Rant How is your Mortgage company handling loan forbearance?

[brycejones]

If you work for a company that was ordered to shut down by the state, I would say your rights violating Governor should pay your mortgage personally.

If you're essentially self-employed, things get a bit muddier. Hopefully a series of lawsuits over the few months after this silliness ends will clarify which rights violating Government entity should be responsible.

Rights are not a death pact.

That said, I always advocate having a minimum of six months expenses in reserve. That would help you no matter the reason for lack of income.

Most people would love this, there are also lots people working more than 1 job and unable to make ends meet.

 

[Meghan54]

your rights violating Governor should pay your mortgage personally.

which rights violating Government entity should be responsible.

Awww.....look at that. Little Precious is trying to make a funny.....and landing flatter than goose shit.

 

[Dulanic]

I feel for you. My wife got furloughed and while we can survive on me alone it will be tight. I was able to defer my car payment no issues for 3 months and no lump sum bullshit. Rocket mortgage is shit IMO. When I went to refi they were ridiculously higher than everyone else. I hate seeing lenders be assholes like that.

I could have deferred my mortgage 3 months no questions asked, but I didn't want to pay the interest penalty doing that would cost me. Mine wasn't backed by Fannie/Freddie so I was surprised.

The downside is, I don't see anything getting passed to help you And there is tons others like you and what this will do to the housing market won't be good.

 

[pete6032]

Rocket mortgage is shit IMO. When I went to refi they were ridiculously higher than everyone else

Same. They kept calling me and offering rates nowhere near what other people were offering. I finally told them I had been offered x rate from another bank and if they couldn't beat it they should stop calling. They stopped after that.

 

[nOOky]

I am a self employed contractor. I have never made over 50K a year and have to deal with the high cost of living in the SF bay area. It's really hard to save anything on one persons income with 2 kids. It took me till I was 40 years old to afford to put 20% down on my first house.

My goal is to keep 10k in savings but shit happens as most people know.

Sorry about your job. Are you an LLC or just a guy with a truck and a sticker on it? I ask because isn't the relief package offering some aid for people in your situation?

Guide to Small Business COVID-19 Emergency Loans

The U.S. Chamber of Commerce has issued this guide and cheat sheet to help small businesses and self-employed individuals prepare to file for a loan from the CARES Act's Paycheck Protection Program.

www.uschamber.com

 

[Homerboy]

OP, who have you voted for in the last several elections (presidential and otherwise)?

I only ask because I need to know whether or not I should care more or less than you do when you vote.

I know that seems rather shallow but a lot of people like to complain about things that they directly or indirectly voted for and things won’t change until they realize their error.

This isn't helpful in the least in regards to the OP. It's just a thinly veiled, holier than thou, asshole post.

 

[Thump553]

Whatever rates the lender offers depends on the sales end of the company. I explored refinancing my adjustable with Quicken recently and I totally agree that (in my limited experience at least) that at present not only are Quicken's loan officers pushy SOBs but the rates they are currently offering (if they will tell you) are noncompetitive.

But workouts are a different situation. I've dealt with at least a dozen lenders on these over the last decade. At least half those lenders IMO only give lip service to mandated review programs-they want to push the matter through foreclosure ASAP. Quicken I've probably dealt with or reviewed what they offered in at least a dozen cases-I saw sincere efforts to save the house and very good restructuring offers. IMO the OP should count his blessings that he is with Quicken now.

If the Feds do nothing a whole lot of foreclosures are going to start a month or three before the election, which will kill The Donald's chances of reelection. While Donnie has absolutely no empathy he does recognize that by doing nothing he loses any chance of getting those votes. I'm pretty confident there will be some sort of effective remedial program offered.

 

[Vic]

If you work for a company that was ordered to shut down by the state, I would say your rights violating Governor should pay your mortgage personally.

If you're essentially self-employed, things get a bit muddier. Hopefully a series of lawsuits over the few months after this silliness ends will clarify which rights violating Government entity should be responsible.

This actually isn't muddy at all, and any such suits are unlikely to be successful. Like it or not, it is well within state governors' police powers to temporarily close businesses during emergencies.

