Monday, January 17, 2011
Debt Limits for Filing Chapter 13 Bankruptcy
28, USC, 109(e) Only an individual with regular income that owes, on the date of the filing of the petition, noncontingent, liquidated, unsecured debts of less than $360,4752 and noncontingent, liquidated, secured debts of less than $1,081,4002, or an individual with regular income and such individual's spouse, except a stockbroker or a commodity broker, that owe, on the date of the filing of the petition, noncontingent, liquidated, unsecured debts that aggregate less than $360,4752 and noncontingent, liquidated, secured debts of less than $1,081,4002 may be a debtor under chapter 13 of this title.
Friday, January 14, 2011
What to do if you seriously want a loan modification.
IF YOU ARE TRYING TO GET A LOAN MODIFICATION:
1. FILL OUT ALL OF THE INFORMATION REQUESTED BY YOUR LENDER.
2. SEND ALL OF THE INFORMATION IN A MANNER THAT WILL RESULT IN WRITTEN CONFIRMATION THAT IT WAS RECEIVED. PREFERRABLY BY FAX, OR E-MAIL OR BY CERTIFIED MAIL, OR OVERNIGHT MAIL, OR DIRECT DELIVERY WITH A SIGNATURE RECEIPT BY THE LENDER IF THEY HAVE A FORECLOSURE CENTER.
3. CALL ONCE A WEEK TO REQUEST STATUS. IF THEY TELL YOU DON’T CALL BACK FOR A MONTH, DON’T LISTEN TO THEM, CALL EVERY WEEK. ASK THEM “ARE YOU MISSING ANY DOCUMENTS?” ARE THERE ANY OTHER DOCUMENTS NEEDED?
4. WHATEVER RESPONSE YOU GET, SEND THE MISSING DOCUMENTS, EVEN IF YOU HAVE SENT IT 64 TIMES BEFORE AND THEY KEEP CLAIMING THEY DON’T HAVE, SEND IT AGAIN. IF THEY SAY THAT THEY HAVE EVERYTHING, THEN FAX A LETTER TO THEM SAYING THAT “I SPOKE WITH _________ AT THIS PHONE NUMBER _____________ AND HE/SHE TOLD ME THAT YOU HAVE ALL MY PAPERWORK AND THAT I AM PRESENT BEING REVIEWED. IF THIS STATUS SHOULD CHANGE, PLEASE CONTACT ME IMMEDIATELY.”
5. EVERY WEEK FAX A LETTER TO THEM SENDING THEM ANY BANK STATEMENTS THAT YOU HAVE RECEIVED IN THAT WEEK OR COPIES OF ANY PAYSTUBS YOU HAVE RECEIVED IN THAT WEEK. THIS WAY WHEN THE REVIEWER GETS TO YOUR PAPERWORK, THEY CAN’T MAKE EXCUSES ABOUT HOW THEY DON’T HAVE UP TO DATE INFORMATION.
6. NO MATTER WHAT, DON'T GIVE UP. IT SEEMS TO ME THAT THE GOAL OF ALL OF THESE LENDERS IS TO FRUSTRATE YOU TO DEATH, EITHER YOUR OWN OR SOMEONE ELSES (JUST KIDDING) I BELIEVE THEY HOPE YOU GIVE UP SO THAT THEY CAN JUST TAKE YOUR HOUSE AND ADD IT TO THEIR PORTFOLIO OF REOs. THE BANK LOOKS LIKE A STRONGER INVESTMENT TO PEOPLE IN DUBAI AND IN CHINA WHEN THE PORTFOLIO IS FILLED WITH REOs AND NOT A BUNCH OF LOANS WHICH HAVE SHOWN POOR PERFORMANCE IN THE PAST. HOPEFULLY MY SAVVY READERS GET THIS POINT BY NOW!
MY CLIENTS WHO FOLLOW THIS PROCESS SEEM TO DO BETTER THAN THE ONES WHO DO NOT. THERE ARE NO GUARANTEES THAT YOU WILL GET A LOAN MODIFICATION AND THANKS TO THE COWARDICE OF CONGRESS AND OUR PRESIDENT IN NOT STANDING UP TO THE BANKS, AND TAKING THEIR CAMPAIGN CONTRIBUTIONS, THEY WON'T EVER STAND UP TO THEM, THERE IS NOTHING REQUIRING OR MANDATING THAT YOU BE GIVEN A LOAN MODIFICATION.
