http://www.foreclosure-auction.net/blog/foreclosure-information/why-do-mortgage-modifications-usually-end-up-in-foreclosure/ News of Foreclosure Auctions Wed, 28 Jan 2009 12:24:37 +0000 hourly 1 http://wordpress.org/?v=3.3.1 http://www.foreclosure-auction.net/blog/foreclosure-information/why-do-mortgage-modifications-usually-end-up-in-foreclosure/comment-page-1/#comment-18 Wendy Smith Wed, 28 Jan 2009 12:24:37 +0000 http://www.foreclosure-repo-auction.com/blog/?p=17#comment-18 All too often lenders arrange repayment plans that are not truly loan modifications - it is nothing more than a repayment plan or forbearance of the past due amounts. A homeowner called yesterday asking for help - her mortgage company increased her monthly payment from $1109 to $1589 - let's see, if she fell behind with $1109 due each month, why would anyone figure that she could afford $1589 per month? I keep hearing about "prinipal reductions" but I have not yet seen or heard of any - I personally asked WAMU, Wachovia, BoA, Nationstar and a few others - all said absolutely not. All too often lenders arrange repayment plans that are not truly loan modifications – it is nothing more than a repayment plan or forbearance of the past due amounts. A homeowner called yesterday asking for help – her mortgage company increased her monthly payment from $1109 to $1589 – let’s see, if she fell behind with $1109 due each month, why would anyone figure that she could afford $1589 per month?
I keep hearing about “prinipal reductions” but I have not yet seen or heard of any – I personally asked WAMU, Wachovia, BoA, Nationstar and a few others – all said absolutely not.

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