Comments on: Will I go to jail because of my bills? Will I lose my kids because I am homeless? http://loanworkout.org/2008/05/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/ Loan Modification & Home Loan News Fri, 20 Nov 2009 12:55:43 -0700 http://wordpress.org/?v=2.8.6 hourly 1 By: Carrie http://loanworkout.org/2008/05/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/#comment-5272 Carrie Sat, 07 Jun 2008 01:15:06 +0000 http://loanworkout.org/2008/05/28/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/#comment-5272 Craig C: I agree with KellyG ask a moderator on loansafe.org for advice or ask an attorney. Either way you need to be honest with yourself and see what is the best option for you and your family in the long run. have you tried asking the bank to give you a fixed rate of 5.5 for the life of the loan? do you think you can keep affording that rate long term? It doesn't hurt to ask. Craig C:

I agree with KellyG ask a moderator on loansafe.org for advice or ask an attorney.

Either way you need to be honest with yourself and see what is the best option for you and your family in the long run.

have you tried asking the bank to give you a fixed rate of 5.5 for the life of the loan? do you think you can keep affording that rate long term? It doesn’t hurt to ask.

]]> By: Carrie http://loanworkout.org/2008/05/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/#comment-5286 Carrie Fri, 06 Jun 2008 23:11:30 +0000 http://loanworkout.org/2008/05/28/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/#comment-5286 Dear Bryce are you always such a jerk? I was wondering if you get kicks out of kicking people while they are down?????? I did what most responsible people do, saved enough Money to buy my home with 15% down (67,500) & we also put away enough for 8 months of reserves ..... any my middle credit score was 738. I am not blaming anyone for my bad luck as you said it was not bad luck it is what it is . life happens - but we did truly fall into a hardship.... so don't treat me or talk to me like an irresponsible person. I have yet to pay my mortgage late, but will fall behind this month. I tried to call the bank in good faith to try to fix the situation before it gets worse... but CountryWide would rather me stop paying my house for 3 months & then try to help me with a possible modification. YES i am mad at the broker who took advantage of me - do you think it was necessary for them to charge 2 points on each loan and make 2-3 points on the YSP, slam me with a prepay w/o disclosing it and now that same bank can not refi??? I know the economy and foreclosure rates are skyrocketing, but I am only trying to do the right thing here, it is heartbreaking to know that you have saved for years & years and wanted to raise your family in a home and then these unexpected situations arose and you feel completely lost. I am just airing what I have seen happen to a lot of people including me.... by the way BRYCE my kids ages are 8 & 4 so how do you want me to put them to work????? my husband has been with the same company for 11 years now and I am making a decent salary just not enough to catch up since we fell behind, i had been laid off and was unemployed for 9 months (I was with that company for 7 years)... Bryce is there any other personal question you'd like to ask instead of assuming?????? -- If the bank does not want to help me, fine, they are not obligated to do so you are right there, but you can not blame me for trying to do whatever it takes to survive and put a roof over my kids head and provide a decent living. Dear Bryce are you always such a jerk?

I was wondering if you get kicks out of kicking people while they are down??????

I did what most responsible people do, saved enough Money to buy my home with 15% down (67,500) & we also put away enough for 8 months of reserves ….. any my middle credit score was 738. I am not blaming anyone for my bad luck as you said it was not bad luck it is what it is . life happens – but we did truly fall into a hardship…. so don’t treat me or talk to me like an irresponsible person. I have yet to pay my mortgage late, but will fall behind this month. I tried to call the bank in good faith to try to fix the situation before it gets worse… but CountryWide would rather me stop paying my house for 3 months & then try to help me with a possible modification. YES i am mad at the broker who took advantage of me – do you think it was necessary for them to charge 2 points on each loan and make 2-3 points on the YSP, slam me with a prepay w/o disclosing it and now that same bank can not refi??? I know the economy and foreclosure rates are skyrocketing, but I am only trying to do the right thing here, it is heartbreaking to know that you have saved for years & years and wanted to raise your family in a home and then these unexpected situations arose and you feel completely lost.
I am just airing what I have seen happen to a lot of people including me….

by the way BRYCE my kids ages are 8 & 4 so how do you want me to put them to work????? my husband has been with the same company for 11 years now and I am making a decent salary just not enough to catch up since we fell behind, i had been laid off and was unemployed for 9 months (I was with that company for 7 years)…

Bryce is there any other personal question you’d like to ask instead of assuming?????? — If the bank does not want to help me, fine, they are not obligated to do so you are right there, but you can not blame me for trying to do whatever it takes to survive and put a roof over my kids head and provide a decent living.