GOOD LUCK OUT THERE!!!!!
Tuesday, January 11, 2011
AND MORE NEWS FROM CALIFORNIA LOAN MODS
State plan to help homeowners facing foreclosure kicks off
Posted: 01/11/2011 05:50:26 PM PST
Updated: 01/11/2011 08:08:41 PM PST
Special Section
A state plan to help homeowners facing the threat of foreclosure kicked off this week, with the California Housing Finance Agency taking applications on a toll-free phone line.
Designed to help homeowners receiving unemployment benefits keep current on their mortgage payments, the program that kicked off Monday will give as many as 60,000 eligible homeowners a mortgage payment subsidy of up to $3,000 for a maximum of six months.In February, the agency, which has $2 billion in federal funds, will launch three more programs tailored for low- and moderate income homeowners.
"The phone line's up, it's available, the calls are coming in and people are getting some assistance," said Diane Richardson, president of Keep Your Home California.
The toll-free number is 888-954-KEEP (5337). The agency received more than 1,200 calls in its first two days.
Not everyone will meet the requirements. Tony Salem of San Jose, an unemployed high-tech manager who is at risk of foreclosure, called Tuesday to apply for help and was given the disappointing news that his loan servicer hadn't signed up to participate. ''They said to contact your mortgage company and see if they are going to become involved," Salem said.
Participating lenders, loan servicers and agencies include Wells Fargo, Chase, Bank of America, GMAC, CalHFA, and the Department of Veterans Affairs, as well as the government-sponsored Fannie Mae and Freddie Mac.
Richardson said. "We have a lot of them that are just very close to being there."
The other three programs will start Feb. 7, Richardson said. They are:
The program's web site is www.keepyourhomecalifornia.com/. Click on the "Eligibility" tab to find out if you meet the eligibility requirements before calling the toll-free number.
Contact Pete Carey at 408-920-5419.
BANK OF AMERICA - SAVE THE DREAM TOUR
ATTENTION BANK OF AMERICA HOMEOWNERS!!!!!!!!
On January 20, 2011 through the 30th, Bank of America's "Save The Dream Tour" will be at the Los Angeles Sports Arena from 9:00 a.m. to 8:00 p.m., located at 3909 South Figueroa Street, Los Angeles, CA.
I have recommended to my clients to go there the day before and get in line the night before and CAMP OUT. You will need to bring the following documents.
What to Bring—Proof of Income and Residency
In order to provide proof of residency and income, you’ll need to collect a set of the following documents for everyone listed on your home loan. Please be sure to bring photocopies of your documents—not the originals. These documents include the following:
If you don't get your loan modification at the Sports Arena, then please contact us and we can show you alternatives to saving your home!
On January 20, 2011 through the 30th, Bank of America's "Save The Dream Tour" will be at the Los Angeles Sports Arena from 9:00 a.m. to 8:00 p.m., located at 3909 South Figueroa Street, Los Angeles, CA.
I have recommended to my clients to go there the day before and get in line the night before and CAMP OUT. You will need to bring the following documents.
What to Bring—Proof of Income and Residency
In order to provide proof of residency and income, you’ll need to collect a set of the following documents for everyone listed on your home loan. Please be sure to bring photocopies of your documents—not the originals. These documents include the following:
- 2 most recent pay stubs, or, if self-employed, quarterly or year-to-date profit/loss statement
- 2 most recent bank statements for all checking and savings accounts
- Most recent utility bill showing your name and property address
- Other income (such as social security, disability, death benefits, pension, adoption assistance, public assistance, or unemployment) along with a benefits statement or letter from the provider that states the amount, frequency and duration of the benefit
- Income from alimony, child support or separation* along with the divorce decree, separation agreement or other written agreement filed with the court
- Rental income along with copies of the most recently filed signed federal tax return with all schedules, including the Schedule E (Supplemental Income and Loss) or a current lease agreement
- Non-wage income (part-time employment, bonuses, tips and investment income), if more than 20% of total income, requires copy of documentation describing the nature of the income (for example, an employment contract or printouts documenting tip income)
- Proof of homeowners/condominium association fees
If you don't get your loan modification at the Sports Arena, then please contact us and we can show you alternatives to saving your home!
