The federal government has encouraged banks accepting TARP (Troubled Assets Relief Program) funds to make mortgage loan modification available to homeowners who face foreclosure because of the downturn in the economy. Although banks are encouraged to comply with provisions of Homeowners Affordable Modification Program (HAMP), bankers are naturally reluctant to make modifications that might result in losing money. Negotiating a HAMP modification requires an in-depth understanding of how banks make lending decisions and who the key players are that make the decisions.
I am mortgage modification lawyer
Scott Ugell. For more than 25 years, I have been finding ways to help homeowners avoid the devastating effects of foreclosure. If you are facing the possibility of
losing your house in a community in the Greater Hudson Valley, don’t give up. Call
The Ugell Law Firm, P.C., in New City, New York, to schedule a free debt consultation. Getting straight answers and understanding the process of a
loan modification is the first step toward regaining control of your fears and emotions about losing your house.
First, Let Me Explain HAMP
HAMP or the Homeowner Affordability Modification Program is a government program in which banks that took TARP (Troubled Asset Relief Program) funds or “bail-out” money from the government are obligated to present to their primary mortgage loan – primary residence homeowners, and many other banks voluntarily participate in. The defining characteristic of a HAMP modification is that a homeowner’s income, expenses and debts (among other factors) are calculated to determine if 31% of a homeowners gross income will satisfy a monthly payment inclusive of the principal, interest and escrow for property taxes/insurance payments. If a HAMP modification is approved, the monthly mortgage payments (including interest and taxes/insurance) will not exceed 31 percent of a homeowner’s gross income.
A HAMP modification has three stages to the process:
- Review state: Your financial information is collected by filling out an RMA or Request for Modification Application, and supporting financial documents are provided to the bank, through your attorney, pursuant to each bank’s specific standards.
- Trial: A preliminary approval during which time the homeowner will make approximately three monthly payments to the bank. The homeowner is required to approve this trial term in writing within a limited amount of time before it can begin.
- Final Modification: If the trial payments are completed within the time constraints of the trial agreement, upon final payment of the HAMP trial plan, the modification will automatically be final, pursuant to federal law. The final agreement will include principal, interest, taxes and insurance escrow, many times with interest rates of approximately 2 – 5 percent for the life of the loan.
Not Just Part of Filing Bankruptcy
Many people filing for bankruptcy also file for a mortgage modification through the HAMP program at the same time. Whether you are filing bankruptcy to keep your house, or just need to lower your monthly mortgage payments, I can help you with every detail.
I have been practicing in the area of loan modification, debt relief and U.S. bankruptcy law for more than 25 years. I back up my experience with unique credentials, including:
- Member of the National Association of Consumer Bankruptcy Attorneys (NACBA)
- Often requested by local governments to make seminar presentations about homeowners’ rights and foreclosure protection
- Participates with the
National Association of Consumer Bankruptcy Attorneys (NACBA) to meet withU.S. Congressional Staff on matters related to U.S. bankruptcy code and foreclosure issues.
- Professional articles and legal presentations on the issue of debt relief and bankruptcy law
- Member of the Hudson Valley Bankruptcy Bar Association
- Member of the New York State Bar Association
- Member of the Rockland County Bar Association (Co-Chairman of the Bankruptcy Committee)
- Member of the Rockland County Magistrates Association
- Member of the Board of Hillel of Rockland Community College
Avoid Foreclosure · Competitive Fees · Flexible Appointments · Se Habla Español
From my offices in New City, I represent families, consumers and small businesses, because that is who I am, and that is who I care about. I work to protect citizens in the Greater Hudson Valley area.ITo arrange an initial consultation with an experienced New City HAMP attorney who cares about resolving your legal problem, call 845-521-7841 or
contact my office by e-mail today.