bearisgray

Interestingly enough, he seems less depressed now (overall) than he has for a long time.


It doesn't make sense does it ?

Be caught up with the payments, lender won't work with one.
Be behind, lender still won't work with one.


I do pray for the well-being of our whole nation - actually the whole world.

We've gone astray - and I'm not sure how we can get back on the right path again.

Greed, short-sightedness, and ignorance - - - - - -

LovingIzabella

Brush,
Indymac failed in 2009. On March 19, 2009, the Federal Deposit Insurance Corporation (FDIC) completed the sale of IndyMac Federal Bank, FSB, Pasadena, California, to OneWest Bank, F.S.B., Pasadena, California. OneWest Bank, FSB is a newly formed federal savings bank organized by IMB HoldCo LLC. All deposits of IndyMac Federal Bank, FSB have been transferred to OneWest Bank, FSB.

And now I am going to say the following:

I have not spoken on this topic because I sit on the other side of the fence and work for a Credit Union (which is nothing like a bank as we are for our members and not for profit). We have very little problems in my CU with foreclosures. We understand when people loose their jobs and can no longer make payments. When this happens you need to contact the holder of your loan and speak to them about a loan modification. Yes it will tack everything on the back end of the loan but you honestly still owe that money to them. They lent it to you.

The biggest problem I saw was when the banks were giving out ARM/sub-prime loans. People who were making $75,000 a year thought they could qualify and keep a $500,000.00 house. Seriously? When an ARM is written usually the first year (if not 3-5) are INTEREST only payments. They have to disclose to you what the payment will be once it goes to interest and principle. As a consumer you have to do your homework, shop rates, find out what payments will be and make sure you can afford them. It is not on the lender to do your homework for you and make sure you can afford the house. You have to read all of the disclosures and ASK questions. If you ask they have to tell. If you do not ask then responsibility falls on you. Sure when the rate is 1% no biggy however, when it adjusts and goes to 5,6,7,8% it increases that manageable payment to an amount no longer feasible. It is incumbent upon whomever is taking a mortgage to make sure they can truly afford the home-especially if the rate is adjustable. Ultimately we as individuals have to take responsibility for our actions. We have to know when to reach out for help and we have to know when something is "above our means". Do not hide from lenders if you fall behind. Talk to them-they do not want your home and they do not want your debt. They are willing to work with you.

I am sure I will get reamed for this but I had to say something because it is not the lender's fault if you default on payment. They have assets to protect just like anyone else.

I truly feel for those people who have lost their homes because they lost their jobs and fell on hard times, for those people who have huge medical issues that have consumed their income. What a lot of people fail to see is a very big portion of the foreclosure industry was due to people who thought they could afford a bigger and better home because of that "teaser introductory" period and they did not do their homework.

Hugs
April

PS A general good rule of thumb on what you can afford is your combined household income times 3. In my opinion if you do that and than subtract 20%-30% that should be what comfortably can be afforded.

Barbm

Issues started happening in 2006 and have tumbled since. I have seen numerous banks go under. Try having 2 closings scheduled on a Mon. to close on Fri., the Bank goes under on Wed. and we are scrambling as a new Lender can be found.

It was a matter of doing business for a while. Things are settling down in terms of the banks not tumbling and regulations in place but the worst is not over yet. There are a lot of ARMs still not set to fixed rates, etc.

But I agree- the credit unions go by a different set of rules and foreclosure rates are minimal from what I see. I bank with one and wouldn't change. They understand my small business and I have nothing to say but kudos for my cu.

There were dishonest brokers and lenders and people who should not have been approved for mortgages. Things are tighter now- but fraud will always happen as there will always be dishonest people. We just have to be more educated and diligent in our efforts to protect our homes and assets.

sharon b

I agree too many people got into houses that they should never have been in . That is why when people where telling me to move I refused ! And then the houses were definitely over priced :shock: I should be fine, as I said before , I did not buy into the bigger is better or I have to keep up with the Jones mentality .

I also realize some people are just victims of the economy, every situation is different. No-one ever expected it to get this bad and to last for so long :?

Jingle

If banks don't want to own your home by foreclosing on it, why wouldn't they get on the stick and do whatever it would take to help people stay in the home or be faster to approve a short sell to move it or keep it from deteriorating? We own our home and am thankful we had enough sence to stay with what we could afford. We have done that the whole 48 yr.s we've been married. If you live under your means, you will be living within your means. Works for us.

brushandthimble

I agree I owe my mortage, not asking for anything to be wiped out. Both my husband and I lost our jobs on the same day. My home is worth thousands more than I owe on it. I did refiance but did not take additional monies out, stayed with what we could afford with two paychecks.
My husband contacted the lender, One west at the very beginning and kept calling them, response was always "still under review". They did eventually give us a 6 months modified payment. At then when my husband called to see if anything permanent could be done he was told all unpaid monies for the 6 months modified was now due at once with interest and pentaly and a forclosure notice was going in the mail. We immediately took out thousands from 401, paid thousands in penalty and brought mortage current. 14 months later we are both still unemployeed and will be making monthly withdrawel from 401 (plus penalty) to pay mortage. We do need to sell but where would we go? No job, no income.
I thank God almost everyday for what we do have, a home that Mother nature has not destroyed like so many, good health, family, friends and a stash to keep me busy.
Sorry for the soap box :) and thanks for listening.

sharon b

6 weeks later mine is still under review, and they told me once approved only good for 6 months . I asked if all is going to the back of the loan and was told no.. they will just lower the interest for 6 months. they just don't know for how long it will be under review :?

LovingIzabella

I hope everyone is able to work things out. It takes so long at this point because there are so many. :-(
I truly do wish the best for everyone.
Hugs
April