Question by matz129: Why wont banks refinance – loan to value even?
Our loan to value is even and we are making the payments on a variable rate mortgage but we have tried for over 3 years and no bank will refinance or do a modification of our terrible loan. If the market goes up we could lose our house because the variable rate will raise our rates to a point we will not be able to afford. We are barely making it now and have applied and been rejected the government help. It seems like the government programs are only helping those that are in dire need which is all good. But people that have good credit are not being helped? The system is being reversed, I dont understand it? Is it because the market is so bad?
Best answer:
Answer by grovette
Because banks are rotten and evil, and will only “help” you when they can help themselves in return. When they can’t benefit they’re not there for you. Sorry, but true.
Best advice? Never have more than you can afford to have. It’s better to live without than in constant fear of losing what you’ve got.
What do you think? Answer below!
Most banks are so bad they won’t talk to you about Loan Modification/Refinancing until you are 3 months behind. Then they panic and call you everyday! Their loss mitigation department will ask you to fill out a package and a hardship letter explaining why you would not make the payment. Remember this, there are too many foreclosures congested the market…when they want your money they will do anything!
Another way is to contact a foreclosure lawyer, tell him what you want and he will negotiate with the bank to get you a better deal for you. Besides, it is your primary residence, you can do that! Look for the lawyer who charges a fix-fee instead of that charge by hours. You will find that they’re well worth every penny.