Settlement Of Mortgages

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Hello- Can you post that Wells Fargo HELOC fax # per your message above? I have heloc with Wells. Thanks!

Also, if you look at your Wells HELOC loan agreement, there should be an address listed for settlements. My agreement includes this in Section 13: My Promise to Pay.

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I have yet to hear of a successful mortgage settlement. I only hear of loan mods being successfull.

That is because very few people who are in the situation of not being able to pay their bills/mortgage, have access to $100k or more to settle a mortgage. Because if you have access to that kind of money, you are probably still paying your mortgage.... But mtsims and I are really talking more about settling on the HELOC, which isn't quite the same. Secured yes. However, in my case, they are certain to come away empty handed if they don't settle.

That is true. Let me know if you guys have any success with this. I always love passing on success storys when people are going through tuff times.

i work in foreclosures and have seen successful settlements, though most people do short sales and end up moving.
these days the houses are not even selling at the auctions and to be honest, the banks really do not even want the house as they already have too many that they cannot sell.
what state are you in? i know in NJ the governor set a program that pretty much forces the bank to show up in court and meet with the deft and a mediator to try to work out options.

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what state are you in?

I am in California. We are a non-judicial state, so the lender can ask the trustee to foreclose on a property without ever going to court. And the whole thing can close in roughly 90-120 days I believe.

I expect that if/when they move to foreclose, I will probably have to sue Wells Fargo to drag out the process. It's the only way you can get in front of a court in a foreclosure here. That will give me the best leverage to work a modification. The longer the process can be delayed, the more willing they should be to modify the loan.

good luck, please keep us posted

Too bad your not in Kentucky. 5 months to actually go through the foreclosure process and then another 3 months before it actually gets a sale date.

Update: I have some movement from Wells Fargo on settlement of my HELOC. I got a message and returned a phone call to their "Loss Prevention" group. And they assigned a Settlement Negotiator. She said they received my hardship letter and my settlement offer.

The unfortunate part, is that they need a lot of information to consider a settlement: 30 days of pay stubs, 3 months of bank account statements, and a financial statement or budget showing all income/expenses.

And I don't think I'm going to provide that. I have no idea what their little black box formula will spit out after they input my data, and frankly I don't trust it. Plus, I'm hesitant to provide any personal information that can be used to "collect a debt" as they warn you every time you call.

Has anyone had any luck arguing with creditors, secured or unsecured, to get around their request for this financial information?

In my situation, it just isn't applicable anyway. The home is already in the foreclosure process, and the HELOC is going to get nothing in a foreclosure and subsequent sale. Their verfying of my income and expenses, isn't going to change the fact that their asset securing the loan is going away to the first mortgage lender really soon.

sassy - that is how NJ is, plus the courts are always backed-up so it's a good year before anything could even begin to happen, plus the deft can always get more time once the sale is scheduled..

You could also try FTC's Money Matters section on Mortgages or see if you can avail yourself of the extra assistance provided by the 2009 Stimulus plan.

If you move fast, you may save the home and get it out of foreclosure.