Freemont/Litton mod runaround

[Joel Fraser]

Hi my name is Tony, and this is my story in 2006 I purchased a house on the MD Eastern shore for $460k. The loan was suppose to be a 30yr fix rate, however at closing they switched it to a 2yr arm 8.5. In Jan 08 we contacted Freemont Loan Service for a loan Mod we were informed that we were approved and the the mod was in process this went on from Jan to Jun when they sold the service rights to Litton. We contacted Litton and they gave us the run around stating that they had not recieved the mod paper work. needless to say our interest rate reset in July instead of Aug the new intrest rate is 9.1 wich brings the mortgage to $4175 with taxes pmi. We are not currently behind but with this increase it wont be long. FannieMae jumbo limit is $419k no go Because, we are on the Eastern Shore and the cost of our house we do not qualify for any of the FHA programs limit in our aera is $275k. The house has lost $80K in value due to the high forclosures in my community.My credit is OK and I can qualify for a conv loan but my house does not have a enough value to refi. We worked with Rural Development to work with Litton to acheive a loan mod to no avail. We attended the Save The Dream hosted by NACA and recieved a great work out of 4.5 fix for 30yrs, however we did not recieve any word from NACA that our mod was accepted and no word from Litton. I have put together my hardship letter and im ready to e-mail it to the fat cats.