Aurora Loan Services must want us to foreclose. Thats the only thing that I could think of when I wrote down the figures that they gave me when offering us a loan modification. We submitted paperwork to them in early March asking for relief from our extremely high mortgage payment. We were paying $3462 a month in mortgage, taxes and insurance for a home we purchased for $465,000. We were given an interest only loan originally at a rate of 7.125%.
With the changes in our family, and the bills that pop up from time to time we were struggling to make the payments and have something left over at the end of the month. I mean we never missed a payment, and made sure to work with them as much as we could when submitting documents to them. So we saw that tough times were gonna come and hoped that they would have the foresight to see that its better to lower our interest rate substantially and guarantee payments on the original $465K than to have us foreclose and sell the house at a much smaller amount, which is what the house is valued at now. So we wait, and wait. Then we get frustrated when we get runaround answers and unclear statements on when we’ll have an answer as to our modification request.
Then today comes and to my amazement they say they are going to give us a modification. Woo Hooo!!!!
Until they tell me the figures! They are lowering our payment of $3462 to a whopping $3352, for a grand total savings of $110 a month. To put that into perspective, they are saving us a grand total of 3% off our normal payment. Wow, 3%. I mean thats amazing! So now instead of paying over 60% of our income for mortgage, it drops down to 57%. Thanks, a bunch. If you look at the reduction in terms of simply principal and interest payment, it goes from $2747/month to $2705/month. For a huge savings of $42. I mean with $42 a month, I might be able to buy a new TV. Woo Hoo!!! Or to put it another way, they reduced it 1.5% YAY. Savings!
What a damn joke! Well thanks for nothing Aurora Loan Services. You really went out on a limb to help us.
But wait, this really does not do justice to the horrible customer service and misinformation that Aurora Loan Services put us through. I mean, when your company has the chance to lie to someone and tell them that there a possibility to do some plan like the presidents, and all it takes is a BPO, or a Brokers Price Opinion, then of course, we are going to say go for it. I mean if it means improving our chances of getting a good deal, like the person on the phone said ” We’ve been doing 2% interest for the life of the loan”, then you say yes, do the BPO. But then to have them tell me the next week, that no, that program does not count for us, and this lender is not doing it. Oh, but we are charging you $95 for the BPO, even though we never told you that either. Thats wonderful. Way to keep your clients happy! (Not to mention the 100 days it took them to respond to our application as mentioned in a previous post.)
Oh, and by the way, Aurora Loan Services is not doing the Obama loan modification plan for anyone other than their Fannie Mae or Freddie Mac clients. Do not bother and waste time/money as we did. In their employee’s words, “THIS LENDER is not participating in the President’s plan.” I asked, “So you mean you guys, like Aurora.” And she said, “THIS LENDER is not.” I love it that employees speak about their own company as if it has nothing to do with them. That’s how everything about this housing crash is going down. It’s just companies, right?! No actual person is being held responsible, but I know there are people out there that could be found responsible if someone really looked. And, of course, nobody is responsible or accountable to the homeowners. If I ever have to talk to anyone from their company about our pending foreclosure I’m going to say, “The homeowners don’t intend on paying their mortgage ever again. The homeowners don’t ever want to waste another cent on your unethical company.”
