Beaten and bloodied, many Wachovia customers may now have another chance for help with the Obama federal loan modification program.  Wachovia has been one of the least cooperative lenders at offering needy homeowners a loan workout.  However, the new Obama plan requires participating lenders to review each and every request for consideration from borrowers.  This means that even if you have been declined by Wachovia for a loan modification in the past, you now have a second chance at getting some relief.

Just because you can apply does not mean you will qualify however, as you must meet standardized guidelines to obtain the Obama loan modification program with Wachovia.  Successful borrowers will be able to prove:

1. They live in the property as their primary residence
2. Their loan amount is less than $729,750
3. The loan was originated prior to January 1, 2009
4. Their current monthly payment equals more than 31% of their gross monthly income (including taxes, insurance and homeowners association dues)

You do not have to be currently delinquent to apply, but you cannot be in an active bankruptcy.  To meet the required 31% debt ratio, several options will be employed by Wachovia.  Homeowners who cannot prove on their loan modification application that they can meet the 31% ratio requirement will not be approved for this plan.

These are the methods available under the Obama federal loan modification plan to try to reach the target payment, and they will be utilized in this order as needed:

• First, reduce the interest rate to as low as 2%, then if more is needed
• Second, extend the loan term to 40 years, and if that is not enough then
• Third, defer some of the loan balance

Principal forgiveness is not required under the Obama federal loan modification program, and Wachovia is expected to offer that option in very rare instances.  The 31% debt ratio requirement is very critical-homeowners must be able to show on their application paperwork that they can reach that target payment if they hope to qualify.

The Treasury Department is encouraging borrowers to get a jump start on the process by beginning to gather the necessary documents and prepare their paperwork.  Wachovia will be flooded with requests for frantic homeowners hoping to participate and save their home.  Successful candidates will be prepared and know how to prequalify themselves by calculating their own debt ratio and completing their applications properly to meet the approval guidelines.

Don’t miss this opportunity to get help with a Wachovia loan modification using the Obama Federal loan modification plan.  Learn how to calculate your debt ratio to prequalify yourself and get help to prepare your application properly by ordering and downloading The Complete Loan Modification Guide. This is a low cost, easy to read handbook that will provide you with everything you need to prepare a professional and acceptable loan modification application. You are provided with all of the necessary forms and given detailed directions on how to complete them properly. The Complete Loan Modification Guide will take you step by step through calculating your debt ratio, completing the financial statements, writing your hardship letter and then putting it all together to submit to Wachovia. Get started today on the path to secure home ownership, order and download The Complete Loan Modification Guide. For more information about mortgage loan modification, please visit us at: http://www.myloanmodificationcenter.com