Posted on: 07th Mar, 2009 07:44 pm
I am in WV:
I a letter from Wells Fargo who holds our HELOC. I am 4 months past due to them. Our 1st mortgage was in forbearance for several months and we just made our first payment to them in February. Wells is advising that I owe over $1500 on 3/9. I called to make some sort of arrangement with them as I had done in December when I received a similar note ("Notice of Intent to Cure"). In December, I was connected to the 'reaging' department who told me to make my past-due payments on-time for 3 months & then call back to have the account 'reaged.' I have only been able to make the Oct '08 pmt so far and did not call them back as yet.
When I spoke with the Recovery Department rep today, he told me that they had to have the $1500 by 3/9 or the account will be 'charged-off'. I asked him why I had received the same sort of notice in Dec but had not [been able to] pay the amount requested and the mortgage was not charged-off then. He started dancing around a little and told me that 'someone must not have realized you were not making the complete payment. Once you pay ANYTHING towards the amount, they have to start all over and send another intent to cure note.' Did I discover some loophole?? For the record, I made my payment online.
But there's more ... as we were wrapping the call, he asked me if there was anything else he could do and offered me his direct phone number. I said to him, 'I'm not going to be able to make the $1500 pmt so I doubt I'll have the need to speak with your department in the future." (This is where it got interesting for me) He kept saying that "I can't say MUCH yet because the account has not charged off, but, it would actually be somewhat of a GOOD THING if it did charge-off. There would be at least 2 and maybe 3 other things we could do."
Does anyone have any idea what he may be referring to? Any ideas what I should do? I do hate this so much. For the record, we want to keep our home and we want to pay what we owe. We are not trying to run out on our debts. My husband's employer eliminated overtime which was unfortunately something I had come to depend on with the increased gas and food prices. Feeding a family of 5 (3 boys) became quite expensive! We went through all savings and credit cards and was left with no cushion.
Please let me know if you need further information. I am hoping for some good insight before Monday if possible. What I want to do is pay even $100 on Monday with additional to be paid on Wednesday 3/11. It will likely not equal a month's payment but it would be that SOMETHING towards the amount due that the Wells Fargo rep mentioned, I suppose?
Thanks in advance.
I a letter from Wells Fargo who holds our HELOC. I am 4 months past due to them. Our 1st mortgage was in forbearance for several months and we just made our first payment to them in February. Wells is advising that I owe over $1500 on 3/9. I called to make some sort of arrangement with them as I had done in December when I received a similar note ("Notice of Intent to Cure"). In December, I was connected to the 'reaging' department who told me to make my past-due payments on-time for 3 months & then call back to have the account 'reaged.' I have only been able to make the Oct '08 pmt so far and did not call them back as yet.
When I spoke with the Recovery Department rep today, he told me that they had to have the $1500 by 3/9 or the account will be 'charged-off'. I asked him why I had received the same sort of notice in Dec but had not [been able to] pay the amount requested and the mortgage was not charged-off then. He started dancing around a little and told me that 'someone must not have realized you were not making the complete payment. Once you pay ANYTHING towards the amount, they have to start all over and send another intent to cure note.' Did I discover some loophole?? For the record, I made my payment online.
But there's more ... as we were wrapping the call, he asked me if there was anything else he could do and offered me his direct phone number. I said to him, 'I'm not going to be able to make the $1500 pmt so I doubt I'll have the need to speak with your department in the future." (This is where it got interesting for me) He kept saying that "I can't say MUCH yet because the account has not charged off, but, it would actually be somewhat of a GOOD THING if it did charge-off. There would be at least 2 and maybe 3 other things we could do."
Does anyone have any idea what he may be referring to? Any ideas what I should do? I do hate this so much. For the record, we want to keep our home and we want to pay what we owe. We are not trying to run out on our debts. My husband's employer eliminated overtime which was unfortunately something I had come to depend on with the increased gas and food prices. Feeding a family of 5 (3 boys) became quite expensive! We went through all savings and credit cards and was left with no cushion.
Please let me know if you need further information. I am hoping for some good insight before Monday if possible. What I want to do is pay even $100 on Monday with additional to be paid on Wednesday 3/11. It will likely not equal a month's payment but it would be that SOMETHING towards the amount due that the Wells Fargo rep mentioned, I suppose?
Thanks in advance.
Hi DGC,
As far as I know, in case of a charge off, the lender will sell off the mortgage to a third party collection agency who will in turn collect the dues from you. You will not be responsible to make the payments to the lender. You should also note, once the mortgage is charged off, it becomes an unsecured debt for you.
"He kept saying that "I can't say MUCH yet because the account has not charged off, but, it would actually be somewhat of a GOOD THING if it did charge-off. There would be at least 2 and maybe 3 other things we could do." "
Well, I did not understand what he exactly wanted to say by this. I would suggest you to speak to the representative once again and ask him to explain the 3 things that could be done in your case.
Thanks
As far as I know, in case of a charge off, the lender will sell off the mortgage to a third party collection agency who will in turn collect the dues from you. You will not be responsible to make the payments to the lender. You should also note, once the mortgage is charged off, it becomes an unsecured debt for you.
"He kept saying that "I can't say MUCH yet because the account has not charged off, but, it would actually be somewhat of a GOOD THING if it did charge-off. There would be at least 2 and maybe 3 other things we could do." "
Well, I did not understand what he exactly wanted to say by this. I would suggest you to speak to the representative once again and ask him to explain the 3 things that could be done in your case.
Thanks
Thank you for your reply. So then, there have not been any changes to the laws since 1/20 that would have allowed for 'other' options?
Finally, do you feel that I could make a smaller than requested payment and still hold off for another 30 days? I hope to be able to pay what they are asking but, honestly, I have to go grocery shopping today. Sad but true.
Thank you - this seems to be a very helpful forum!
Finally, do you feel that I could make a smaller than requested payment and still hold off for another 30 days? I hope to be able to pay what they are asking but, honestly, I have to go grocery shopping today. Sad but true.
Thank you - this seems to be a very helpful forum!
<<You>>
Evidently, I am processing a bit slowly today. I want to be certain that I understand; if it becomes an unsecured debt, we no longer have to worry about foreclosure due to that loan? (again - we WANT to pay - I just want to be certain that I understand all the repercussions)
And Thank You one more time.
Evidently, I am processing a bit slowly today. I want to be certain that I understand; if it becomes an unsecured debt, we no longer have to worry about foreclosure due to that loan? (again - we WANT to pay - I just want to be certain that I understand all the repercussions)
And Thank You one more time.
Hi
If your second debt is charged off, you don't have to worry about foreclosure due to that loan. But as you have mentioned your first mortgage is in forebearance, the property can be foreclosed to recover the first mortgage amount. However, the debt collection agency can garnish your wages if they fail to recover the charged off debt.
If your second debt is charged off, you don't have to worry about foreclosure due to that loan. But as you have mentioned your first mortgage is in forebearance, the property can be foreclosed to recover the first mortgage amount. However, the debt collection agency can garnish your wages if they fail to recover the charged off debt.