Investor Tired of Servicers Not Modifying Takes Action

Lisagerth at 23:16 2009-09-23 said:

I have a scenario where Indymac is the lender and COuntrywide is the investor, but they say no modification an be done? Was put in a repayment plan and that's all they want to keep doing? I don't understand why all these people are getting modifications but we can't seem to get anywhere with Indymac and Countrywide. Any light shed on this would be greatly appreciated. Permalink

mortgagemess at 00:17 2009-09-24 said:

Catherine, are you sure Indymac is the Investor and not Deutsche Bank? The reason I say this is that I am currently trying to help my mom do a loan modification. Indymac/OneWest is the servicer and Foreign Owned Deutsche Bank is the investor. After wasting our time telling her to send in a loan modfication, and upon us calling them back several weeks after the loan modification was submitted, OneWest Bank(formerly Indymac Bank) told us by through the customer service rep and manager that quote, "Deutsche Bank has made the decision to not participate in ANY loan modification program at this time." I asked the servicer if they would send us THIS in writing. They refused stating that they couldn't. Isn't that insane. So you are willing to say it VERBALLY but not put it in writting..Hmmm.seems someone is trying to protect themselves.... Permalink

mortgagemess at 00:19 2009-09-24 said:

Catherine, are you sure Indymac is the Investor and not Deutsche Bank? The reason I say this is that I am currently trying to help my mom do a loan modification. Indymac/OneWest is the servicer and Foreign Owned Deutsche Bank is the investor. After wasting our time telling her to send in a loan modfication, and upon us calling them back several weeks after the loan modification was submitted, OneWest Bank(formerly Indymac Bank) told us by through the customer service rep and manager that quote, "Deutsche Bank has made the decision to not participate in ANY loan modification program at this time." I asked the servicer if they would send us THIS in writing. They refused stating that they couldn't. Isn't that insane. So you are willing to say it VERBALLY but not put it in writting..Hmmm.seems someone is trying to protect themselves....

Sorry thought I say Catherine's name there LisaGerth..the comment above is for you.

To me the situation with Deutsche Bank is what happens when you let foreign banks INVEST in the American system...But I am sure Deutsche Bank is enjoying the benefits of using us and our American money. Permalink

SteveP at 01:14 2009-09-24 said:

Impac is not an investor, they were the issuer. Impac originated mortgages, packaged them and securitized (i.e. sold) them on Wall St. The institutions that bought the bonds backed by the Impac issued MBS are the actual investors. The institutional investors are typically pension funds, insurance companies, foreign governments, etc. Countrywide/BofA is the Master Servicer pursuant to the terms of the MBS's Home Loan Owner's Trust's prospectus. In order for Impac to be in a position to modify a loan it originated that had already been securitized and had it's servicing transferred, Impac would first have to repurchase the loan from the security (of which they would need the security underwriter's permission.) Sometime ago Impac used to use Paine Webber exclusively to underwrite their deals. In their final years, I'm not sure which investment house they were using to underwrite their MBS deals. Permalink

dowens at 03:45 2009-09-24 said:

Hi Lisagerth,

My husband and I have been having the same problem. CW originated the loan (my husband worked for them at the time) and as far as I know they still have it. We have been working on our modification for over a year. In June it was finally approved and we made two pymts. CW called us back and said they screwed up the paperwork and they needed to redo the modification again. In the mean time we are still sitting here, calling them once a week and no word on what the status is. A friend of ours had their modification done 5 months, another friend went through a third party and theirs was done in 3 months. What is going on with CW/BOA that they can't get their sh*t together to do these mods. Is it the investors fighting back with the lawsuit stating that if the mods are done CW has to buy them back? Permalink

lb1141 at 00:39 2009-09-27 said:

I think we all recognize that the entire system of capitalism is set up for one thing: maximize profits while minimizing risk. It sort of mirrors the survival of the fittest structure that forms the basis of life itself. From a macro perspective, the system is blind to the individual circumstances that make up an individual loan. We celebrate this structure in the name of capitalism, but when it starts to affect our way of life, ie mass foreclosures, dramatic reductions in property values, increased unemployment, etc., capitalism in the banking industry becomes the "shark" in this great circle of life. Right now, the banking industry are like "sharks" moving too close to the beaches during the summer vacation season; or coyotes feeding on our toy poodles because the sub-division is crowding out their living spaces.

