Hamp

[sfosmith]

Does anyone know if a bank (servicer) is required to offer a loan modification.

Or must one apply? Who is required to exercise the initiative?

If the bank is required to offer and notice for HAMP, but did not, what legal issues can one make of this in fighting foreclosure?

[Pandora]

HAMP is not law, that was their first mistake after bailing the banks out. Its a "guideline" for all lenders except those loans that are backed by Fannie or Freddie, then it is required. It isnt mandatory and you cannot enforce it if not owned or guarenteed by Fannie or Freddie

go here: http://makinghomeaffordable.gov/borrower-faqs.html

[tobee43]

HAMP is not law, that was their first mistake after bailing the banks out. Its a "guideline" for all lenders except those loans that are backed by Fannie or Freddie, then it is required. It isnt mandatory and you cannot enforce it if not owned or guarenteed by Fannie or Freddie

go here: http://makinghomeaffordable.gov/borrower-faqs.html

first our bank demanded we get at least 3 months behind before they would even consider a mod....

our had PMI (government backed) and was an FHA....we tried loan mod for well over a year...to no avail. then HAMP went into effect...over 12 months past...still no answer, and then right in the "middle" of the loan mod...o,r to better say we were still awaiting answers on whether we could get the loan...we get a foreclosure notice.

while awaiting a loan mod does not prevent the foreclosure action to begin, the summons gave us 30 days to answer or the proceeding would continue for us to vacate...

we left...and here it is going on 2 years and we still haven't had a answer on our loan mod....they SHOULD have made it a law...

now we are just waiting for the bank to foreclose aready so we can get our names off that deed...in the meantime..filing complaints and trying to get them to sign a warranty deed and release has been impossible!

so much for government backed loans!

[Pandora]

That was the problem - you had an FHA loan - they hardly ever mod and if they do, its takes damn near congress to do it.

HAMP guidelines are clear - you do not have to be behind on your mortgage to qualify for a loan mod; we weren't behind at all - but it was imminent due to job loss.

Again, it seems the magic formula last year when it was first out (for those that applied Jun-Sep 09 at least), you had to be Fannie / Freddie owned to get anywhere. After the first part of the program it just seemed harder and harder for most to get loan mods, and seems its still that way unfortunately.

[HampIAM]

Hi everyone. I have a permanent HAMP on my first but it took 16 months. Some states require mediation with your bank before foreclosure; most don't. Pandora is right about the fact that you do not have to be late, but I, like many, was told I needed to be. My loan is not a Fannie or Freddie. I think (of course don't know for sure) that it is owned by Deutsche. Chase is the servicer.

There is alot of information about modifications et. al. on beingmiddleclass.org. I don't know if it is kosher on this forum to promote another, but if it is I will be sure to promote this one on beingmiddleclass. I just started a bankruptcy forum there but that was before I knew about everything on this site. The more resources the better, I say, in this mess!

[tobee43]

That was the problem - you had an FHA loan - they hardly ever mod and if they do, its takes damn near congress to do it.

HAMP guidelines are clear - you do not have to be behind on your mortgage to qualify for a loan mod; we weren't behind at all - but it was imminent due to job loss.

Again, it seems the magic formula last year when it was first out (for those that applied Jun-Sep 09 at least), you had to be Fannie / Freddie owned to get anywhere. After the first part of the program it just seemed harder and harder for most to get loan mods, and seems its still that way unfortunately.

really??? so that was the problem...you know..the bank should have simply been up front about it...however, this was prior to HAMP,

again...we were served with foreclosure papers while in loan mod and just chose to "lock it and leave it" after 33 years....actually that was our atty's advise...i really did not do that. i contacted the bank in writing and advised them we were leaving. i cleaned the house from top to bottom...even had the pool and hot tubs closed and cleaned. we just had to leave with some dignity...