Losing our home serviced by ASC

[SuzieQ]

My whole saga started when I refinanced in August of 2006 - The sad thing is I knew the type of loan I was getting into but didn't think much of it at the time due to the way the market was. We refinanced our home for $357,000 with an appraisal of $420,000 at 9% fixed for two years and then adjustable. We obviously did not have the best credit, but I saw this as a way to rebuild our credit over the next two years pay off debt and be able to sell our home.

Even if the market slid a little I figured we would still come out with a tiny profit. In May of 2007 three weeks before I was going on maternity leave I received a letter that they had force placed an escrow account on my home and my payments were now going from $2800/mo to $3500/mo- even if I paid the $3200 in property taxes they paid (which I had told them I was planning on paying as soon as I got my tax return back, but they chose to pay anyway.

I would still have to have this escrow account for one year- I explained I was going on maternity leave and that $3500 was going to be beyond a stretch for us, but I was told there was nothing they could do to help. We managed to keep our heads above water for five months but the last month I was on leave we started to fall behind. I returned to work at the beginning of November only to lose my job on November 20 (do to the housing crunch)- by this time I was due for October and November- I immediately called ASC to explain my situation and see if there was anything they could do.

I told them that I could not afford $3500 per month and I wanted to keep my home especially with two small children. I was told at that time that maybe we should look into a modification since my rate was going to be adjusting in August. I did financial over the phone and even though my husband was not on the loan they used his income. I was told to give it about 4-6 weeks and I would have some sort of answer. I was also told not to make any payments. About 4 weeks went by and I called ASC to find out where I stood- I was told it was in review and that they had no other answers for me.

I again reiterated how I wanted to keep my home and I was concerned because I was told not to make any payments and it was now affecting my credit and I was not going to be able to catch up- could I at least make partial payments over the next few weeks. I was told they would not accept partial payments. At the beginning of January I called once again- something was telling me something was seriously wrong. I was told my file was on the "decision maker's" desk and she was swamped so to give it a few more weeks.

I then asked could I at least get an idea of what my rate and payment would be? And was told no. I called once again on January 25th and was told I was approved for a modification and that I would receive the paperwork in the mail in the next few days- I asked for the terms and was told they could not be given out over the phone. So when I received the paperwork on February 11th imagine my surprise to find out it was not a modification but a forbearance agreement. I was to pay $3500 march 11, $3500 April 11, $3500 may 11 and then $22000 june 11th and once I did that they would review my loan for possible modification. I immediately "FREAKED" out and started screaming what the hell is this. I called ASC and was told by default services that this was the best they could do. I told them if I could afford the $3500 do you think I would have let my loan fall behind? I also said where the heck do you think I am going to come up with $22000 on top of that.

The gentleman I spoke with said don't freak out I know it's worded funny, but that $22,000 you don't come up with it's added to the back of the loan providing you make the three payment of $3500 on time. I asked for that in writing and was told they can't do that but I am on a recorded line and they can pull this conversation anytime if needed. I actually considered for a moment asking my family to help with the three payments of $3500 but something told me to call ASC again. So I called them and asked if I agreed to this forebarance what would my new rate and payment be. That is when the whole ugly truth came out.

I was told that the Wall Street investors who own my loan do not offer lower rate and payment options and that ASC does not do that. I was like what the hell are you talking about that is what a modification is- hello. They said that at no time do they ever lower rate and payment, perhaps offer a fixed rate once I pay them the $10,500 but I will never get a lower payment due to the additional $22,000 they would be adding to the end of the loan. I truly started crying on the phone, why did you put me through this since November. I told you I could not afford the payment and I did not want to lose my home, now my credit is beyond screwed up and my home is only worth $250k and now I owe $375k. The lady on the phone said that they should have told me this was a forbearance and that according to their records we can afford $3500/mo- I started laughing and asked her how she came to that- she said that it showed my net income at $8800 per month- I could help but laugh and said I don't know how you came to that.

My husband's gross is $7000/mo and my unemployment is $1800/mo- if we netted $8800 per month I would have been making my mortgage payments. She said we could do my financials again with the proper numbers but if at any time during the forebarence I lost my job it would render it null and void. So I lost my temper ' are you kidding me- do you people not listen or not know how to read- I lost my job in November and that is what started this whole crappy mess with you". She then told me there was nothing she could do to help.I have called them probably 6 or 7 other times over the past for months asking them to please help me come to some solution as to I don't want to lose my home and that is what I have been saying since day one. I told them that all they really need to do is lower my rate and get me in a payment I could afford.

But keep getting the same answer. So here I am about 30 days out from the end of my 90 default notice looking to rent. What really gets me is that instead of losing a little profit by dropping the rate 3-4:eek: points they would rather take over $100k loss and have to try and sell my home. Because now my $420k home is worth $250 if they are lucky in a neighborhood with about 10 foreclosures and brand new homes that are twice the size being sold for $250k- so good luck getting their monies worth.

I am now trying to figure out for my future which is best just letting them foreclose or trying to do a deed in lieu of foreclosure now that NDEX West is overseeing my loan.