]]> By: KellyG http://loanworkout.org/2008/05/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/#comment-5287 KellyG Fri, 06 Jun 2008 21:55:29 +0000 http://loanworkout.org/2008/05/28/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/#comment-5287 Hi Craig, With the debacle of H&R blocks "Option one unit" I am very impressed you got this down to 5.5% for a year! Most of the people working loss mitigation at Option 1 are in India. I have spoken with a few lenders and they won't tell you this, but they like to do short term modifications with the wait and see attitude. I would make good payments for the next 10 months and go back and negotiate again. This will prove you can make these payments and give Option One ground to extend these terms. Now that your file has been seen by Option 1 (income,job history, bills etc.) I am not completely sure they will change the terms or modify any further at this point. You may want to ask one of the moderators on loansafe.org or an attorney to see if this is a possibility. KellyG Hi Craig,
With the debacle of H&R blocks “Option one unit” I am very impressed you got this down to 5.5% for a year! Most of the people working loss mitigation at Option 1 are in India. I have spoken with a few lenders and they won’t tell you this, but they like to do short term modifications with the wait and see attitude. I would make good payments for the next 10 months and go back and negotiate again. This will prove you can make these payments and give Option One ground to extend these terms. Now that your file has been seen by Option 1 (income,job history, bills etc.) I am not completely sure they will change the terms or modify any further at this point. You may want to ask one of the moderators on loansafe.org or an attorney to see if this is a possibility.

KellyG

]]> By: Craig Crescent http://loanworkout.org/2008/05/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/#comment-5273 Craig Crescent Fri, 06 Jun 2008 19:55:28 +0000 http://loanworkout.org/2008/05/28/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/#comment-5273 OPTION ONE's Exploding Loan Modification: Hello all. Thank you so much for all of your informative posts thus far. This blog is a goldmine of information. I have a question...I have made it to the finish line with Option One's home retention program. They have not reduced the principle amount, and they have essentially given me another exploding arm. They offered me 5.5% for the first year, 6% for the second year, 7% for the third year and 8% for the fourth and remaining 26 years. While these are better than what happened with my exploding arm, it seems quite ridiculous to be setting myself up for heartache in 4 years. Am I a lunatic not to accept these terms or do I have a say in the negotiations. If anyone can offer some advice, I would love to hear it. Thank you so much. -Craig in Los Angeles. OPTION ONE’s Exploding Loan Modification:
Hello all. Thank you so much for all of your informative posts thus far. This blog is a goldmine of information. I have a question…I have made it to the finish line with Option One’s home retention program. They have not reduced the principle amount, and they have essentially given me another exploding arm. They offered me 5.5% for the first year, 6% for the second year, 7% for the third year and 8% for the fourth and remaining 26 years. While these are better than what happened with my exploding arm, it seems quite ridiculous to be setting myself up for heartache in 4 years. Am I a lunatic not to accept these terms or do I have a say in the negotiations. If anyone can offer some advice, I would love to hear it. Thank you so much. -Craig in Los Angeles.

]]> By: Bryce http://loanworkout.org/2008/05/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/#comment-5274 Bryce Thu, 05 Jun 2008 22:48:10 +0000 http://loanworkout.org/2008/05/28/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/#comment-5274 Got one for you Carrie - get another job and tell your husband to get another job. Put that 16-year old to work. You seem to spend an awful lot of time here. Keep that up and you won't have that new job for very long! You are not the first person to experience tough times and you won't be the last. Do what you have to do to survive and quit blaming every body else in the world for your bad luck. Face reality - your circumstances have changed and it's nobody's fault. If your lender modifies your loan, be grateful because they are not obligated to do so. If they don't, then give the house up because now, right now you can't afford it. Christina, I am truly sorry about your pet but you did the right thing. Someday things may work out for you but I truly believe you are the only one that will make that happen. Got one for you Carrie – get another job and tell your husband to get another job. Put that 16-year old to work. You seem to spend an awful lot of time here. Keep that up and you won’t have that new job for very long! You are not the first person to experience tough times and you won’t be the last. Do what you have to do to survive and quit blaming every body else in the world for your bad luck. Face reality – your circumstances have changed and it’s nobody’s fault. If your lender modifies your loan, be grateful because they are not obligated to do so. If they don’t, then give the house up because now, right now you can’t afford it.

Christina, I am truly sorry about your pet but you did the right thing. Someday things may work out for you but I truly believe you are the only one that will make that happen.

