Struggling borrowers needing a Wachovia loan modification may feel like they are hitting their head against a brick wall. It seems like common sense that Wachovia would want to help homeowners with a loan modification instead of pursuing foreclosure given the fact that most borrowers owe more than their home is currently worth, and the fact that Wachovia already has a huge supply of bank owned properties on their books. So what’s the hang up? Homeowners calling into the bank for help with a Wachovia loan modification are often given the run around or flat out told that the bank is not doing loan modifications. Here are some tips to help get your loan modification application into the right hands so that you will have a chance to get the help you need an deserve:
- Speak with the right department-do not bother talking to anyone but the Loss Mitigation Department. You may be getting calls from the collection department demanding that you pay the past due amount, but that is not who you need to be talking to. Call the loss mitigation department, get the name and direct phone number for the employee you are speaking with, write it in the phone log provided in The Complete Loan Modification Guide for future reference.
- When you speak with the loss mitigation department, ask them to send you a loan modification application. Also ask them what their basic criteria for approval is-for example, what is the qualifying debt ratio they use? Most lenders are between 38% and 45%-this is important information you need to know before you complete the application for a Wachovia loan modification.
3. Write a compelling and descriptive hardship letter. This is a brief description of the circumstances that caused you to fall behind, what steps you have taken to correct the situation and your intentions to keep the loan current should the loan modification be granted. The Complete Loan Modification Guide will provide you with an outline guide to help you compose an effective letter.- Work on a new family budget eliminating any unnecessary expenses. Then, determine what “target” mortgage payment you can really afford to pay now and in the future. The lender wants to see that after paying all of monthly obligations, you have approximately $250 left over in disposable income. This will help assure them that you are not a risk for re-default.
5. Be sure to verify that your target payment meets the Wachovia loan modification guidelines-to do this add up your new principle and interest payment, your monthly taxes and insurance then divide that total by your gross monthly income to arrive at your debt ratio. If it does not fit within the guidelines, revise it accordingly.- 6. Carefully complete the required financial statements detailing all of your bills and expenses and your income. In order to qualify for a Wachovia loan modification, you will have to clearly demonstrate that while you cannot afford the current mortgage payment, you will be able to pay and maintain the new lower payment. The Complete Loan Modification Guide makes this easy to do as you are provided with a Current Financial Statement as well as a Proposed Financial Statement. You also receive step by step instructions to help you complete the forms properly.
- Provide your proof of income, bank statements and any supporting documentation. Put it all together in a professional and acceptable Wachovia loan modification package by following the easy checklist provided in The Complete Loan Modification Guide.
The most important tip is that you must have the 3 “P”s- Preparedness, Persistence and Patience. Preparedness means that you have take the time to research and learn about the Wachovia loan modification program so that you can complete the forms properly and increase your chance for success. Persistence means you do not give up-even if told no the first time, keep calling and calling until you get the help you need. Keep in mind that Wachovia has been buried with loan modification applications and is not prepared with trained staff to handle all the requests. Patience is what will be needed so you can hang in there, not take it personally and pursue your goal of loan modification help to save your home. Thousands of homeowners have already gotten the help they needed with a loan modification and you can too!
You can get the help you need to understand the Wachovia loan modification process 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 your lender. 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
3 Responses
Its nice to read this article, as a homeowner in default I am facing the crude reality that I will loose my home, this after having lost 14 other properties, among condominiums , townhoes, and single family residences, here in CA and TEXAS as well,
it is a pill hard to swallow.
next is BANK RUPCY… NO EXPERIENCE ON NEITHER, just becoming an statistic.
Posted on February 25th, 2009 at 2:38 am
I began our loan modification process with Wachovia back in Oct. 2009 and to date we still haven’t been able to finalize it. I find it absolutely stomach churning that every single god given financial documentation was provided to them (within 24 to 48 hours after Wachovia’s request), and they still managed to delay the review process by claiming that the fax was never rec’d, the date was missing, the name was misspelt, Snoopy ate the mailbox, and Garfield, the cat, jumped on the stack of papers and his lice/fleas ate the documents!……seriously, my 5 year old son has better (and thankfully less) excuses then the Reps at Wachovia.
Well, I don’t know about you guys, but quite frankly, I’ve had enough. Wachovia shouldn’t have accepted the bailout money from the gov’t (which is really our hard earned tax dollars) if they had no intentions on bailing out anyone other than themselves! I’ve sued Wachovia in the past (before they acquired World Savings Bank) for extending a prepayment penalty fee and I had the entire matter resolved within 1 week….and mind you, I am not an attorney, never went to law school, and I sued completely on my own. Now, that being said, I took some of my own steps yet again for the 2nd time in hopes of getting what I was promised when we initially went through the phone interview: (1) 2% fixed interest rate; (2) lower monthly payment that included my escrows; (3) keeping my home (especially since we put 20% down payment on the purchase price back in 2005). I am keeping my fingers crossed that I will succeed for the 2nd time but it’s never a guarantee!