Thursday, January 6, 2011
Monday, January 3, 2011
MORE BAD FAITH AND CRAP FROM AURORA LOAN SERVICING
Dear Readers:
Today, my client got a letter that her loan payment on her home was going to double. Her rate is 8% for the first five years, which then drops to 2.25% over the H.15 Constant maturity 1-Year Rate established by the US Treasury which is currently .2733 so technically her rate at the five year rate will be 2.675 more or less. With insurance and taxes her payment should be only about $3,700.00 per month to keep her house. But Aurora wants $4,883.00 until July 12, 2012, then they will drop it to $3,700.00 per month or whatever index is at that time.
But here is the kicker. She filed a chapter 13 Bankruptcy. I sent in an authorization for her to speak directly with the lender regarding loan modification. She asked for one, and was told she doesn't qualify. After calling repeatedly, they finally agreed to interview her for a loan modification. But here is what we learned. . . . UNLESS BOTH the LAWYER AND THE BORROWER send a letter in WRITING requesting loan modification, it WILL NOT BE OFFERED. How is that for complying with the spirit of HAMP. What a dismal failure that program turned out to be.
Anywyer Readers, the squeaky wheel gets the grease. At this point I would recommend that each of you call your lender WEEKLY and SEND FAXES weekly of your attempts to get loan modification from your lenders. When finally the Government wakes up and decides its going to help you, IF and ONLY IF that day ever comes, then you will have adequate documentation of your legitimate attempts at loan modification.
Additionally, I cannot impress upon you enough that if you have stopped making payments on your mortgage to at the least use a mortgage calculator online. Figure out what you owe to your lender. Calculate a mortgage payment based on 4% and at least mail in that amount to your lender. Show them you can succeed with a reasonable loan modification. Furthermore, if your lender won't take your money then open a savings account and deposit that amount into your bank account each month. You will have documented proof for your lender that you can make a reasonable mortgage payment. At the end of the day, if you cannot save your house, you will likely have saved up quite a bit of money if you have to move, or cure your default.
I can tell you that it is painful to go from not making payments for 2 years to paying rent or a mortgage again. We as humans get use to having that money around and we spend it. Please don't make that mistake!
Good luck out there, until the next time I have more news to report.
God bless each of you for the coming year!
Today, my client got a letter that her loan payment on her home was going to double. Her rate is 8% for the first five years, which then drops to 2.25% over the H.15 Constant maturity 1-Year Rate established by the US Treasury which is currently .2733 so technically her rate at the five year rate will be 2.675 more or less. With insurance and taxes her payment should be only about $3,700.00 per month to keep her house. But Aurora wants $4,883.00 until July 12, 2012, then they will drop it to $3,700.00 per month or whatever index is at that time.
But here is the kicker. She filed a chapter 13 Bankruptcy. I sent in an authorization for her to speak directly with the lender regarding loan modification. She asked for one, and was told she doesn't qualify. After calling repeatedly, they finally agreed to interview her for a loan modification. But here is what we learned. . . . UNLESS BOTH the LAWYER AND THE BORROWER send a letter in WRITING requesting loan modification, it WILL NOT BE OFFERED. How is that for complying with the spirit of HAMP. What a dismal failure that program turned out to be.
Anywyer Readers, the squeaky wheel gets the grease. At this point I would recommend that each of you call your lender WEEKLY and SEND FAXES weekly of your attempts to get loan modification from your lenders. When finally the Government wakes up and decides its going to help you, IF and ONLY IF that day ever comes, then you will have adequate documentation of your legitimate attempts at loan modification.
Additionally, I cannot impress upon you enough that if you have stopped making payments on your mortgage to at the least use a mortgage calculator online. Figure out what you owe to your lender. Calculate a mortgage payment based on 4% and at least mail in that amount to your lender. Show them you can succeed with a reasonable loan modification. Furthermore, if your lender won't take your money then open a savings account and deposit that amount into your bank account each month. You will have documented proof for your lender that you can make a reasonable mortgage payment. At the end of the day, if you cannot save your house, you will likely have saved up quite a bit of money if you have to move, or cure your default.
I can tell you that it is painful to go from not making payments for 2 years to paying rent or a mortgage again. We as humans get use to having that money around and we spend it. Please don't make that mistake!
Good luck out there, until the next time I have more news to report.
God bless each of you for the coming year!
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