----------------------------------
-----------------------------------
Most banks are currently offering loan modifications in one form or another and many are participating in the Government’s MHA – Making Home Affordable modification program. Also known as the Obama Plan or the HAMP – Home Affordability Modification Program. As many of you already know under the MHA, banks are required to set borrowers up on a 3 month trial plan while they review the account for the MHA permanent modification. What’s should you expect during the trial plan period and why is the trial plan scheduled for 3 months?
The MHA Trial Plan is almost always scheduled for 3 months. All borrowers are set up on a trial plan based on preliminary financial review. The review process depends on the bank. Sometime the review is done in the form an interview, where the borrower calls the bank and provides the bank a breakdown of their income verses their expenses. The bank will then plug in the figures you provided verbally into their system and the system will recommend a trial plan payment for the next 3 months. Or, the system may decline the trial plan if the borrower’s financial do not fall within the MHA guidelines. Other banks will qualify you based on preliminary review of the financial documents they have asked you to fax over. The preliminary review is normally done very fast. Especially, if done verbally. It is possible that you can get set up on the MHA trial plan in the same day, or, within the hour.
(more…)
-
Hardship Letter Hardship Letter Guidelines I've read several blogs on the internet on what a hardship letter is and how you should write a hardship letter for a loan modification. A hardship letter for a loan modification... - Loan Modification: Mortgage relief or grief? What homeowners go through while waiting for their permanent modification... This article tells it all: Chase Modification Process Unfortunately, what this couple has already gone through is exactly what hundreds of thousands of homeowners across America...
- Take matters into your own hands! But, how do you show the bank you need a loan modification? The secret to a loan modification is how you present the modification package to your bank. If you are considering hiring a firm to help you with a loan modification or you are planning on...
-
Obama's Program: Better or Worse? The Obama Program or The Making Homes Affordable (MHA) was introduced by Obama in March 2009. Is this program making things worse? Watch this clip. What do you think? The graph below illustrates how poorly... -
Obama Plan - More help for California! Homeowners in California and in a handful of other states could be injected with some much needed help from the Obama Administration. Recently President Obama announced a $1.5B program to help stop the foreclosure bleeding...
- 9 Steps for Establishing Credit Credit is the catch all term for the act of lending money. It can take the form of a credit card, in which the lender buys the things you want and you pay them back....
- AIG Execs Caught Wasting Even More Of Our Money After Bailout. My Two Dollars reader Chris email me this story last night because he knows how much this kind of crap bothers me! Turns out that the $440K spa trip that the AIG executives took after...
- Saving Money with a Government Loan Option Buying a home is part of the American dream. For more than half of a century, Americans have been set on finding homes to hang their hats. Owning a home is a sign of stability...
- Understand Mortgage Options Before House Hunting Whether you are looking for your first place or downsizing for retirement, finding the perfect home can be harder than many people realize. Home buyers should know that finding the perfect location or floor plan...
- Meet The M-Network: An Interview With Single Guy Money. Over the course of the next 8 Wednesdays, I am posting interviews with the other members of the M-Network so you can get to know them a little bit better. If you don't already read...