]]> By: Carrie http://loanworkout.org/2008/05/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/#comment-5275 Carrie Thu, 05 Jun 2008 12:54:51 +0000 http://loanworkout.org/2008/05/28/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/#comment-5275 It is GREAT to see that there are still human feelings and good people with hearts still out there. It is so hard lately, We cut back in every possible way at home, no cable, no home phone, just the basics. No new cars, no shopping malls, no beauty parlors, etc.... I just sold my formal dining room and formal living room, not to fall behind on either of my mortgages. I had been working for 7 years with a firm that laid off all of its employees last June (2007) and after a grueling 8-9 month job hunt I finally became employed, \{In todays world we know that one salary won't cut it, so luckily my husband & I had saved about 6 months worth of reserves and were able to stretch it as much as possible.\} so I have been employed now for 3 months & it feels good to bring a paycheck into the household again, but it is much less than what I was making before and it keeps getting tougher. So when we did buy our home 3 years ago we qualified with no problem, salary wise & reserves. but no one could forsee how bad this economy was going to get. The housing market has declined so much here in Miami, FL that I can not refinance. Eventhough I had given 15% down when I bought the house, I was told that i owe more than the house is worth and now they are only doing 80% loans. oh my ! the gallon of milk is the same price as a gallon of gas these days. how do you choose? This is getting completely out of wack and salaries don't increase and many good people are being forced out of their homes. What solutions can the bank offer? or do they want more losses and foreclosures? SOLUTIONS !!!!! does anyone have any? It is GREAT to see that there are still human feelings and good people with hearts still out there.

It is so hard lately, We cut back in every possible way at home, no cable, no home phone, just the basics. No new cars, no shopping malls, no beauty parlors, etc….

I just sold my formal dining room and formal living room, not to fall behind on either of my mortgages. I had been working for 7 years with a firm that laid off all of its employees last June (2007) and after a grueling 8-9 month job hunt I finally became employed, \{In todays world we know that one salary won’t cut it, so luckily my husband & I had saved about 6 months worth of reserves and were able to stretch it as much as possible.\} so I have been employed now for 3 months & it feels good to bring a paycheck into the household again, but it is much less than what I was making before and it keeps getting tougher.

So when we did buy our home 3 years ago we qualified with no problem, salary wise & reserves. but no one could forsee how bad this economy was going to get. The housing market has declined so much here in Miami, FL that I can not refinance. Eventhough I had given 15% down when I bought the house, I was told that i owe more than the house is worth and now they are only doing 80% loans. oh my !

the gallon of milk is the same price as a gallon of gas these days. how do you choose?

This is getting completely out of wack and salaries don’t increase and many good people are being forced out of their homes. What solutions can the bank offer?

or do they want more losses and foreclosures?

SOLUTIONS !!!!! does anyone have any?

]]> By: C.F. http://loanworkout.org/2008/05/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/#comment-11050 C.F. Thu, 05 Jun 2008 04:17:56 +0000 http://loanworkout.org/2008/05/28/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/#comment-11050 I'M SORRY AFTER 4 YEARS THE JUDGEMENT WILL MEET ITS STATUE OF LIMITATION AND WILL NO LONGER EFFECT YOU, IS WHAT I MENT. PLEASE DON'T WORRY ABOUT THE HOUSE IN FL. YOU HAVE NO CREDIT CARD BILLS, YOU WILL BE OKAY. THEY BANK WILL JUST FORECLOSE AND AUCTION IT OFF. THEY WILL EAT THE LOSS, DON'T TRY GIVING THEM ANY OF YOUR EQUITY. I THINK A FORECLOSE SITS ON YOUR CREDIT REPORT SOMEWHERE BETWEEN 7-10. BUT YOU'RE OKAY. YOU CURRENTLY HAVE A HOME. LIKE I SAID MY HUSBAND AND I ARE MORE WORRIED ABOUT THE CREDIT CARD BILLS THEN OUR SECOND HOME. WE WERE BOTH LAID OFF. WE CURRENTLY LIVE IN OURS AND IS ABLE TO AFFORD IT. I’M SORRY AFTER 4 YEARS THE JUDGEMENT WILL MEET ITS STATUE OF LIMITATION AND WILL NO LONGER EFFECT YOU, IS WHAT I MENT. PLEASE DON’T WORRY ABOUT THE HOUSE IN FL. YOU HAVE NO CREDIT CARD BILLS, YOU WILL BE OKAY. THEY BANK WILL JUST FORECLOSE AND AUCTION IT OFF. THEY WILL EAT THE LOSS, DON’T TRY GIVING THEM ANY OF YOUR EQUITY. I THINK A FORECLOSE SITS ON YOUR CREDIT REPORT SOMEWHERE BETWEEN 7-10. BUT YOU’RE OKAY. YOU CURRENTLY HAVE A HOME. LIKE I SAID MY HUSBAND AND I ARE MORE WORRIED ABOUT THE CREDIT CARD BILLS THEN OUR SECOND HOME. WE WERE BOTH LAID OFF. WE CURRENTLY LIVE IN OURS AND IS ABLE TO AFFORD IT.

