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Fire Walk With Me

(38,893 posts) Wed May 1, 2013, 12:50 AM May 2013

VICTORY! St. Paul foreclosed homeowner wins unprecedented settlement from Freddie Mac

http://www.occupyhomesmn.org/caylin_victory

Caylin Crawford, a researcher at the University of Minnesota fighting foreclosure with Occupy Homes MN, has received an unprecedented settlement offer from Freddie Mac that will keep her in her home.

The settlement represents a major break from Freddie Mac’s policy against selling houses back to homeowners or family members.

“I’m ecstatic that I get to stay in the home my family has put so much effort into,” said Caylin. “By building a community of support, we’ve made the impossible possible.”

When Caylin was injured in a snowboarding accident in 2011, she couldn’t work or go to school for three months. She called US Bank to inquire about a possible loan modification to help get her through this tough time. US Bank’s mortgage specialist told her that they couldn’t modify her loan unless she was in default, and advised her to stop paying.

(More at the link.)

6 replies

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VICTORY! St. Paul foreclosed homeowner wins unprecedented settlement from Freddie Mac (Original Post) Fire Walk With Me May 2013 OP

And of course they settled, rather than permit a court to set an actual precedent... TheMadMonk May 2013 #1

A very good point. n/t Fire Walk With Me May 2013 #2

"they couldn’t modify her loan unless she was in default" - B.S. progree May 2013 #3

A realtor once told me that several of her customers were tricked into foreclosure in the same way. Fire Walk With Me May 2013 #4

we bailed them out with tax dollars, then they crapped on us ZRT2209 May 2013 #5

K&R! limpyhobbler May 2013 #6

TheMadMonk

(6,187 posts)

1. And of course they settled, rather than permit a court to set an actual precedent...

Reply to Fire Walk With Me (Original post)

Wed May 1, 2013, 01:24 AM

May 2013

...which would allow many, many others to seek similar accomodations.

Fire Walk With Me

(38,893 posts)

2. A very good point. n/t

Reply to TheMadMonk (Reply #1)

Wed May 1, 2013, 01:51 AM

May 2013

progree

(11,463 posts)

3. "they couldn’t modify her loan unless she was in default" - B.S.

Reply to Fire Walk With Me (Original post)

Wed May 1, 2013, 01:51 AM

May 2013

[font color = blue]She called US Bank to inquire about a possible loan modification to help get her through this tough time. US Bank’s mortgage specialist told her that they couldn’t modify her loan unless she was in default, and advised her to stop paying. [/font]

Every article I've seen advises you NOT to stop making payments, and that is what a coalition of non-profit housing counselors told us at a seminar. Please talk to a housing counselor like at Habitat For Humanity (a friend of mine is working with them) or other NON-PROFIT NO-FEE agency before deciding to withhold payments. (Don't EVER get involved with any agency that charges fees up front or at all -- that's the advice of the Minnesota Attorney General. If you decide to ignore this advice, please at least at first check them out at the Better Business Bureau bbb.org or just Google them or both).

Oh by the way, a friend of mine got her mortgage modified with JP Morgan Chase without missing any payments (or even being late with any payments).