My loan is not Fannie Mae or Freddie Mac backed, can the Making Home Affordable Program help me?

The MHA and HAMP programs are designed to help homeowners with Freddie Mac and Fannie Mae backed loans only. However, there are other programs out there for homeowners who do not have loans with these institutions. Regardless of credit score or payment history, these programs are designed to help homeowners stay in their homes and avoid the foreclosure process. One of the first things a Lender will require from the borrower is a Letter of Hardship explaining the borrower’s situation and why they cannot continue with their current loan.

The federal programs Making Home Affordable (MHA) and the Home Affordable Modification Program (HAMP) provide incentives to Lenders for modifying loans and getting borrowers into more manageable loans. These incentives are funded by the American taxpayer and so every borrower facing trouble with their mortgage should look into these programs. To find out more about the HAMP and MHA programs, borrowers should review the MHA website www.makinghomeaffordable.gov and HAMP’s at www.hmpadmin.com. Additionally, borrowers can contact a loan modification attorney for advice on which program would benefit them the most.

If you have a first lien and second lien, the first lien is the only loan that is available under the HAMP program.

Here is a current list of what banks are participating in the HAMP program:

• American Home Mortage Servicing, Inc.
• Aurora Loan Services LLC
• Bank of America, N.A.
• Bayview Loan Servicing, LLC
• CCO Mortgage
• Carrington Mortgage Services, LLC
• CitiMortgage, Inc.
• Citizens First Wholesale Mortgage Co.
• Countrywide Home Loans Servicing LP
• EMC Mortgage Corporation
• Farmers State Bank
• First Bank
• First Federal Savings and Loan
• GMAC Mortgage LLC
• Green Tree Servicing LLC
• HomEq Servicing
• Home Loan Services, Inc.
• IBM Southeast Employees Federal Credit Union
• J.P. Morgan Chase Bank, NA
• Lake City Bank
• Lake National Bank
• Littion Loan Servicing
• Mission Federal Credit Union
• MorEquity, Inc.
• Mortgage Center, LLC
• National City Bank
• Nationstar Mortgage LLC
• Oakland Municipal Credit Union
• Ocwen Financial Corporation, Inc.
• PennyMac Loan Services, LLC
• PNC Bank, National Association
• Purdue Employees Federal Credit Union
• RG Mortgage Corporation
• Residential Credit Solutions
• Saxon Mortgage Services
• Select Portfolio Servicing
• Servis One Inc.,
• BSI Financial Services, Inc
• ShoreBank
• Technology Credit Union
• Wachovia Mortgage, FSB
• Wachovia Bank, NA
• Wells Fargo Bank, NA
• Wescom Central Credit Union
• Wilshire Credit Corporation

Once a borrower has contacted a bank about a loan modification through HAMP or MHA, they are not allowed to proceed with the foreclosure process. Usually the Lender will place the borrower into a trial loan modification period in which the bank estimates the borrower’s new lowered payments and sees if the borrower is able to make them on time. Missing one of these payments usually disqualifies the borrower from a loan modification.

Under the HAMP program the borrower must be using the house as their primary residence and the loan must have originated prior to January 1, 2009.

For more information about loan modifications and other financial information feel free to browse our website at www.callALMS.com and chat with us live!

Tags: government loan modification, hamp, home affordable modification program, loan modification program, making home affordable, mha

This entry was posted on Tuesday, December 15th, 2009 at 6:31 pm and is filed under Attorney Loan Modification, Industry Information, Loan Modification. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.