Is a Wholesale Loan Modification for You?
If you are on the verge of losing your home, you may have considered asking your mortgage lender about doing a loan modification. In the event that your loan modification goes through, the pressure will be off because you should have not only a lower payment, but also a lower interest rate. Unfortunately, home mortgage lenders do not always have your best interests at heart as they guide you through the modification process. If it would be to their benefit for you to lose your home, your modification might not go through. There are some people who want a successful modification but are afraid to trust their mortgage company with the process, so instead they get a wholesale loan modification.
What is a wholesale loan modification?
This type of loan modification is the same as the loan modification you would get through your mortgage company if you were about to lose your home. The end result should be the same — lower payments, lower interest rates, and possibly even a deferred payment or two to help you get the money together that you need for your upcoming first payment. The only difference between a wholesale modification and a traditional loan modification is that wholesale modifications are done through outside sources instead of through mortgage lenders. Most wholesale modification companies work with attorneys who deal directly with your mortgage company on your modification, which should help to ensure that no rules are bent and everything goes in your favor.
Are wholesale modification companies trustworthy?
No, not necessarily. In fact, there are some scam operations out there pretending to be legitimate loan modification companies. These companies will typically accept a fee from you, which might be up to as much as $3000 dollars, and then promise to get your loan modification started. Unfortunately, you may not hear any more from the company after you have given them your money, and when you try to contact them, there’s a good chance that you won’t be able to get in touch with them. This is just an example of shady people trying to take advantage of other people in bad situations. People who are on the verge of foreclosure are often desperate enough to believe anything they are told if they think they have a chance at saving their homes. Even though there are trustworthy companies out there who really do want to help, you have to protect yourself from the scam artists. Be suspicious of every modification company you consider, and don’t give them any information about yourself or your situation until you have researched them on websites like the Better Business Bureau and the Rip-Off Report to make sure the company has good intentions.
I need $5000 fast to save my home. What type of loan modification should I go with?
If you are running out of time to save your home and your mortgage company has already given you a specific date to come up with a large sum of money to avoid foreclosure, you may want to go with the loan modification your mortgage company offers, assuming they are willing to do one for you. Even though you may not feel comfortable dealing with your mortgage company on a modification, they might be your best option if you are nearly out of time to save your home because they are also the people who will ultimately take your home away from you if you can’t get your money together. It might take longer to get the modification process going with an outside company.
Welcome To Instant-Loans.org
Instant-loans.org is the place to visit if you are interested in how to get a loan fast, getting "instant" advice, facts, and information before applying for that loan, regardless of the size of it, how fast you need it, and what you need it for.
Your OpinionLoading ...
First time here at instant-loans.org? Learn about our site and staff. If you're looking for something in particular, check out the category links below or use our search box at the top of the page. If you need information or have a question on something and and can't find it, drop us a line and we'll get back to you soon.
About The Editor
Maria Schubert is the editor of Instant-Loans.org. Originally from San Diego, Maria graduated from USC with a Bachelor's in Accounting, Certificate in Banking, and Certificate in Entreprenurship. Before joining our website, Maria spent time as a lender at a prominent Florida bank.
In addition to working with our staff and contributing to Instant-Loans.org, Maria enjoys golfing, asian cuisine, thrifty shopping, the beach, and a great novel.
Staff Writers and Research Assistants
- Cory Turtle (Senior Staff Writer)
- Heather Howard (Staff Writer)
- Garry Dillon Jr. (Staff Writer)
- Marcus Bentler (Staff Writer)
- Leigh Silva (Research Assistant)
- Mike Lowrie (Research Assistant)