]]> By: C.F. http://loanworkout.org/2008/05/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/#comment-11049 C.F. Thu, 05 Jun 2008 04:10:53 +0000 http://loanworkout.org/2008/05/28/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/#comment-11049 Omg, don't pannick. You need to know your rights. When they forclose the other house and try to file a judgement on the equity you have on your current home, they can't kick you out. First of all get a HOMESTEAD. It's just a doc you signed get notarized then record at the county for $25...which preserve the first $75K of equity from your current home to go to you and your family. If you live in CA, it's an automatic rule.Only then will the mtg company get whatever is left over. Please don't let them scare you. You will not go to jail, credit bill is a civil case not criminal...PLEASE HEAR ME. THEY CAN NOT ARREST YOU, THEY CAN NOT FORECLOSE ON YOUR CURRENT HOME. ONLY YOUR CURRENT HOME MTG COMPANY COULD DO THAT IF YOU START BEING LATE. DO NOT LET THEM THREATEN YOU. YES THEY COULD PUT A JUDGEMENT ON YOUR HOME, BUT THEY PROBABLY WONT BECAUSE IT WILL COST THEM MORE TO SUE YOU THEN WHAT THEY WILL GET FROM THE HOUSE. YOU SAID IT HAS $50K EQUITY, YOU AND YOUR HUSBAND IS ENTITLE TO THE FIRST $75K, WHICH MEANS THEY GET SH%T. PLUS THEY CAN'T FORCE YOU OUT, THEY HAVE TO SIT AND WAIT UNTIL YOU DECIDE TO SELL. PLUS THE JUDGEMENT IS ONLY ACTIVE FOR 4 YEARS. IT IS THEN VACATED (DEAD) AFTER THAT, UNLESS RENEW. WHICH MOST LIKELY WILL NOT HAPPEN. PLUS WITH THE MARKET THE WAY IT IS, IT MIGHT EVEN DROP (NOT MEAN TO BE NEGATIVE). ALSO, SO MANY PEOPLE ARE JUST WALKING AWAY THAT THEY BANKS AREN'T ABLE TO DO IT. IT TAKES THEM 6-12 MOS TO FORECLOSE ON A HOME NOW. BEFORE IT WAS ONLY 3 MOS. HIGH INVENTORY....IF YOU HAVE ANY QUESTIONS...PLEASE AS ME. MY HUSBAND AND I WENT THROUGH SOME HARD TIME AND INVESTED IN A BK ATTORNEY TO SEE WHAT OUR OPTION WAS AND WHAT WAS MOST LIKELY TO HAPPEN. Omg, don’t pannick. You need to know your rights. When they forclose the other house and try to file a judgement on the equity you have on your current home, they can’t kick you out. First of all get a HOMESTEAD. It’s just a doc you signed get notarized then record at the county for $25…which preserve the first $75K of equity from your current home to go to you and your family. If you live in CA, it’s an automatic rule.Only then will the mtg company get whatever is left over. Please don’t let them scare you. You will not go to jail, credit bill is a civil case not criminal…PLEASE HEAR ME. THEY CAN NOT ARREST YOU, THEY CAN NOT FORECLOSE ON YOUR CURRENT HOME. ONLY YOUR CURRENT HOME MTG COMPANY COULD DO THAT IF YOU START BEING LATE. DO NOT LET THEM THREATEN YOU. YES THEY COULD PUT A JUDGEMENT ON YOUR HOME, BUT THEY PROBABLY WONT BECAUSE IT WILL COST THEM MORE TO SUE YOU THEN WHAT THEY WILL GET FROM THE HOUSE. YOU SAID IT HAS $50K EQUITY, YOU AND YOUR HUSBAND IS ENTITLE TO THE FIRST $75K, WHICH MEANS THEY GET SH%T. PLUS THEY CAN’T FORCE YOU OUT, THEY HAVE TO SIT AND WAIT UNTIL YOU DECIDE TO SELL. PLUS THE JUDGEMENT IS ONLY ACTIVE FOR 4 YEARS. IT IS THEN VACATED (DEAD) AFTER THAT, UNLESS RENEW. WHICH MOST LIKELY WILL NOT HAPPEN. PLUS WITH THE MARKET THE WAY IT IS, IT MIGHT EVEN DROP (NOT MEAN TO BE NEGATIVE). ALSO, SO MANY PEOPLE ARE JUST WALKING AWAY THAT THEY BANKS AREN’T ABLE TO DO IT. IT TAKES THEM 6-12 MOS TO FORECLOSE ON A HOME NOW. BEFORE IT WAS ONLY 3 MOS. HIGH INVENTORY….IF YOU HAVE ANY QUESTIONS…PLEASE AS ME. MY HUSBAND AND I WENT THROUGH SOME HARD TIME AND INVESTED IN A BK ATTORNEY TO SEE WHAT OUR OPTION WAS AND WHAT WAS MOST LIKELY TO HAPPEN.