There is an upset in the balance of financial nature, and we must figure out a way to protect ourselves in the short term, while not upsetting the very delicate structure that is our system of capitalism. In spite of the monumental pain and suffering this current crisis has generated across this country, the system isn't really broken. The CMOs and mortgage-backed securities that helped facilitate this crisis, and all their profit-centric managers and shareholders, did what they were supposed to do...try to maximize profits. But there wasn’t a set of controls to oversee and ensure the balance was preserved. Blame the politicians and regulators, yes, because they are the ones entrusted to “referee” and police the waters of capitalism to ensure a reasonably level playing field. When politicians start thinking like capitalists, as they have done throughout the beginnings of this crisis and continue to do as they protect the lenders, the structure is out of balance.

We need to use our voices to demand the regulators regulate, while preserving this free enterprise system that has served all of us so reasonably well the past couple of centuries. I truly hope we learn from this crisis to demand more accountability from our leadership, and yet still remember that profits are a good thing. Greed unchecked, however, can jeopardize this robust yet delicate system in which we are so fortunate to exist.

Keep on ringing the bell, Mandelman… Permalink

bosslady75 at 00:22 2009-10-03 said:

Go direct! Call contrywide and tell them IndyMac is not working with you and see what they say. I have many files with IndyMac that have been just sitting there for months in the review process. The true problem is that IndyMac/One West signed on the HAMP program, then they waited for the investors to do them same and it has cuased a big back up. Plus, if you were in review for a mod under a standard modification they are takinmg everyone and re-reviewing them for the HAMP instead to see if they fit.

I had a borrower with Wells that just finished a "Wells Fargo trial plan" and Wells went over 15,000 borrowers on the same plan and re-reviewed them for the HAMP to see if they qualify. The reason...HAMP is insured by the gov, and they would rather lower the risk levels as much as possible.

Nut shell...If you apply for a mod...use these key points. 1. review your Gross income (gross x 31% = proposed payment)

2. make sure you dont create a big deficit thinking the bank will help you more. What happens is you show the bank you really cant afford your home. So make the deficit no more than 100.00 to a 100.00 surplus. That is your qualifying bracket. 3. Debt to Income > make sure not too high. 4. Find the value of your home > take the unpaid balance and compare to the true value of the home.

If you have question you can email me too. [/img] Permalink

Dorian at 04:44 2009-10-12 said:

To Mortgage Mess- I’ve been getting the run-around from IndyMac for well over 6 months now. I have written to my senators and congressmen as well as the office of thrift supervision. IndyMac had declined to modify our mortgage repeatedly and I have papers from them saying that their participation in the modification program is “voluntary”. Yet time and again news articles say that banks that received TARP money are ‘required’ to participate in the program. I also recall Tim Geithner saying that on TV. I wish I could get a straight answer to this. Are they required to participate or not? And who to contact to hold their feet to the fire?

They originally declined our loan mod because we were current on our mortgage. I replied that they are supposed to modify troubled mortgages even if people are current according to HAMP guidelines. Then one customer service rep told me that Deutsche Bank actually owns our loan and that they set the rules (and yes I have this from her in writing). I questioned her on that. I said "Aren't all banks that received TARP money supposed to participate in Obama's mortgage plan"? She said that they had to comply with Deutsche Bank's rules, that they took precedence over any US Government rules, and that they were merely the loan servicer. Duetsche Bank and IndyMac both received TARP & bailout money and Deutsche Bank's hedge fund actually bet against the housing market which helped cause the meltdown. My congressman wrote to them on my behalf to question their procedures. The response they sent to him claims that participation is voluntary. I also have this in writing.

I was shocked that the woman at IndyMac would actually put the DeutschBank stuff in writing! If you need that I'll be happy to email it to you...just leave a message on this board with your email address and I'll send it asap. Dorian Permalink

Justin Case at 11:41 2009-10-29 said:

Dorian:

Please, please, please....send me the written documentation. I live in California and believe this information could be instrumental in helping everyone here. The reason is because California passed the Foreclosure Prevention Act and OneWest filed an application to be exempt saying they had a "Comprehensive Loan Modification Program." The written documentation could help a LOT of people. Again, please, please, please...send me the written documentation. My email address is...justincase5575@yahoo.com. I look forward to hearing from you and anyone affected by Indymac and/or Deutsche Bank as the investor.

Justin Permalink