My Chase Loan Modification Took 18 Months

My Chase Loan Modification
Took 18 Months

(USA)

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My Chase Loan Modification Took 18 Months

Our Chase loan modification process was literally hell for us. After being told it would take up to 3 months, Chase kept prolonging it due to the fact that they were busy and kept restructuring.

Chase refused our payments yet every month added late fees and additional interest.

I was on the phone to Chase Bank at least every week. We were told at one point that we were near completion, it went to the adjuster and through that process. We did more paperwork and waited for the final response. We were told that we were going into a trial modification and the paperwork would be sent. After a couple of weeks of not receiving anything, I called Chase only to find out that the adjuster had not completed the file and had to restart the process from the beginning as the file was too old.

At this point I got an address to start sending payments, only to find out after three months that Chase isn't even using this address anymore and it took over a month for the payments to be received by them.

Finally after 18 months our loan modification was done. We were told that they would not extend the time period of our loan, instead they slightly decreased our interest rate. No additional fees were to be charged, but by this time, our balance that we were behind had grown to a little over $13,000 and this amount was added to the principle balance increasing our loan to much more than what we paid for the house.

I am not sure if this is correct or legal but to me seems wrong as the outstanding $13,000 is already part of the principle balance so why would it be added to it again? Meanwhile, our credit is screwed, our mortgage payments are only a few dollars cheaper than they were originally and I have no idea if what they did is correct or not...

Chase Mortgage Loan Modification Answer:

by Chase Mortgage Loan Modification Expert - Dan North

You still have some options left that may help you fix the modification that you now have. If you have not yet signed a loan modification agreement then make a counter offer with reduced interest (2%) extended mortgage term (up to 40 yrs) and principle forbearance. Run an NPV Test (Net Present Value Test) spreadsheet and play with the variables to see your options on lowering payments that will pass the NPV Test. Make a counter-offer that passes the test.

Can I Fix A Bad Permanent Loan Modification Once Signed?

It is easier to fix a bad offer by Chase than getting them to change a modification that has been approved and signed into a new contract. The handlings are basically the same but you may have to wait one year before re-applying for a new loan modification with Chase. But give it a try, you may get Chase to re-consider.

Use the above NPV Test to work out an offer that passes the test that you can afford. This will be your new offer. Now send a Qualified Written Request that your current modification be reviewed and that critical flaws be corrected. Your new offer is the proposed correction to the critical flaws such as the double billing of unpaid principal balance, explain what you want changed.

Follow directions for sending a Qualified Written Request covered here - How To Save My House From Foreclosure - 3 Ways To Stop A Foreclosure Sale. Do send all three written requests.

Contact the HAMP Escalation Team and report the overcharging and failure to cooperate as well as the added time to the process. Ask for help to correct Chase on your loan modification. Follow the directions at Loan Modification Process With Chase Is Taking Too Long.... You can also file complaints at Comptroller of the Currency Administrator of National Banks on-line Complaint Form the FTC on-line complaint form and with your State Attorney General. You should send copies of all complaints to Chase CEO, Legal Dept, Director of HAMP Modification Dept and Public Relations Director.