Countrywide settlement with several states

[luna]

http://rds.yahoo.com/_ylt=A0WTTktWcvhI29cALxPQtDMD;_ylu=X3oDMTBjcDR2NTN 2BHBvcwM2BHNlYwNzcg--/SIG=144a8787u/EXP=1224328150/**http%3a//news.yahoo.com/s/usnw/20081006/pl_usnw/cox_announces_michigan_settlement_with_mortgage_le nder_countrywide


Cox Announces Michigan Settlement With Mortgage Lender Countrywide


Countrywide to pay nearly $10 million, providing assistance for more than 10,000 struggling Michigan families


LANSING, Mich., Oct. 6 /PRNewswire-USNewswire/ -- Attorney General Mike Cox today announced a major settlement between the State of Michigan and Countrywide Financial, the nation's largest mortgage lender, resulting from allegations of predatory lending. The settlement will provide relief for more than 10,000 current and former Michigan homeowners who are struggling with the national home foreclosure crisis.


"Through our negotiations, we have provided a helping hand to thousands of Michigan families who are struggling with the foreclosure crisis," said Cox. "And, unlike the Wall Street mess, this was no bailout. Countrywide is paying, not the taxpayers."


Cox conducted national negotiations with Countrywide and other state attorneys general due to allegations of questionable lending practices. Those lending practices included misleading marketing techniques and incentives for selling loans with risky features, which may have contributed to the national increase in foreclosures.


As a result of the negotiations, Countrywide must offer to refinance thousands of Michigan mortgages, provide millions in financial assistance and stop questionable loan practices.


Under the terms of the settlement, Countrywide will:


-- Refinance as many as 9,700 mortgages in Michigan, giving families an opportunity to keep their homes, and saving them approximately $129 million as a result of more favorable terms.


-- Pay more than $9.8 million to assist Michigan homeowners who lost their homes to foreclosure. These funds will also be used for borrower education programs and neighborhood rehabilitation efforts.


-- Pay relocation assistance payments to certain homeowners who go into foreclosure after the date of this settlement, costing Countrywide up to $70,000,000 nationally.


-- Stop selling subprime and option ARM loans in Michigan for two years, and impose new limits on the sale of low or no-documentation loans.


-- Cap the amount a broker can earn to 4% of the amount borrowed.


-- Stop an automatic foreclosure process until certain details regarding the mortgage holder's situation have been verified.


-- Report quarterly to the Attorney General on the status of its troubled mortgages and what is doing to keep them from going into foreclosure.


-- Maintain a specified number of staff focused on helping troubled homeowners avoid foreclosure proceedings.


Homeowners who acquired a loan from Countrywide Financial can call the Countrywide hotline for more information at 1-800-669-6607.

Citizens who feel they are victims of questionable lending practices can file a complaint with the State of Michigan Office of Financial and Insurance Regulation at 1-877-999-6442 or the Attorney General's Consumer Protection hotline at 1-877-765-8388.

SOURCE Michigan Attorney General

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[luna]

So of course I want to know -- what are the chances of getting this blackmark off my credit report? I mean obviously they are admitting to bad practices??

[luna]

~bump~

[alikeith]

I too am anxiously waiting more details on this program. I have a subprime hybrid loan that they already locked at my intial rate of 8.35% for 5 years, then it goes up. I have had a loan mod with countrywide as well, to get missed payments added to the loan.

Right now my mortgage payment is about 60% of my income. I hope i end up qualifying for this.

[luna]

Well -- I called the AG and asked regarding the settlement. They told me I would have to call Countrywide. They told me I would have to call Trott & Trott. I asked what a collection agency would have to do with a settlement. Particularly one as nasty as they were. I was told they handle all the legal matters. So deep breathe -- called them and they were already closed for the day. I'll try again tomarrow but why is there nothing on the AG website??

And where are all the foreclosure people anyway? I know there's got to be more than the handful that post on here.