Here's a couple good articles on it:

Opinion | Yes, States and Local Governments Can Close Private Businesses and Restrict Your Movement

They’ve always had the power to take drastic measures in situations like this.

www.politico.com

The Police Power of the States to Control a Pandemic, Explained

The federal government has the resources, but it’s the states that have the power.

thedispatch.com

 

[Vic]

To the OP: sorry to hear about what you're going through.
Quicken/Rocket Mortgage's website shows that they're currently offering 4 different resolutions after the 3 month forbearance: 1) lump sum payment, 2) repayment plan, 3) modification to roll forbearance amount into the mortgage balance, and 4) forbearance extension.
This is pretty standard throughout the industry right now, although things are changing every day of late.

Mortgage Assistance Relief Services For COVID-19

Have you been impacted by the coronavirus, also known as COVID-19? Find out what Rocket Mortgage is doing and how to get help if you need it!

www.rocketmortgage.com

 

[RamIt]

Sorry about your job. Are you an LLC or just a guy with a truck and a sticker on it? I ask because isn't the relief package offering some aid for people in your situation?

Guide to Small Business COVID-19 Emergency Loans

The U.S. Chamber of Commerce has issued this guide and cheat sheet to help small businesses and self-employed individuals prepare to file for a loan from the CARES Act's Paycheck Protection Program.

www.uschamber.com

Just a guy with a truck, tools and a good reputation, I usually don't charge much and always show up for work.

To the OP: sorry to hear about what you're going through.
Quicken/Rocket Mortgage's website shows that they're currently offering 4 different resolutions after the 3 month forbearance: 1) lump sum payment, 2) repayment plan, 3) modification to roll forbearance amount into the mortgage balance, and 4) forbearance extension.
This is pretty standard throughout the industry right now, although things are changing every day of late.

Mortgage Assistance Relief Services For COVID-19

Have you been impacted by the coronavirus, also known as COVID-19? Find out what Rocket Mortgage is doing and how to get help if you need it!

www.rocketmortgage.com

If you actually have a mortgage through then you can see only one option when you are logged in. 3 month deferment then lump payment. Here is the actual screen from my account.
I found out my loan is owned by Fannie or Freddie so I know they will have to toe the line.

They insinuate that I might be eligible to have other options available but the only option on that page is to accept their plan or reject it.

 

[Vic]

Just a guy with a truck, tools and a good reputation, I usually don't charge much and always show up for work.

If you actually have a mortgage through then you can see only one option when you are logged in. 3 month deferment then lump payment. Here is the actual screen from my account.
I found out my loan is owned by Fannie or Freddie so I know they will have to toe the line.

They insinuate that I might be eligible to have other options available but the only option on that page is to accept their plan or reject it.

Mortgage servicers are going to offer those 4 options in the order from my earlier post, as that is part of the industry's standard "waterfall" for resolving defaults. You may have to contact them several times along the way to explore each option.
I don't work for Quicken/Rocket, but I suspect the reason why you're only seeing the lump sum reinstatement at this time is because the credit reporting forgiveness currently only extends for the 3 month forbearance period. Then, unless something changes, if you don't pay the lump sum reinstatement or go quickly into a modification (unlikely), they can start reporting late payments to the credit bureaus even if you're on an approved repayment plan or extended forbearance.
However, they can't go into foreclosure while you're on an approved plan, and the foreclosure process can be lengthy depending on where you live.
Good luck and stay safe.

 

[Jaskalas]

The problem is they need a backstop. The loans are securitiezed and if you don’t pay the company has to make up the difference to the bond holders or else risk defaulting on the bond payments.

It is time to end these companies. Let them fail. Pick up the homes on a new federal loan program backed by Basic Income. With the express purpose of protecting the resident. They can be paid for indefinitely if we just had the will to protect our people from predators.

 

[Greenman]

So how did you solve this problem? Were you able to find a compromise or did the bank completely reject your terms?

His last post was 2 years ago, so my guess is it didn't go well.

 

[pete6032]

The bank now owns his home.

 

[brycejones]

His last post was 2 years ago, so my guess is it didn't go well.

If you look at his post history it’s pretty clear he left for other reasons.

 

[ivwshane]

Let me guess you’ve got a great recommendation for a great lender?!

Thanks bot!