If you are looking to get into a loan modification dealing with wells fargo, it is important that you visit this page. That is the page dedicated to loan modifications from wells fargo’s site.
The best thing about that page, other than the information that they provide is the option to get “payment help” online. You obviosly will not be able to close the deal online with a random person by any means, but it is always nice to get more information about who you are working with and what you are getting yourself into.
Wells Fargo has a pretty strict 10 month rule. They want you to make your late payments up within 10 months. This is much more strict than most banks, but I believe this is a good thing for two reasons:
- It makes homeowners more responsible. If they have a specific date that they see that they need to be caught up with their payments by, they will be even more on top of their finances.
- It weeds out the fakers/ charity cases. Believe it or not, there are a lot of homeowners that are just looking to take advantage of a loan modification that should not be worried about a modification.
Wells fargo is a pretty solid company to work with, especially when it comes to loan modifications.
The terms of a loan modification have the ability to make or break the deal. This might not sound like that big of a deal, but when you think about it, a loan modification could end up being one of the most important dealings of your life.
If it goes wrong, you could end up losing your home, your single biggest investment, that is a big deal. It is important to make sure that both the attorney you are working with and the lender are both operating fairly and their terms are easy to understand and straight forward.
It may sound like the bank is getting the raw end of the deal whenever they are in a loan modification dealing, but that is not always the case. Just because they are agreeing to accept lower monthly payments now does not mean that they will not get it back and then some later. Make sure that you look over the terms of the banks loan modification agreement to see if they have any tricks up their sleve such as a hike in the interest rate they charge on the principal of the loan in the future.
It is hard to predict the results of a loan modification because every situation is different, but here is a different sample situation provided to help you guys [my readers] understand the potential of a successful loan modification.
Jack and Jill own a home in Californa. They are in their mid thirties with two kids. They are economically responsible, spending far less then they earn. Jack gets laid off because of the economy, leaving the family with less than half of their usual monthly income.
Because of the decrease in income, they are having a hard time meeting their monthly mortgage payments but they do not want to lose their home to foreclosure.
They talk to a loan modification attorney, and then contact their lender.
After about 2 months of hard work and negotiation, they get everything worked out with their lender and save their home!
If you do everything right in a loan modification as a homeowner, you would be very surprised at the results.
Here are common questions when it comes to loan modifications:
What are loan modifications? A loan modification is basically an alternative to foreclosure. Instead of losing your home because you cannot meet your monthly mortgage payments, you can talk to your lender about reducing your monthly payments for an extended period of time.
How can they help me? If you cannot meet your monthly mortgage payments, you will either have to lose your home or change your mortgage eventually. So the best option, at least in my mind, is to talk to your lender about modifying your loan.
How do I qualify? You have to have trouble meeting your monthly mortgage payments currently and you have to prove to the bank that you will be able to meet your new, lower monthly payments.
What do I do now? If you are interested in a loan modification, talk to someone that you trust that is in the financial field. It is important to only work with trustworthy, honest people whenever dealing with any aspect of your finances because people will always try to take advantage of you when they can.
Loan modifications are not the easiest things to understand in the world, but that is common for any financial dealing.
However the qualifications necessary to undergo a loan modification are fairly straight forward.
You must be able to show your lender that you have suffered a financial setback. This could mean that you or a family member lost their job, you’re getting less hours, or you have to spend more money on something else. The specifics do not really matter, but you cannot just walk up and qualify for a loan modification just because you want smaller monthly mortgage payments on your home.
You need to send your bank a loan modification application. This loan modification application needs to be accurate, detailed, and well put together. You will not qualify for a loan modification without this step.
You need to show the bank that you will be able to meet a lower monthly mortgage payment. Why go through all of this if it will not help anything? That’s what the bank is asking, so that is why you will show the bank that a successful modification will help your situation.