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Kicked out of Loss Mit for questioning Loan Mod

Posted on: 06th Jan, 2010 05:44 pm
I got my loan mod papers w/instructions to sign & send back in pre-paid UPS envelope. The figures didn't look right so I call, but get no real answers. Next day I call again hoping to speak with someone different, but again, no real answers. However, this time I was told to put all my questions in writing and send it to a different address than the UPS envelope. I specifically asked if I was at risk of foreclosure by doing this & was told "No - as long as you are in the Loss Mit dept. you won't be foreclosed on."

I type up my questions immediatly, adding "I still want to do the loan mod, but I want my questions answered before I sign anything". I gave them my work & home number & sent my letter to both addresses on via overnight mail on 12-21.

I never heard from them so I call again. Now I'm told I'm no longer in the Loss Mit dept because I did not sign the loan mod papers. They say I defaulted on the agreement by not signing. They have my letter, but it has no bearing to them.

Did they violate any laws by disregarding my letter? Don't I have the right to question the loan mod figures and ask for an explanation?
Hi Spinner,

You should first check out whether or not the lender received your letter. You definitely have the rights to ask questions regarding loan modification. However, you should also have to sign the required documents on time in order to receive modification. I would suggest you to speak to your lender and reapply for a modification.

Thanks
Posted on: 06th Jan, 2010 08:30 pm
Hopefully this is not a repeat post - I don't know what happened to my response.

Some feedback:

They did receive the letter - they admitted that when I spoke w/them today.

I didn't want to sign anything when I thought there might be errors in their calculations. If I signed I would be agreeing to their terms despite my concerns.

When I asked about redoing the loan mod they said I had to start all over by going back to the collections dept. Collections dept set up a repayment plan which I reluctantly agreed to. The repayment plan means nearly double monthly payments for 4-5 months. My ex husband just lost his job so in a few months child support may be a lot less.

I just don't understand why they ignored my letter and instead decided I broke the agreement.
Posted on: 06th Jan, 2010 09:43 pm
Hi Spinner!

Welcome back to forums!

Did you clarify as to why they ignored your letter? If not then you should have clarified it. You should have informed that you didn't broke the agreement but you just wanted a better plan to pay off the loan. Now, as you're redoing the modification, you'll have to follow the new terms and conditions.

Feel free to ask if you've further queries.

Sussane
Posted on: 07th Jan, 2010 10:35 pm
Thanks Sussane

I was on the phone with the loss mit dept for nearly an hour trying to find out why they ignored my letter. They kept repeating that since I did not sign the loan mod papers I broke the agreement. It makes no sense to me.

They put me back to collections to set up another repayment plan. I kept saying I didn't want to do that - I wanted to do the loan mod, I just had some questions, and they kept saying that I'm no longer in loss mit & I have to start over with a repayment plan.

I'm really confused as to why they handled it this way.
Posted on: 08th Jan, 2010 02:59 pm
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