric

You could make out from his multiple posts that he was just wastign every ones time
Posted on: 16th Jun, 2009 10:17 pm
Geni

Exactly !! guys like that come and go around here.
Posted on: 17th Jun, 2009 05:45 pm
It may be situation occured about my friend, I am refering as my situation thats all.
I am here to get more knowledge in different scinario so i am asking such queries which my friends discuss with me. Through this forum i am guiding them properly.
I will thanks forum for simplifying some tedious quries of my friends though i reffer those queries as mine, Not want to mension their identity.
Posted on: 18th Jun, 2009 10:14 am
Sunil,

Nobody has this many mortgage questions. You have over 250 posts in 6 weeks.

Why dont you tell your friends about MortgageFit and they can come here and ask the questions themselves?
Posted on: 18th Jun, 2009 05:49 pm
eric1

Good suggestion

Good luck every one
Posted on: 20th Jun, 2009 09:59 am
My best friend is in the process of a nasty divorce. She will be left with astronomical credit card debt. As she still has 2 children at home,she is trying to save her house by looking at a loan modification. She has been advised by her husbands attorney that she cannot file bankruptcy and apply for a mortgage loan modification at the same time. Is this true? Or is the other attorney just blowing smoke?
Posted on: 09th Dec, 2009 07:08 pm
hi,

is your friend filing bankruptcy chapter 7? if she is, then she will have to reaffirm the mortgage and make payments on time. after reaffirming the loan, she can apply for a loan modification. if it is chapter 13 bankruptcy, she will have to follow a repayment plan to pay off her debts. she can apply for the loan modification and then, once it is accepted she can file bankruptcy and continue making payments as per the modification plan.
Posted on: 10th Dec, 2009 05:54 am
Posted on: 13th Mar, 2010 11:31 am
Hi Guest,

You have understood the loan modification program correctly. It is program for those who are facing hardship in paying off their mortgage dues. The lenders offer this program to the borrowers depending upon their financial situation. Lenders won't accept a modification request for those who are financially well off to pay off the mortgage dues.

Thanks
Posted on: 15th Mar, 2010 02:18 am
does this effect your credit score
Posted on: 20th Mar, 2010 10:53 am
I guess, you're speaking about loan modification. It does affect credit score to some extent - your score may get reduced by around 50 points.
Posted on: 22nd Mar, 2010 03:56 am
In the divorce decree he was to refinance into his own name or sell the house. We have a 10 year old son. I live in an apartment. He did not qualify to refinance as he makes less than me. He did however get a loan modification, but they wouldn't do it without leaving my name on it and like a dummy I signed it so our son has a place to be. My question is this: Would the judge look at me like I was crazy if I tried to enforce the decree when I signed the loan modification after the divorce was final? He is planning on getting married in august and I want my name off the loan.
Posted on: 25th Jan, 2011 06:57 am
Hi Guest,

Unless your ex-husband refinances the mortgage in his name, you will remain liable for paying off the dues. So, you should ask your ex to refinance asap. If he doesn't do so, then you can take legal help in this matter.
Posted on: 25th Jan, 2011 10:43 pm
Greetings,
In reading your responses to alot of posts, I am understanding that a loan modification sounds better than a refinance? I am experiencing a hardship as well, I have two properties, one primary and the other one is rental that is now empty. I took a position in another state and I have both homes on the market since April and July 2011 to no avail (no bites). I also have very good credit score and do not want my rating damage. But financially it is tight. 2 mortages, 1 rent (another State) utilities for all three, credit card etc.
Posted on: 26th Dec, 2011 09:48 pm
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