[vettegirl]

When I call CW and enter my account# it gives me a recording that my account is eligible for the "National Homeowner's Retention Program". I am in foreclosure currently. CW has been calling me the past few days, so I called back and they were asklng if I was still interested in keeping my house, if I still lived there, and if it was in good condition (yes to all). Then they asked for 2 months proof of income for everyone in household to begin the process.

One question - if I renegotiate with CW what happens with my 2nd mortgage thru HFC? I know if it went to foreclosure sale it basically turned into an unsecured debt, but wouldn't it have to be renegotiated into the new mortgage???

[alikeith]

Which telephone number are you calling and getting that message. I am not getting that when i call the 800-669-0102

[vettegirl]

Which telephone number are you calling and getting that message. I am not getting that when i call the 800-669-0102

Try 1-800-641-5302. Faxed in my proof of income today, I'll let you know what happens next.

[DEANNATX]

Which telephone number are you calling and getting that message. I am not getting that when i call the 800-669-0102

1-800-669-6607 is the cust. service # that I called yesterday to change a payplan draft date. When I first called, even before I keyed in any identifying info it asked me if I wanted more information about the plan. Try that #.

[alikeith]

hi-
I called the 800-669-6607 and the 800-669-6650

When you gave your financials, were you showing that your income was less then your expenses?

Just curious.

THnaks!

[vettegirl]

Yes.

[alikeith]

Did they say anything about wanting bank statements or tax returns?

Was it the call center in India that you got put though to to give your info?

I am a little worried because i read on the fact sheet that your loan to value ratio has to be 75% or more. I am right around that or below depending on what they say my home is worth.

Thanks for all your help. Appreciate you taking the time to answer my questions. :)

[vettegirl]

I don't think it was the call center in India. They said they needed my income info for past 60 days first, which I faxed in last week, and they would tentatively approve or decline based on that. If approved at the income point I would then recieve a letter requesting my other information. I'll keep you posted on what I hear.

[alikeith]

Thanks for letting me know.

So they wanted 60 days of income, vs 2 paystubs? hmm...

I am concerned because i have some OT on my checks, but i normally dont have any OT. I guess i will have to make sure they are aware of that.

Nothing was said about bank statements?

[vettegirl]

Thanks for letting me know.

So they wanted 60 days of income, vs 2 paystubs? hmm...

I am concerned because i have some OT on my checks, but i normally dont have any OT. I guess i will have to make sure they are aware of that.

Nothing was said about bank statements?

No, just proof of income for past 60 days. I'm a little worried too, but hope they have some incentive to work with us considering the current housing market. I also filed my "Produce the Note" motion with the Clerk of Court on the way home. I'm willing to try everything before I give up.

http://www.debt-consolidation-credit-repair-service.com/forums/showthread.php?t=290967

[alikeith]

Considering the market and the lawsuit, im sure that they will be working with us. I am trying to stay positive. :)

Did they give you an idea of how long until they contact you again?

I was reading some details on the settlement, and they have up to 60 days to get the modifications approved and completed once started. So there still could be quite a waiting game. I hate waiting...lol

[vettegirl]

No, they just said I would get a letter letting me know if they would proceed. They also said they would update the status of my account on their website each step of the way, but nothing yet.

[alikeith]

I was wondering if you have the number they told you to fax everything to? I got it yesterday, and now have misplaced it. Dont know how. :(

[vettegirl]

I was wondering if you have the number they told you to fax everything to? I got it yesterday, and now have misplaced it. Dont know how. :(

Here you go: 800-658-0395.

[alikeith]

Thank You!!

I faxed my info in last Weds. So were you told that you would recieve some info in the mail from countrywide between Dec 3-5th? Thats what the lady on the phone told me. Just curious.

[vettegirl]

Thank You!!

I faxed my info in last Weds. So were you told that you would recieve some info in the mail from countrywide between Dec 3-5th? Thats what the lady on the phone told me. Just curious.

