Wells Fargo Loan Modifications - the Ins and Outs of Their Service

Wells Fargo -- and by extension Wachovia -- used to feel like a nightmare to get a loan modification from. But as of May 9, 2009 the Wells Fargo loan modification nightmare has gone from awful to not so bad. They have finally embraced the Home Affordable Modification Program and are openly accepting modification applications.

The three big requirements Wells Fargo is looking are are:

That your mortgage total is less than $729,750

You must have taken out your mortgage before January 1, 2009

The payments you are making now must be fore than 31% of your gross monthly income
If you believe that you fit into all of these requirements, Wells Fargo just may grant you a loan modification.

Their newer requirements are quite a change from their old ones, which made it virtually impossible for middle income families to qualify. What's more is they are offering Wells Fargo loan modification programs that can take your interest down to 2% if you qualify. The overall goal is to get your monthly mortgage payments down to 31% of your gross monthly income, and nowhere above it -- whatever that takes.

The requirements are very simple, so the importance is placed on filling out the paperwork properly. A single mistake can end in a denial. A poorly-written hardship letter can do the same. So being extremely careful with both aspects of the application is very important.

You can get assistance with filling out the paperwork from FHA-appointed specialists who will give you help for no fee. These specialists will not only help you with your paperwork, but also give you a consultation beforehand.

Possibly the most surprising thing about the Wells Fargo loan modification program is that the program doesn't much for negotiations -- you either fit the requirements above or you don't. And if you do, they will work with you to reach an agreement.

This whole change is very surprising to Wells Fargo borrowers, who never expected them to actually bend to the pressure from the government. But with foreclosures at an all-time high, lending companies across the country are doing anything they can to try to avoid losing the hundreds of thousands of dollars they would if they let all of the homes go into foreclosure.

If you are a Wells Fargo borrower, now is the time to apply for loan modification through them. Wells Fargo loan modification has gone from one of the most difficult lenders to deal with to one of the easiest, and it's your chance to take advantage of that.

Emma Lanier, "Loan Modification Companies", Mortgage Loan Modifications

"Loan Modifications", Loan Modification & Loan News