Stop Foreclosure Answer

If you look at the September report of the Making Home Affordable Modification Program you will see that Wachovia Mortgage only has authorized trial modifications on 2.7% of the estimated loans that they have which are eligible for such modifications.  The estimate is that they have 75,074 loans eligible for a modification.  Trial modifications have started on 2,019 of these.

Wachovia was taken over by Wells Fargo some time ago.  Wells Fargo has started trial loan modifications on approximately 20% of their eligible loans.

Why Is Wachovia So Far Behind?

Earlier this month Wachovia reported that a computer glitch had caused this problem.  Its computer system could not handle the applications for loan modifications.  Changes are being made and this problem has been corrected.  They should be able to process the applications now.

Wachovia’s management confirmed this.  Executives from Wells Fargo also said that this was the problem.

Wait a Minute – What Was That?

They are saying that Wachovia is lagging in processing applications for loan modifications because of a computer glitch.  Isn’t that just a copout?  It’s just like the old line – My dog ate my homework.

The Making Home Affordable Modification Program started in March of this year.  Wells Fargo signed up to participate in the program on April 13.  Wachovia didn’t sign up to participate until July 1.  Wells Fargo owns Wachovia.  Why was there almost a 4 month delay before Wachovia signed on? 

Did Wachovia really want to participate in the program?

It doesn’t look like they did.  Otherwise why did they drag their feet?  It also looks like the senior management at Wells Fargo supported them on this.

How frequently does it take 6 1/2 months to correct a computer glitch?  Normally companies assign a team of programmers to work on any computer glitches and they are resolved more quickly.  It looks like this was not a top priority for Wachovia and Wells Fargo to correct.

Let’s say that this computer glitch existed and was severe.  They were doing everything they could to resolve it but it did take all of this time.  Couldn’t Wachovia have assigned people in their company to manually review the files and approve trial modifications on loans?  Wouldn’t the executives at Wells Fargo have suggested this if they really wanted people facing foreclosure to be helped?

If they had made a serious effort here and manually reviewed and approved applications, they would have approved more than 2,019.

What Was The Cost of Wachovia’s Actions?

Was a halt put to the foreclosure actions on the other 73,055 loans that were eligible for a trial modification?  Did any people in this group lose their homes because of this alleged “computer glitch?”  Were any of the people facing foreclosure who had applied for loan modifications told what was happening?   Did any of the management at Wachovia or Wells Fargo really care about the impact their actions were having on people’s lives?

Here is another instance where the ones who suffer most are the people who are facing foreclosure.  Most people feel that mortgage companies will do all they can to help their customers any way they can.  Yet that does not happen.

If you have a loan with Wachovia and are facing foreclosure and if you want to save your home, get a lawyer or an expert in loan modifications to help you.  See them as soon as possible.

If you have a loan with a different mortgage company and are facing foreclosure, don’t think that your mortgage company is going to do all they can to help you save your home.  Expect that they will treat you the same way.  It will take them forever to review your application for a loan modification and they may lose what you submit to them many times before getting back to you on it. 

Learn as much as you can about the foreclosure process and the rights you have during it.  Also learn about what action you can take to save your home.  My EBook has much information on this that you may find very useful.  If you want to find out more about this EBook, please click Stop Foreclosure.

Much Success,

Mark Elkins