Denied a modification from CitiMortgage for not reaffirming my mortgage

[AngelinaCatHub]

All,
I did get my answer in writing from CitiMortgage today....Here is an exact quote from the letter...."We consider a number of factors in making credit decisions. In your case, we were unable to approve your request because: Housing ratio must exceed 26%/.......there was a long pause in the letter but it went on to say the decision was based in part upon information, not necessarily of a derogatory nature, from the consumer reporting agencies indentified below....blah blah blah.....but they did say I should continue to keep in contact with CitiMortgage as I may still qualify for other options that may be available....yeah right!!! Huge waste of time! Huge!

You got it.

THERE IS NO REQUIREMENT TO REAFFIRM A MORTAGE - PERIOD - END OF STORY!!!!!

If you were attempting to modify your loan under the HAMP program you were not required to reaffirm anything. If the bank put in writing that the reason you were denied was the failure to reaffirm I think you have a case and I would communicate with anyone, including the news media, who will listen.

Under HAMP’s own guidelines:

Pursuant to the 2010 Supplemental Directive 10-02, Home Affordable Modification Program-Borrower Outreach and Communication under HAMP the following applies:

"Borrowers who have received a Chapter 7 bankruptcy discharge in a case involving the first lien mortgage who did not reaffirm the mortgage debt under applicable law are eligible for HAMP. The following language must be inserted in Section 1 of the Home Affordable Modification Agreement: 'I was discharged in a Chapter 7 bankruptcy proceeding subsequent to the execution of the Loan Documents. Based on this representation, Lender agrees that I will not have personal liability on the debt pursuant to this Agreement.'" (Emphasis added.)

Assuming you are utilizing HAMP, the crap you were told is just another example of how incompetent and untrained the account representatives are. They have no clue what they are doing and this is why few loan mods ever come to pass.

If you are not utilizing HAMP and the lender has some stupid requirement that you reaffirm you should just walk away.

Des.

CLAP, CLAP, CLAP!!

[Ann]

All,
I did get my answer in writing from CitiMortgage today....Here is an exact quote from the letter...."We consider a number of factors in making credit decisions. In your case, we were unable to approve your request because: Housing ratio must exceed 26%/.......there was a long pause in the letter but it went on to say the decision was based in part upon information, not necessarily of a derogatory nature, from the consumer reporting agencies indentified below....blah blah blah.....but they did say I should continue to keep in contact with CitiMortgage as I may still qualify for other options that may be available....yeah right!!! Huge waste of time! Huge!

[IamOld]

moe, my hat off to you for working through this!

The banksters want us...to just go away essentially..they've robbed us blind and deaf, and now they just want us to go away...

[moe]

Wow, something I actually have experience with.

I could not handle most of the issues with the HAMP because Citimortgage lied and then would send us all sorts of inaccurate bills and letters, etc. while we were doing it.

Then if you called them up to question or ask about it, they would interrogate you. I mean, really interrogate you as if you were lying.

They record the conversations.

It used to make me kind of sick so my husband did all of it.

Citimortgage will give you the runaround and lie and confuse you. Their goal is to prevent you from getting your HAMP.

The primary thing to do is to find a HAMP counselor and talk only to her. The person who specifically does these modifications was (in our case) normal and willing to work with us. The entire rest of Citibank was out to confuse us and deter us from getting the modification.

So get a counselor, get his or her number and talk only to them. We were denied our HAMP the first time and given a very deceptive deal. We almost signed it!!!! Then, I said to my husband (he was handling) it: Wait a second...this is a bad deal. You have to call that woman back and argue with her and see if she'll fix it.

We got the HAMP then. The second time around! It wasn't a great deal. I think we were eligible for something better. But we can keep our house, so I am happy.

It's just incredible what they put us through. HELL. And humiliation. And all the while we were eligible. And they'd been bailed out by the government and the rest of it.

They are still making PLENTY of money here. All we really 'saved' was basically what it would have cost them to foreclose on us (or much less than that) and re-sell our house. They came out ahead in the end.

Ugh. What an experience. I still live in fear we're going to get screwed somehow.

Oh, the OTHER amazing thing--You have 7 days to get the documents back once you are approved. Well, they LIED and said they'd sent us the documents. But they hadn't! Then they sent them Fed Ex and told us we had ONE DAY to return them...because somehow they had taken 6 days to get to us. WHAT?

We had a lawyer look over the docs before we signed. I pray he knew what he was doing. I don't trust them for a second.

Really, I am so scared they've done something and are still going to get us. It's amazing how little power the average person has in this situation.

But it's worth it--if it works out like I hope, it is worth it. Still, I do not know. I hope...but I do not know.

Anyway Ann, do not take the In House modification!!! Fight for your HAMP. Tell them you are working with NACA (google NACA and call them--they are never in their office)...Tell them you have a lawyer. Tell them you know you are eligible. But don't believe them because they LIE LIKE RUGS.

[Ann]

Thanks Des for your input...really appreciate it! Actually I was on another site where someone on there put me in touch with someone at CitiMortgage. I could tell from the get go it was going to be an uphill battle. I had to call the person who was working on my mod to get updates. I was told today that I was denied. I asked why...she acted like I should have already known why. I could barely understand what she was saying but I did get the part about being declined. She told me earlier that if I was denied the HAMP I would be considered for an "in house" mod. What a joke. If they knew from the get go that my loan was a Freddie Mac loan why did they even bother if the "rule" is not to consider a mod because of not reaffirming? It would be nice to get something in writing so I can see exactly what was done. I mean a telephone call from some rep just doesnt get it for me. Ugh....getting doors closed in my face in every direction I turn.

[despritfreya]

THERE IS NO REQUIREMENT TO REAFFIRM A MORTAGE - PERIOD - END OF STORY!!!!!

If you were attempting to modify your loan under the HAMP program you were not required to reaffirm anything. If the bank put in writing that the reason you were denied was the failure to reaffirm I think you have a case and I would communicate with anyone, including the news media, who will listen.

Under HAMP’s own guidelines:

Pursuant to the 2010 Supplemental Directive 10-02, Home Affordable Modification Program-Borrower Outreach and Communication under HAMP the following applies:

"Borrowers who have received a Chapter 7 bankruptcy discharge in a case involving the first lien mortgage who did not reaffirm the mortgage debt under applicable law are eligible for HAMP. The following language must be inserted in Section 1 of the Home Affordable Modification Agreement: 'I was discharged in a Chapter 7 bankruptcy proceeding subsequent to the execution of the Loan Documents. Based on this representation, Lender agrees that I will not have personal liability on the debt pursuant to this Agreement.'" (Emphasis added.)

Assuming you are utilizing HAMP, the crap you were told is just another example of how incompetent and untrained the account representatives are. They have no clue what they are doing and this is why few loan mods ever come to pass.

If you are not utilizing HAMP and the lender has some stupid requirement that you reaffirm you should just walk away.

Des.

[Ann]

All,

Is there anyone here who was approved (or denied) from CitiMortgage based on the fact that you did not reaffirm your mortgage? I just got word from Citi (had to call myself..no one bothered to call me) that I was denied because I never reaffirmed my mortgage. The lady from CitiMortgage said it was not their decison but that of the investor who happens to be Freddie Mac. Anyone? Does this sound right?