Settlement Of Mortgages

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Thanks for your reply. I had one more question....how do you know if the account has been charged off....I called HELOC settlement dept and they said it is charged off and then backed off and said it may be very close to being charged off. Also on my PMA checking account, it no longer shows up as one of the accounts. I am actually hoping that they charge it off so that it becomes easier to negotiate.

Interesting, I closed my PMA account and moved my bank account elsewhere. With my delinquent mortgage, HELOC, and CC at Wells, I was afraid they attach my bank account. So I can't speak to the PMA not showing the account, but I can say that I lost access to viewing the account online. I logged in, but the HELOC and mortgage accounts were no longer listed there (my credit card stayed though).

Anyway, I know when it charged off because when I called my settlement negotiator in the loss mitigation department, and she didn't answer like normal, I "zeroed out" to talk to another representative. That person said that I had already charged off, the day before, and I now needed to deal with the Recoveries department. Then they gave me the phone number for that department (800-361-9965).

Other than that, they didn't send any kind of notification of the charge-off. But they did tell me a couple of times that I'd charge off at the 180 day mark.

Thats exactly what happened with me...the rep intially said it has been charged off and then backed off and said it is very close to being charged off...can you pay $321 to not let it charge off...and I said no.

I have moved my deposits and money to other account but I let the PMA checking account open...I was able to see the HELOC account online until 2 weeks back but now its no longer there....I suspect they might have decided to charge it off.

I highly appreciate your replies. You have been very helpful.

Thanks
A

Ball_Mich,

Can you double check the number you gave me....I tried calling that number but it doesnt seem to be the correct one. I called the Heloc settlement department again and they confirmed that my HELOC has been charged off. I wanted to get in touch with the recovery department to start the negotiation if I can....did you first call the recovery department or did they call you to settle?

My apologies, I had a typo in the Recoveries Department phone number. The correct number: 800-361-9985

I tried to edit the orginal post to correct it, but it won't let me.

Although I can't remember for certain, I generally initiate all calls and rarely answer the phone for creditors. So I probably called them. Plus, I tend to make my calls early in the morning before I go to work, and since I'm in the PT zone it tends to work since Wells tends to work based upon the CT zone.

I spoke with Joe P. at x 15958 and found him to be a pretty straight shooter and easy to talk to.

Thanks Ball_Mich,

I just called that number and its strange because the guy there said it has not been charged off yet and he wasn't sure why the other department said it has been charged off.

Also he said that there is no way they will take 10% and was threatening that Wells will pursue the money after foreclosure.....I told him that its purchase money and also you only have one action rule so they can sue me for deficiency.....if nothing I would go for bankruptcy to which he replied that we will get 20% out of bankruptcy...so we prefer that you go that route....He was kinda rude and trying to scare me.

I'm sorry, my experience with that group was not like that. I will say though, that they didn't immediately jump at my offer. They started at 30-35% or thereabouts as the "lowest" number they could go to. I said $xxxx is all that I have to work with. Then at the end of the call I said I'd call some family members to see what I could borrow. I did this once or twice... then I got them to meet me at my $xxxx which was 17% of the balance. I never changed my amount either, I just stuck with it.

As far as mentioning BK, the most I said was that I'm doing what I can to avoid it. Just to let them know it's on the radar, but not in a way that could be construed as threatening or gaining leverage. In talking to my unsecured creditors I've tried to use the BK card, but it hasn't worked well for me. Generally they just say "fine" and tell them to give them my attorney's name and case nubmer when I do. So I really have stopped using that.

I would just stay consisent with your 10%, and once you actually charge-off, that might grease the wheels a little bit.

Yeah, I guess I just need to stick with it. I have used BK card on my unsecured creditors and I gave them some attorney's information that I met with. That actually stopped the phone calls. Atleast for now!!!! I am trying to settle with them as well, but normally it takes about 150 days before they are willing to go the settlement route at a good discount.

For HELOC, if they do not negotiate, I do not intend to keep the property. Am waiting on the first to give me an answer on the loan mod and then I might decided how to deal with them.

Man, this is very stressful! Its good that there are people like you out there who are willing to help.

Thanks,

I'm glad I found this thread as I'm going through the same thing. I've talked to Wells Fargo regarding my HELOC which I owe $32K on. First mortgage is 127K, but the value of my condo here in Las Vegas has dropped to approx. 50-60K.

The last I spoke to them, the girl on the other end didn't seem to be all that knowing, telling me Nevada is a debt-forgiveness state. Had I been recording the conversation myself, I would have said thanks! and taken them to court had they tried to pursue me, as it was clear she didn't know what she was talking about.

I have told them I would like to settle, and got the same info (send your pay stubs, forms, etc. to a fax number). My condition is that I've been unemployed since April 1st, and started receiving unemployment benefits the first week in July because I had a severance package. Regardless, I don't intend to provide them with any financial information because I still need to a) move, b) settle with others, c) find a job.

The interesting thing I've noted is that they do settle, though it seems to be on a case by case basis. To me, this brings up all sorts of issues; understanding that no two cases are alike, the manner in which you're treated shouldn't differ--it should be consistent and if Tom in Nebraska settles for 10%, then Jane in New Jersey should be able, to. So, I'm wondering if push comes to shove, if it's worth threatening to take them to court over this as there surely has to be some unfair practices occurring. The girl whom I spoke to said they don't normally settle, but hey, the facts say otherwise.

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Originally Posted by Anonymous The interesting thing I've noted is that they do settle, though it seems to be on a case by case basis. To me, this brings up all sorts of issues; understanding that no two cases are alike, the manner in which you're treated shouldn't differ--it should be consistent and if Tom in Nebraska settles for 10%, then Jane in New Jersey should be able, to. So, I'm wondering if push comes to shove, if it's worth threatening to take them to court over this as there surely has to be some unfair practices occurring. The girl whom I spoke to said they don't normally settle, but hey, the facts say otherwise.

I don't think you'll get anywhere with that. They don't HAVE to settle with you at all. Further, YOU are under contract to repay a sum of money to them. If anyone gets sued in this equation, it's likely to be you, unless they somehow violate your rights in their collection efforts. In my experience with Wells, they always worked above the line, so to say.

If you are going to threaten a lawsuit, you are probably better off citing RESPA and/or TILA violations. That would probably get you the best traction, if you are wanting to threaten them with a lawsuit.

In the mean time, just be aware that they aren't going to jump at the chance to settle with you. To get the best settlement possible, you really need to wait until your account charges off, in my experience, otherwise the other departments may not have the authority to settle the debt (or at least not for the balance you've seen in this thread).

Great thread guys! Keep it up... Just wanted to ask a question. I'm not up-side-down (yet) and am currently getting mod done for 1st load via another bank. Been told by WF that there is no way they will settle unless property listed as foreclosure or shortsale for >3mo. True? What do you think? I provided my income and etc. and 11% offer.