Tag Archives: stacks

Dumpty Humpty Sat On A…Winning With Credit Repair (Page 1 of 2)

When Dumpty Humpty fell off the wall the creditors started calling and sending threatening letters all about what they were going to do to you and your credit. With speed dialers and predictive dialing systems there is no escape from this onslaught of harassment. Only a positive and proactive plan can meet and beat this bombardment from the creditors. The pieces after the fall can be put together again and it won’t take all the king’s men, you can do it yourself. I’m assuming there is some cash flow and some continuing employment for what follows.

Like other challenges, whether it is medical, academic, work or whatever the case, a proper assessment of where you are at is the first step and by recognizing there is a problem is in the forefront and foremost to a solution. An inventory has to be taken of income, living expenses, luxury items, and monthly debt that must be met. If it is a married couple, both have to participate in this process from start to finish to have a chance at any success. A foreign term to many households is the word “budget”. After the eye rolling and plowing through the denials of any existence of a problem a decision needs to be made to address the challenge of being upside down on consumer debt. The alternatives are not pleasant. This single issue of consumer debt has plunged many a marriage into the divorce courts further complicating an already challenging situation. If an individual or a couple can come to grips with saying yes to working out a plan that is a winning point in the first skirmish of this battle.

All the credit debt has to be laid out on say the kitchen table from: the home mortgage payment obligations, all credit cards with balances, utility bills, cable bills, cell phone bills, water and sewer bills, garbage bills, club memberships, spas, book clubs, day care requirements, lawn service, health insurance, life insurance, disability insurance, maintenance contracts, gasoline cards, auto repair bills, auto insurance, school supplies and expenses, internet service, magazine subscriptions, team sports and leagues, recreational activities, vacation plans, 401(k) and IRA status or other retirement accounts, religious donations and pledges, charitable contributions, your current with holding exemptions for income tax and any other type of expenditure that is made on a monthly or yearly basis. From this step you can start prioritizing each expenditure by establishing separate piles and stacks of bills from the most important to the least important. In most cases the mortgage payment obligation will be in the highest priority pile then home utilities. Everything else would be secondary, otherwise, you may be moving soon. The credit cards would be stacked in a pile and by priority other stacks may be separated as well. All this information needs to be listed on a sheet with due dates with balances and required payments. The customer service numbers need to be listed along each item together with the account numbers. It is here that brutal honesty must prevail on what absolutely must be paid. If there are children involved and can be included in the discussion then all the cards must be laid on the table. They will figure it out by themselves soon enough. It will be an important life lesson for the future when they have the opportunity to start making their own way and have credit choices to make. The vision of the pile of bills stacked on kitchen table will be a strong example if credit privileges are abused. Likewise, when this situation is turned around the children can feel a real sense of accomplishment, as they were part of the process to a winning resolution.

How To Get A Loan Modification In A Week Or Less

If you want to get your loan modification approved in a week or less, good luck! It is almost impossible…or is it?

If you know anything about loan modifications, you know that it generally takes 2 to 3 months to get the modification approved. It is a stressful process if you are the homeowner desperately waiting for an answer. Some lucky people can get this done in about a month, but this is very rare. Getting it done in a week or less is almost unheard of!

The reason it takes so long to get a loan modified is because there are so many people in need of this service. Lenders have stacks and stacks of files on their desks and not enough employees. It takes a long time to sort through all those files and get the loan mod completed.

There are a few companies out there that have such close relationships with lenders that they will actually allow them to take some of the unbearable workload off their backs. There are only a few companies that do this because it is very hard to come up with the necessary ratios to get this accomplished.

What this means in lamens terms is this: A company that provides this service can call up your lender with your loan number. They speak to a case manager and review your file. They approve or deny the loan modification right away and tell them what your interest rate and payment will be. They can then tell you what the terms of your modification will be and you can decide to move forward or pursue another option.

If you do decide to move forward, they can generally complete the loan modification within 24 hours to 7 days. To further ease your financial burden, often times they can push back your next payment 30 days from the date the loan mod docs are signed.

The success of this depends on what lender you have and if you are even a candidate for a loan modification. The top lenders participating in this program are Countrywide, Bank of America and EMC. These are not the only lenders, just the main ones.

If you want to get your loan modification approved in less than a week, this might be your only option.