Government Making Home Affordable Program (Hamp) was released in March 2009 is designed to help homeowners modify mortgages and stay in their homes. While qualifying for Hamp seem pretty straight forward, government programs seem to fail.
Government Making Home Affordable Program (Hamp) was released in March 2009 is designed to help homeowners modify mortgages and stay in their homes. While qualifying for Hamp seem pretty straight forward, government programs seem to fail.

While many borrowers apply for Hamp, a very small portion of them seem to be getting the help they expect mortgage end up in foreclosure or hire a bankruptcy attorney. If you can not get a straight answer from the Servicer your mortgage or loan modification is rejected for no good reason you might want to consider alternative measures. Borrowers continue to complain about spinning in circles for months without success, or stuck on probation with no permanent modifications. The government encourages homeowners to attempt a loan workout directly with their lenders and not hire a lawyer. It's almost like telling someone to do your own brain surgery than go to a qualified physician.

So What Should You Do?
First things first! In order to get a loan modification of your hamp required to pass the 5 questions the feasibility of early, and most homeowners. This process is what home owners Waterfalls are most familiar with and see available. BUT, it's really not as simple as qualifying for these five questions:

1. Is your home your primary residence?
2. Is the amount you owe on your first mortgage equal to or less than $ 729,750?
3. Are you having trouble paying your mortgage?
4. Did you get your current mortgage before January 1, 2009?
5. Is your payment on your first mortgage (including principal, interest, taxes, insurance and homeowners association dues, if applicable) more than 31% of your current gross income?

While it may seem simple enough to get a loan modification based on five questions, there is more to gain approval from a simple criteria. Not only do you have to meet all Federal program guidelines, lenders require that you also pass specific guidelines and tests, the most important tests NPV. NPV test is a very complex mathematical formula provided by the Ministry of Finance to be used by banks to determine whether it is more advantageous to modify the loan or seize property. In some cases they can even consider HAFA approve short sales, but this has proved difficult to negotiate.
Borrowers What Really Need To Know

Every creditor runs NPV as the final determining factor for a loan modification approval or declination. This is where most homeowners rejected for modifications. Lender may use the Federal NPV model or change it to meet their specific needs. In other words, make their own rules as they go along. It's almost like a football referee moves to the line you need to cross in order to get a first down. If you can not pass the NPV you do not get a modification, it's simple! Finally, hire a bankruptcy attorney to stop the foreclosure process or just walk a lot.

Through a bankruptcy attorney independent third parties now have access to the same decision model using the Lender to determine whether you will be approved for your loan modification or not. We are happy to provide this information to the public in an effort to help consumers determine the best route to take. If you pass the NPV test your chances for a loan modification will show up pretty good. It's still up to your creditors to modify but at least this way you can make an informed decision. Consulting a lawyer, preferably a bankruptcy lawyer make much sense if you decline. A bankruptcy attorney can see if you qualify for Chapter 13 or Chapter 7 bankruptcy. While filing bankruptcy is suspected to be a final attempt to stop the foreclosure, bankruptcy many use as a means to eliminate second mortgages underwater. In addition, a bankruptcy lawyer can give you a clear cut path as to what type of bankruptcy to file, Chapter 7 or Chapter 13.

There is a long list of borrowers either taken over or waiting to be taken over by Bank of America. The biggest banks have been attacked in recent months for unfair business practices and a lack of good faith in connection with modifying toxic mortgages and the government's administration and programs HAFA Hamp. In addition, Bank of America to reap billions of Countrywide mortgages for pennies on the dollar and now it may be time to share the wealth.

The biggest state banks had frozen foreclosures in 27 states including California and Nevada, and many bank customers in these countries has been in line for a loan modification for more than a year now. Some experiments make payments for a year while a loan modification review is limited, only to find them rejected and confiscated.

"Some of the nation's top trial lawyers have banned together and quietly beat the banks. This is a lawyer who previously represented the banks so; the lawyers who - over the years - has gone to court and 'end the madness' for many clients , the lawyers who know their way around the court building better than anyone. Already, lawyers have filed cases of mass joiner in 2009 that are still pending against Bank of America (and Countrywide) and includes thousands of California. The case is now going national. The lawyers have called the legal and banking procedures that were not previously aware of, and Bank of America getting beat at their own game because of it. Two weeks ago, the Bank was forced to admit that he had cheated the government on mortgage foreclosures nationwide. Subsequently, on 4 October 2010, Manuel Real distinguished from the United States District Court called the Bank's main argument 'absurd' and kicked out of the Court of Federal Bank. The case is now proceeding in court, and the joiner of the whole mass of the plaintiff developing countries. It may be that the bank can not recover a promissory note in one of them, or that the Bank has made another mistake that will lead to other penalties to be imposed against them. If you are a former or current Bank of America customer and feel that you may be, or have information relating to similar issues with Bank of America (and Countrywide), or if you want to discuss this action or have any questions concerning this Notice or your rights or interests in connection with this, please contact us today.