My paperwork finally came in to reaffirm my Wells Fargo mortgage. I went to sign it and looked at the monthly payment. Well, my home was financed FHA. The payment reflected in the contract was about the same as they automatically deduct. Here's the catch.. The total loan and monthly payment they wanted me to reaffirm included my escrow.
Example:
typical house payment deducted from my bank was each month was $850.00. However, my true house payment was really only 700.00
So, if I would have signed the reaffirm as is. Wells fargo could have possibly come back and say I have to pay 950.00 to cover my escrow. Legal aid wasn't too happy when I caught it. I told her, where heading towards 60 days.. they may want to lower my interest rate if they want me to reaffirm. I could easily afford the extra 100.00. But still, if your not expecting it, it would cause panic.
Example:
typical house payment deducted from my bank was each month was $850.00. However, my true house payment was really only 700.00
So, if I would have signed the reaffirm as is. Wells fargo could have possibly come back and say I have to pay 950.00 to cover my escrow. Legal aid wasn't too happy when I caught it. I told her, where heading towards 60 days.. they may want to lower my interest rate if they want me to reaffirm. I could easily afford the extra 100.00. But still, if your not expecting it, it would cause panic.