Loan Modification

OUR GOAL IS TO SAVE YOUR HOME
FROM FORECLOSURE


Our Success Ratio is 95%
The key to our 95% success ratio is constructing a financial plan that your lender(s) will approve and you can afford. We work with you to compose a hardship letter that describes why the problem occurred and why it won't happen again.

We construct a financial plan that considers your current income and details a list of your monthly expenses. We make recommendations to improve your budget and cash flow so your income exceeds your total monthly expenses each month.

Your lender(s) must see a provable relationship between your income and expenses that will ensure them and the federal regulators that you will be able to make your payments in the future.

Your specific workout plan may include one or both of these plans:

LOAN MODIFICATION PLAN A permanent restructuring of your loan(s) where the loan balance, interest rate, loan term and payment is changed or reduced. Loan Modifications generally require new title and reconveyence of mortgage liens. Lenders can lower the total monthly payment by reducing the principal balance, reducing the interest rate, changing the term and style of the loan and reducing or eliminating late fees, penalties and interest.

FORBEARANCE PLAN A temporary repayment plan to get caught back up on back payments. Some lenders require a forbearance plan for 3 to 6 months to then qualify you for a loan modification. Generally forbearance plans keep the mortgage terms and type the same until the plan is completed. Forbearance plans do not remove a foreclosure action but simply stop it in place until the loan is current.


Forensic Loan Audit Checklist



(a) Promissory note and any riders/addendums
(b) Deed of Trust and riders
(c) Initial Good Faith Estimate and Initial Truth in Lending Statement
(d) Loan Application (1003)
(e) Final HUD closing statement and Final Truth in Lending Statement
(f) Truth in Lending Itemization of Amount financed
(g) Any mortgage insurance premium / PMI information or certificates


Please note - The items above are required for us to conduct a Forensic Loan Audit. Please be sure to send all of the loan documents mentioned above or you can choose to send us your full set of loan docs. It is important and always advised that you make copies of your loan documents and retain the originals at all times.

Typical items we look for when conducting a forensic loan audit



(1) Did each borrower or person with ownership interest get two copies of the Notice of Right to cancel with the Rescission date filled in? (Federal Truth in Lending requirement - TILA).
(2) Were the material TILA disclosures made, and were they accurate if made (APR, Finance Charge, Amount Financed, Total of Payments). If these disclosures were not or defective in nature, an extended three year right of rescission exists.
(3) Were the good faith estimate and preliminary truth in lending statements given to the borrower within 3 days of giving the loan application? (if not, a right to rescind may exist).
(4) Were advance fees improperly collected?
(5) Was the broker/loan officer properly licensed at all stages of the loan origination process?
(6) Was the ARM / Option ARM / Negative Amortization Loan accurately disclosed in the note and adjustable rate rider?
(7) In a non-purchase loan, did the borrower receive the required three day right to rescind?
(8) After the broker ran the credit, were the credit scores disclosed and factors affecting risk properly disclosed?
(9) Can the lender produce the promissory note and prove it has the right to collect the debt?
(10) Is the note clear and comprehensible (or do we have grounds to argue that a contract was never formed - that there could be no meeting of the minds)?
(11) Unfair Competition - If we find a violation of RESPA, Truth in Lending or HOEPA, or other law, do we have grounds to assert that the lender has engaged in unfair, deceptive and/or fraudulent business acts and practices and seek the imposition of a constructive trust forcing the lender to disgorge any ill-gotten gains or to seek an injunction?
(12) Were the loan documents properly signed, executed and notarized?
(13) Option Arms / Negam Loans: We will assert that these loans are predatory in nature and potentially unconscionable. The terms of the note and adjustable rate rider may conflict making it virtually impossible to properly disclose this in a truth in lending statement.
(14) Is the loan unconscionable and thus unenforceable?
(15) Was their any fraud, deceit or undue influence used against the elderly?
(16) If the lender targeted minority groups, where the contracts negotiated in the language of the borrower?
(17) Was there predatory underwriting on stated income loans (i.e. underwriter did not verify borrowers stated income via salary.com or in another manner as required by their internal policies - turning a blind eye and not following their own underwriting policies to get a loan done)
(18) Were there excessive fees that Violate HOEPA? Or YSP fees that are predatory in nature that feathered the nest of the broker at the expense of the borrower?
(19) Was the borrower asked to sign conflicting disclosures or documents such as two different ARM disclosures or two different truth in lending statements that reflect two different APR's or Interest rates (evidencing potential bait and switch or loan fraud practices)?
(20) Were FICO scores and credit risk factors properly disclosed?

Frequently asked questions

• Can I do this myself?
  
  Homeowners that try to work directly with their lender have a failure rate of over 90%. Even attorneys don't represent themselves. The vast majority of homeowners who receive a repayment plan from their lender usually end up with an offer that only favors the lender - not you the homeowner. Most lenders require lots of cash down and a higher monthly payment for a forbearance agreement.
  
  
• Will my lender continue with the foreclosure process?
  
  Most lenders stop the foreclosure clock upon receipt of our work out package and offer. Additionally most lenders immediately stop calling and sending threatening letters. Remember, the last thing your lender wants to do is lose tens of thousands of dollars on your home if it was foreclosed upon. So waiting 3 to 4 months to work out a repayment plan is in THEIR best interest. During this time no further house payments should be sent to your lender(s) until they have finalized your workout plan.

• How long does the process take?
  
  Due to the overwhelming amount of foreclosures and delinquent homeowners all banks and lenders are backed up for months. At the present time most loan workout plans are taking an average of three months. Again, during this time no house payments are sent.
  

• Do I have to pre-pay for your services?
  
  No you don't. Prior to receiving this information and application package you should have received a FREE consultation and pre-approval to assure your success.

• What are your fees?
  
  The fee for Research and Analysis is $2600.00 and there are Uno additional fees or costs. It is paid once the lender states you qualify for a program.

• Should I continue to pay my bills?
  
  Yes you should. However, since you will not be sending in your mortgage payment until your workout plan is finalized by your lender, DO NOT pay off your credit cards or other bills. Save your house payment. Your lender will need proof that you have at least 1 to 3 months of total house payments including taxes and insurance in a checking, savings or retirement account at the time of work out completion.

• How do I know what is going on with my case?
  
  U We will update you via email or telephone once a week. We will be giving you up to the minute status reports.