I think that if we all ban together (picture the Boston Tea Party) and everyone writes or files a complaint to the addresses listed below, then they will have no other choice but to listen and comply. My filed complaint alone is completely useless unless it’s backed up by everyone else who is experiencing the same difficulties. Below you will find the steps in filing a lawsuit and complaint in your own County, but please keep in mind that all we can do is try our best and hope it’ll work:
1. gather all docs and any fax/mail/email/fed ex confirmations sent to Wachovia;
2. organize in accordance to date, all phone calls made to Wachovia, whom you spoke with, and the topic covered during that conversation;
3. go to your County’s website or google “how to file a complaint in _____ County”. Once at the website, you can download the forms you need to complete in order to file a lawsuit. Be watchful of the Complaint you submit to Court, because there may be 2 different lawsuit forms: (1) small claims (typically used if you are suing for less than $6,000); and (2) civil complaint.
4. If you do not have access to the web or your county does not provide this online, you can visit your county clerk and ask for the forms directly.
5. in addition to filing your own lawsuit, file a complaint online with the Department of Banking and Insurance and also with Thrift Supervisory.
6. Lastly, once you have a copy of your filed lawsuit at hand, along with all the other online complaints you filed, feel free to drop a few lines to the following people at Wachovia:
Wachovia Corporation
Legal Division
NC0630
One Wachovia Center
301 South College Street
Charlotte, NC 28288
(704) 374-6611
Board of Directors
Wells Fargo & Company
P.O. Box 63750
San Francisco, CA 94163
email: boardcommunications@wellsfargo.com
Wells Fargo & Company
2711 Centerville Road
Suite 400
Wilmington, Delaware
Attn: Mr. Mark C. Oman
Good luck to all and if you have any questions feel free to drop me a line at clichtenstein@hotmail.com. Just remember, I am a regular schmoe like everyone else, sharing my experience that worked for me back in 2008 and hopefully again in 2010! Therefore, I can not give any legal advice, since I am not an attorney and hold no office in that capacity either.
Posted on May 24th, 2010 at 7:37 pm
Wow-I can feel the frustration in the comment about Wachovia loan modification and Wells Fargo loan modification experiences. There is one thing that homeowners need to know and understand-THE LENDERS DO NOT CARE ABOUT YOU OR YOUR PERSONAL SITUATION. As much as we would like to think that Wachovia and Wells Fargo really want to give us a loan modification because we are so deserving, the fact of the matter is that they are a business whose sole reason for existing is to make money- NOT to have a social conscience or offer to LOSE money so that someone can stay in their home.
Here is the only reason Wachovia or Wells Fargo will give you a loan modification-it costs them less money to keep you in the home than to foreclose-period. Yes, people, they do not care if you are the most deserving person in the world-they only care about what is best for their bottom line. Should that be a big surprise to anyone?
The only way a homeowner has a shot at getting a loan modification is to prove that they fit into the mathematical equation the banks use to determine who qualifies. It’s really that simple-if you fit you have a good chance of getting help-if you don’t-well then why should they help you? The bank won’t get paid by the Fed and they have no incentive or reason to lose money on your behalf.
Do you really want to try to sue a billion dollar company or do you want your loan modified? Here is the most important thing you can learn-THERE IS A MATHEMATICAL EQUATION THAT YOU NEED TO USE when preparing your financial statement and application. This is the standard formula that Wachovia and Wells Fargo use under the federal loan modification program. You need to know and use this same formula so that you know you fit into the guidelines and the bank knows that they will get paid by the Fed if they modify you.
The guidelines and equation are federally mandated, standard and are published. It’s not some big secret, but most homeowners do not know about it or know how to figure it out. That is why you can use a software program that actually mimics the formula and does all the calculations for you automatically. You will see immediately if you fit or if you need to make adjustments to your income, expenses or family budget.
Be smart-level the playing field, use all the tools at your disposal and have the best shot at getting a Wachovia or Wells Fargo loan modification. Take control of your situation and don’t rely on the bank to do the right thing-it’s just not going to happen that way.
You can read hundreds of pages of free information and learn more about the software program and federal guidelines at: http://www.myloanmodificationcenter.com.
Posted on May 27th, 2010 at 10:34 am
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