Just Because The Criteria Is Lower, Wells Fargo Loan Modification Is Still Hard To Get

A Wells Forgo loan modification is now easier than it was due to the Home Affordable Modification Program. Wells Fargo qualification standards now are very comparable to other lenders in the loan modification process.

Both Wells Fargo and Wachovia loan modifications are easier to qualify for. Wells Fargo and Wachovia merged December 31, 2008, so both companies have the same standards for loan modifications.

The requirements have gotten easier, but getting approved is a different story. Wells Fargo maintains a high standard on approving modified loan even though there is approximately $75 billion dollars allocated to lenders from the Home Affordable Modification Program.

Homeowners have said that their applications were denied, even though they met the entire standard and they did not receive any explanation. Other homeowners said they had difficulties dealing with the staff. Even with a streamlined online application system, there are still difficulties and unexplained denials.

Before working with the lender, make sure to have documents for the following: income, taxes and monthly expense as well as a well written letter explaining your financial hardship. If using the online system print it out before submitting it and mail and fax a copy to Wells Fargo. Once you know they have received your paperwork call them and try to set up an appointment with the loss mitigation department. Ask if your application has been reviewed and if they have a decision. If it is denied, then ask for specific reasons why.

It is also suggested you try using a representative from the Housing and Development Department. The services they provide is free under the Home Affordable Modification Program and are there to help homeowner, not the lender. These representatives will also help negotiate for you.

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Obama's Home Loan Modification - See If You Qualify

If you are going through financial hardship and are unable to afford your monthly mortgage payments, Obama's home loan modification plan could be the answer you're looking for to help stay on your feet. More families are going through financial hardship than ever and many have to leave their homes due to the loss of a job or the rising prices of general living expenses paired with bills. If it seems like you are in a financial situation that has no way out and you are on the verge of foreclosure with your home, ask yourself these questions:
1. Did you secure your mortgage prior to Jan. 1, 2009?
2. Is the mortgage you are having difficulty paying below $729,500?
3. Do you live on the property that you are having difficulty keeping up payments with?
4. Can you collect all of your documents pertaining to your income and tax returns?
5. Can you verify that you are in genuine financial hardship?
6. Is your household debt over 55 percent of your total income? And if so, are you willing to seek financial counseling?
7. Is your credit in good or decent condition?
8. Have you been late on your mortgage payments?
If you answered yes or maybe to questions 1 to 6, you may be eligible for a modification under Obama's home loan modification plan. If you answered no to answers 7 and 8, some lending institutions may or may not come to a modification agreement with you. Lenders also look at your past mortgage payment and Bankruptcy history to determine whether you are eligible or not.
The questions above are based on the guidelines that Obama home loan modification program instated. A large percentage of the American people are a solid "Yes" all down that line of questions, and that is why the Home Affordable Modification Program was created: To assist millions of Americans in keeping their homes through modifying their existing mortgages instead of having to take out second mortgages or move out of their homes.
Besides the assistance Obama's home modification plan provides homeowners, it also provides an incentive to lenders to accept agreements: For a successful modification agreement, the lending company receives $1,000 at the end of the year for three years as long as the borrower pays their mortgage on time every month. This must be done to encourage lenders to accept loan agreements, since the agreements reduce the amount of money they get from borrowers.
Modifying the loan will lower the monthly mortgage payments for homeowners, as well as reducing the overall interest rate in most cases. If not for the incentive, lenders would be taking a simple loss and would be far less receptive to Obama's home loan modification plan and loan modification for homeowners in general.

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Why Doing It Yourself Is Key To Getting Your Loan Modified

When you buy a house, you hire an attorney. When you need your computer fixed, you hire geek squad. In general whenever you are faced with something you don't know, you get an expert to help you. It is the opposite when trying to modify a home loan. Hiring an expensive firm to do your loan modification is the worst mistake you can make. There are a couple of reasons why.
Firstly, firms often charge thousands of dollars and in the end bring in less then stealer results. This leaves you in a bind. Not only did you fork over thousands of dollars for their services, you are also in a worse situation than you started in.
Secondly, when lenders see that you have hired a firm to do your loan modification, it sends red flags. They automatically think if you have thousands of dollars to shell out on a firm, then you are not in a bad financial situation. Either they dismiss your application, or put your application in a place where no one will ever find it again.
Lastly and most importantly, loan modification is a one time thing. If your application gets rejected the first time, it will be almost certain that it will be rejected again.
On the other hand you can't just expect your loan being modified with out knowing the subject inside an out. Your lender will reject your application if not done properly, and with out knowing what to say, they won't take you seriously. This might be the last chance to save your house, you need to be prepared.
The solution is 60 Minute Loan Modification kit. 60 minute loan modification was created by a loan modification expert who modified numerous homes for himself and his clients. It provides all the forms, show you how to write a professional hardship letter outline that will get your lenders attention, and even has a taped conversation of a lender talking to a borrower so you can hear exactly what you should and should not say to ensure you end up with what you wanted. It has everything you need.

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