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How can I tell if my mortgage was written to hurt me?

Posted on: 19th Nov, 2010 08:44 pm
I just am finishing through a loan modification program, where the out come is they are going to make my loan current and INCREASE my payments. The women I spoke to said my income is too much and the way my loan was written on the last page of the document, they are unable to lower the interest rate and extend the length of the loan. They also said it is a "NEW loan", it originated in June of 2007. The company is MGC Mortgage.

I had started the modification process with HSBC however they were in the midst of selling my loan and dragged their feet until they could not help me because the loan was being sold. They had also told me though previously because the way the loan was written they were not "allowed" to modify it and to call back in a few weeks to see if things changed. The original company I financed through was New Day Financial, LLC.

I am not sure where to go to from here. Any suggestions?
Hi nijoal,

In case of a loan modification, the lenders normally reduce the mortgage interest rate and give you a longer term to pay off the loan. However, in your case, this has not happened. Moreover, the lender is also calling it a new loan. In my opinion, you should speak to your lender and ask him to clarify the whole matter.

Thanks
Posted on: 20th Nov, 2010 12:50 am
Thanks! I am going to contact them on Monday as I want them to tell me exactly what was the last page that does not allow them them to modify the mortgage, if they are charging me for appraisal fees they scheduled, & late and other fees they tacked onto the loan.
Posted on: 20th Nov, 2010 10:49 am
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