]]> By: Christina http://loanworkout.org/2008/05/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/#comment-5278 Christina Thu, 05 Jun 2008 03:13:50 +0000 http://loanworkout.org/2008/05/28/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/#comment-5278 Gayla, I so clearly understand how you feel. Please know you are in my thoughts as we both try to work our way thru the coming weeks and months. Countrywide's unhelpful response to you to cut back was like rubbing salt in an already gaping wound. Do they really believe we haven't already cut back and cut out everywhere we can? Do they not realize we have already sold off anything we had with any value at all? I suppose not. Just yesterday, I had to part with my beloved companion and allow a loving family to adopt my dog because I can no longer afford to buy food for him. He has been with me thru all these ups and downs the last few years. Faithful, loyal and a friend who was there for me every single day. But he deserves better than to go hungry or without vaccinations. I am totally alone now. I am a hollow shell with nothing of any real value left to lose. My last and most precious possession now belongs to someone else. What other corners can I cut? How else can I cut back? What more can I give? Take care of yourself, Gayla. You and your family are in my thoughts as we weave our way thru the process. Be good to each other, love each other and support each other. All My Best, Christina Gayla,

I so clearly understand how you feel. Please know you are in my thoughts as we both try to work our way thru the coming weeks and months.
Countrywide’s unhelpful response to you to cut back was like rubbing salt in an already gaping wound. Do they really believe we haven’t already cut back and cut out everywhere we can? Do they not realize we have already sold off anything we had with any value at all? I suppose not. Just yesterday, I had to part with my beloved companion and allow a loving family to adopt my dog because I can no longer afford to buy food for him. He has been with me thru all these ups and downs the last few years. Faithful, loyal and a friend who was there for me every single day. But he deserves better than to go hungry or without vaccinations. I am totally alone now. I am a hollow shell with nothing of any real value left to lose. My last and most precious possession now belongs to someone else. What other corners can I cut? How else can I cut back? What more can I give?
Take care of yourself, Gayla. You and your family are in my thoughts as we weave our way thru the process. Be good to each other, love each other and support each other.

All My Best,
Christina

]]> By: Christina http://loanworkout.org/2008/05/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/#comment-5277 Christina Thu, 05 Jun 2008 02:58:24 +0000 http://loanworkout.org/2008/05/28/will-i-go-to-jail-because-of-my-bills-will-i-lose-my-kids-because-i-am-homeless/#comment-5277 Tammy, Bless you for your kind suggestion. I'm not sure this would work for me, tho, as my son was the victim of identity theft last year. He currently has his hands full trying to sort out the mess created by someone else using his information. He's tied up in knots with his own issues and I am doing everything I can to shelter him from my problems. I haven't even told him about the situation I currently find myself in. He is far away from home and putting himself in danger daily. I will tell him when it's all over and done with. But I am deeply grateful for your help and I am touched by your kindness. Hang in there. I don't know how this is all going to shake out for us, but I have to believe there is life after foreclosure. Maybe when I'm on the other side of all this mess, I will write a book about it and call it, "Life After Foreclosure, The Death Of My American Dream". Then I can pay forward those like Mr. Bedard who have provided a safe and helpful place for those of us who found comfort here. All My Best, Christina Tammy,

Bless you for your kind suggestion. I’m not sure this would work for me, tho, as my son was the victim of identity theft last year. He currently has his hands full trying to sort out the mess created by someone else using his information. He’s tied up in knots with his own issues and I am doing everything I can to shelter him from my problems. I haven’t even told him about the situation I currently find myself in. He is far away from home and putting himself in danger daily. I will tell him when it’s all over and done with.
But I am deeply grateful for your help and I am touched by your kindness.
Hang in there. I don’t know how this is all going to shake out for us, but I have to believe there is life after foreclosure. Maybe when I’m on the other side of all this mess, I will write a book about it and call it, “Life After Foreclosure, The Death Of My American Dream”. Then I can pay forward those like Mr. Bedard who have provided a safe and helpful place for those of us who found comfort here.

All My Best,
Christina

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