Home Loan Modification - Mortgage Loss Mitigation Specialist - www.ModificationHotline.com

Go to Loan Modification Interview - Part 1

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Announcer: Welcome back to the Velocity of Money and here is your host certified mortgage planning specialist Michael J Barnes

Michael: Welcome back to the Velocity of Money, this is Michael J Barnes and you are listening to KFNX 1100 AM Arizona's news talk leader, don't forget you can still listen online at www.1100KFNX.com

As promised just before the break, I told you to listen in if you know anyone who has a GMAC Mortgage this is one of those too good to be true things. Here's the thing, I have no issues what so ever with GMAC, that's not what I am saying what I am saying is there is a campaign if sorts that is going around. A client of ours received a letter, we did a second mortgage for this person a few years ago, they received a letter form GMAC, it looked like GMAC, it sounded like GMAC and it said, that we are willing to forgive your second mortgage, of 200 and x thousand dollars in lieu of a one time payment payable within the next 30 days, of say 20 thousand dollars. I do not recall the exact amount or what it was. There is a phone number on there it says loss mitigation department on it a person assigned to this case. They called the phone number, they answered the phone as if you were calling into the loss mitigation department and verified if you just send us this amount they will release the lien. Well it is completely false. It is absolutely not true. These people are not going to seek you out on their own now whether it be GMAC today we have actually seen that one there may be other ones out there. Folks, if you are getting stuff like this you need to verify it and you need to verify it by sources other than the information on the letter that you have received. If you get an email that says your bank account whatever has been tapped into you need to check chances are it is some kind of a phishing scam and this is no different. We have gone back to identity theft through the mail and if you have been a party to this you need to verify and check into it and you need to contact the authorities immediately for more information if you need help with this sort of situation you are welcome to go to ModificationHotline.com

Brett: It is pretty amazing that that kind of thing still exists, and with the announcement by Paulson today that the fact is they are no longer willing to buy bad mortgages off the books of the banks. When you come across a phishing scam such as this one there is not a bank out there, I don't care what kind of trouble they are in that is going to take $0.10 on the dollar to forgive a loan

Michael: In a situation where things are going well you are right in a situation where things are going well and the status quo they are going to be pursued by an attorney that is entirely different they are not just going to volunteer up and give you the money, it's not going to happen.

Brett: Absolutely not and that's where we get back into what a loan modification is who it benefits and how it works and so forth you are starting to see these wheels in motion amongst all of these banks. One of those wheels is certainly not we'll forgive 200,000 in debt if you write us a check for $20, 000.

Michael: and when we have talked about this Brett you and I have had many conversations in regard to what does it take? can a person do this on their own, we will get to that a little later but the answer is Yes a consumer can actually do it on their own up until very recently with the new announcements made from some of these major servicers sand investors, up until then a person trying to do it on their own would take days upon days and hours and hours of on the phone not getting calls back trying to find time during the day whilst working to get this done and in many cases they are going to get a temporary fix. The loss mitigation for the bank that you have your mortgage with their job is not to mitigate your loss it's to mitigate their loss. They are out to protect the bank, that's why we use the national network of attorney's that we do to that are specialists that have done thousands of these loan modifications that go to bat for you. By the way folks, they are not going through the loss mitigation door that you would have to go through they are going right to the legal department they are going to threaten suit if necessary they are going to do discovery work they are going to find out if there was anything that was misrepresented either by the bank or the broker and take that angle

Brett: yes I think that makes perfect sense the only analogy that I can come up with is I could probably figure out how to change the oil in my car but it's not my expertise I am certainly not going to take the time away from what I have expertise in order to figure out how to do that I am going to have a professional do that and it is the same idea with when someone is considering a loan modification you can probably call up that loss mitigation department of that lending institution versus going through the legal department and try to work through that scenario. But you don't know what you don't know, and if you take that approach and make that attempt it could cost you money it could cost you a higher interest rate it could cost you something that you are not even aware of. That's where your team and the loan modification professionals and this attorney network that you exclusively work with come into play

Michael: Again you talk about choosing to not change your own oil, of course you could figure it out you wouldn't operate on yourself, if you got yourself into some legal trouble and you were an attorney you wouldn't represent yourself. Even though you may know what to do and how to do it you are just not going to do it because you need an unbiased, 3rd party that is truly going to fight for your rights

Brett: And who has expertise in this particular area specifically focused on working on the mortgage holders, the consumer's best possible outcome

Michael: that's right and that is a great point we have example after example of people who have tried to do the loan modification on their own and most of the time what we see is a situation that is best for the bank, a temporary fix, well people don't need a temporary fix

Brett: temporary being the key word there, we'll make it better for one year, three years, five years, whatever it is but we will tag it on to the life of the loan. One of our strategic partners was just sharing a story on the break about someone who he knows personally that did this they did this themselves without the benefit of an attorney and the end result was a temporary short term better fix today all of which interest back cost etc. are tacked on to the other side of the loan, of this mortgage. That is not what you are after, with a loan modification

Michael: And when you think about it a temporary fix is what put most of these people in the situation to begin with it were a temporary fix. Remember the billboards that said if your mortgage payment is only $500 a month you are payment too much call us for a 1% interest rate. Give me a break people fell for it everybody fell for it, it was a disaster. You do not need a temporary fix you need a real fix

Brett: a real fix that is going to meet your needs as a consumer that is going to meet the needs of your family so you can stay within the home and that's going to meet the needs of your cash flow monthly to get a reduced payment what ever it is going to be for you and your family that is the whole idea behind modifying your existing loan

Michael: Another important here we hammer down on so many of these issues a loan modification is not for somebody who doesn't care. This is if you care and it appears that you will be faced with foreclosure if you are late on your mortgage if it is getting ready to go up any number of genuine true hardships financially that happen to you will have to your main goal has to be that you want to stay in your house, keep your family your pets in that house you need to call we are here to help we are not salesmen we are saviors,. look if you decide that the ModificationHotline.com is not what you and your family need that's ok, If you are able to find another solution you know what we are happy for you the more people in my opinion that are affiliates of my firm that are out there to help us through this process the better off we all are the sooner we get through this loan modification these toxic mortgages the sooner all things economic will recover the housing market is the basis for this economic crisis and everybody knows that

Brett: There is no question and a number of experts that have weighed in and who have credibility that I receive advice from in terms of helping my own clients they talk about the stock market in terms of when does that improve and when do stocks get a foothold and go forward and the economy start to rise and recession come to an end and all those things. every single one of them without fail go back to this housing market and this crisis, foreclosure is an avoidable option and it doesn't necessarily mean you have to take on some other job or another source of income or whatever it is to try to maintain an existing mortgage that's not the point modify an existing mortgage that may be a much better alternative for the average person who finds themselves under this pressure

Michael: That's one of the things that most of the people that I have talked to have sought other income options because they can't do it, if you have to take a second mortgage just to make your mortgage payment there is a problem there now maybe the problem was spending habits maybe the problem was who knows

Brett: It goes back to the credit market entirely you take out a loan against a credit card in order to pay a mortgage payment type of mentality. that is the danger right there if you are finding yourself under these pressures you have got to call to find out more about this and see if this is something that can benefit you.