Yes, she said if my income was sufficient I would get info on how to proceed, if not I would get a letter saying that too. Nothing yet, I'll keep you posted. :)

[luna]

Hopefully they'll work with everyone trying to stay in their home. The last mortgage retention program was a joke ~ and this one too late for my family. However when I called the AG office she told me they're alittle better than they were before. Emphasis on alittle.

Everyone regarding those who've already lost their home will begin being contacted Dec 1 (today) regarding the $2000 pay-out. Don't quote me on that number but that's what I was told. A smallprice VS losing your home but it's unexpected. I was told to allow a few days for them to get to everyone so be patient.

[alikeith]

I went online to view my countrywide account, and it shows that they recieved my paystubs. Also says i should hear something by Dec 15th.

[vettegirl]

I went online to view my countrywide account, and it shows that they recieved my paystubs. Also says i should hear something by Dec 15th.

Where did you log on? My account says "unable to log on - try back in a few minutes" but it has said that for weeks now. This is there regular site, is there another site for the settlement status info??

[alikeith]

No, you just log in to the regular site at countrywide.com.

[vettegirl]

Still nothing from Countrywide, good or bad....I did receive a "one time holiday offer" from my 2nd mortgage holder, HFC, to settle in full for 1/3 of the balance. I'd love to if I could, but don't have $30k sitting around. Very strange for a mortgage holder to make an offer like that though, isn't it??

[alikeith]

Nothing still for me too!! Its frustrating as i am reading about others getting offers. People whom submitted their info after me even. Grrr...

Does your account show an estimated file close date? If you call the rep, they have that info. I bleive mine was Jan 2nd or 7th.

[alikeith]

My mod is approved. I have not gotten my paperwork yet as the weather has delayed it to getting to me.

have you heard anything?

[vettegirl]

My mod is approved. I have not gotten my paperwork yet as the weather has delayed it to getting to me.

have you heard anything?

Nothing yet. Did you get a letter?? Congratulations!! :)

[alikeith]

Yeah it was approved! Have you checked your online account??

I dont know all the details yet. My paperwork should be here today.

I do know that for one year, starting with my first payment due MAr 1st, my intrest rate will be 4.65%, this equals to a payment of $850.00 a month. It was $1400.00 a month.

I will let you know what the remainder of the loan will be once i found out tonight.

[vettegirl]

That's great, what a weight off your shoulders! :)

I still can't get into my online account, I'll call when I get home is there's nothing in the mail.

[alikeith]

It will come via FEDEX when it does come.

Today i had an automated message left from countrywide, stating that there was some important papers coming from them via Fed Ex, and to watch for them.

The one thing i can tell you is there system is slow at updating. Even though when you call, they may have no info, that does not mean anything. :)

[alikeith]

So because i had a subprime hybrid loan, one of the options they were giving us, is a 10 year interest only. That is what my offer is.

I am cool with that. It increases every year about .25%, then goes to a fixed rate of 8% at the end of 10 years. Principal and Interest payments.

Right now only about $125.00 of my payment goes to Principal anyway, so i can just send more a month if i choose to pay down the Principal.

My payment went from $1400.00 to $850.00. I am happy.

[vettegirl]

I finally called Countrywide today. My loan is still "In Review" - he told me to be patients and check back every 3-4weeks becuause they were mailing out 4000 renegotiation packets per month. He just asked if my income and debts were the same becuase they were supposed to update that every 30 days, then told me to be patient. So, I guess I'll be patient - at least he didn't tell me to "get out". ;)

[alikeith]

So any news yet???

[vettegirl]

Still nothing...

[vettegirl]

OK, yesterday there was a FedEx package at my door. Same program as alikeith, 10 years interest only starting at 4.85%, increases .25% every year until it maxes out at 8% (I am currently at 8.75% anyway). Payment is $1019., down from $1979. The only question I have that is not addressed in the paperwork is how does this effect my 2nd mortgage, or does it at all?