Update On The World's Dumbest Business Ever

It's been awhile since I last blogged, but I thought I would give you an update.

My last phone call to BofA was on March 10th. I blogged about that interaction already, so I won't go into those details again.

On March 24th BofA sent us another letter thanking us "for your recent correspondence" and telling us "we are in the process of obtaining the documentation and information necessary to address your questions and concerns. We will provide a complete response within twenty business days."

On April 2nd we got another letter "in response to your correspondence received on SEPTEMBER 09, 2009. Your request for assistance, along with your personal financial information has been received." The letter told us what we needed to do: Allow them time to review loan for possible modification and we will be contacted once they have the result of the analysis...we need to continue making payments because our loan was in normal servicing (HA!). Finally and oh so sincerely, they said we "are a valued customer...and it is their continued goal to provide the highest level of customer satisfaction....blah blah blah" Bull S*#t!

On April 22 I had a message from our home owner's insurance company, but didn't return the call until the following Monday the 26th. The insurance agent told me that BofA called them and told them to take the home owner's insurance off of our monthly billing and to change the billing to go through them instead. They would be paying the insurance in full for a year. Really? They have the right to do that? We've never missed an insurance payment...EVER! Apparently, they do have the right because they are on the deed and an owner of the property....but here's the catch-the insurance company won't insure a vacant home with this type of policy so when we cancel the policy the money paid gets refunded to the policy holder (Us!) Yep! We got a check for over $500 that the bank paid the insurance company. Another catch-we now owe the bank an additional $500...how fair is that? So when the bank sells the house short of what we owe them, they will turn the loss over to the IRS as earned income that we will have to pay taxes on.

On May 18th we received yet another letter from BofA stating "We have been unable to contact you to discuss possible workout options available for your home loan. In order to assist us in providing quality service, please contact us as soon as possible at the number below, and complete and return the following information at your earliest convenience." They wanted our address and phone number! They also asked us to fax in our pay stubs, bank statements, tax returns, hardship letter, and budget sheet...WHICH WE DID AT LEAST 6 TIMES ALREADY!!! So guess what I did? Ignored it! Bull s*#t that they couldn't contact us! I've called them a million times and sent half a million letter's to them (slightly exaggerated).

On June 1st we completed our move, canceled our insurance and utilities and waited for the promised eviction notice. On or about June 3rd, we received another letter: "Thank you for contacting us recently to discuss your home loan needs. We understand that it is becoming increasingly difficult for you to make your monthly mortgage payment, and unfortunately we are unable to offer you a workout plan at this time because: UNABLE TO CONTACT BORROWER" Seriously? They said a bunch of other BS like "we want to help you stay in your home" and "if your loan isn't brought up to date we will continue reporting all past due payments to the credit reporting agencies" and "we are the dumbest business ever and all we have done to you up to this point is jerk you around"...okay, that last part was made up...but we know it's true!

Today, June 21, I called the Newberg branch of BofA (503)538-8393 (I’m not willing to wait on hold and take hours using my cell minutes anymore. I called to let them know we were out of the house and had canceled our utilities and insurance. I talked to Diane, Manager, she said our name was no longer on home loan (used my SSN to look up) and the status showed it is foreclosed. They had our new address on file, as well as phone number, so they would have been able to contact us had they really tried. Diane said it would take some time to process any paperwork due to high volume of foreclosures and she was "sorry for our loss".

Well, that's in a nut shell (if the nut shell was in the Guinness Book of World Records).

IFs

Tomorrow we are signing a lease and getting the keys to our new rental home. I actually feel relieved and glad to be moving on, but I also know this isn't the end of the foreclosure chapter. I hear it may take over a year to close this book and start anew rebuilding our credit. I'm ready to get this behind us. (And I have 2 months to move stress free...so we got that going for us:)

I've talked to tons of people, friends, acquaintances, Realtors, mortgage brokers, relatives, neighbors...and nobody has anything good to say about BofA. I haven't found one instance where BofA has helped anyone refinance or modify their loan. What I have heard is that BofA only cares about helping the home owners of half million dollar plus loans. Folks with loans under 300K aren't worth their time and the loss isn't as big to them.

I have also heard that the lender takes an average loss of $60,000 per foreclosure. And lenders who hold the second mortgage takes an even bigger loss. It just doesn't make sense that they won't help someone willing to do anything to keep their home.

The other thing that baffles me is they sent back the check we sent to them and said they couldn't accept a partial payment. If I owed you $2000 and I sent you $200, you wouldn't give it back and say thanks but I need all or nothing! NO, you would take it and say I still owe you $2000 and you're keeping the $200 as interest! Clearly, they are idiots!

As I said, we will get the keys and sign the lease tomorrow. I'm 99.99% positive that they are never going to modify our loan. I am also 99.99% positive that if they do offer a modification, we won't take it anyway. Here's why:

We have lost almost everything - our savings, our retirement, our good credit and our pride. We are in our mid-40s and still have time to rebuild and save for our future. But we need to start now! If we keep our home, under any circumstance I can think of, we are tied to this home and the debt it brings long term. IF the economy picks up, we'll be fine and I'll start making money selling real estate again. IF the economy picks up, I can feel secure in the longevity of the jobs I have now. IF the economy picks up, Brian can feel secure in the job he has as well. BUT, IF the economy doesn't pick up...we will NEVER be able to get ahead and rebuild our finances. We will be tied to this house and in 5 years when the so called modification period ends, we will be right back at square one and have nothing to show for the struggle we went through to save this house...this box with windows and a roof. So, I have to say this house isn't worth the IFs! I hope you agree.

UNBELIEVABLE

Today I called BofA...but this time it wasn't to fight for a modification. I've given up on the idea that BofA will help us...because clearly, they won't!

Instead, I called to find out information about some alternatives to foreclosure that I recently read about. After waiting on hold for 15 minutes, I get through to a live person who asks for my account number/info and then tells me I have to call back because his computer is rebooting! LIAR...or maybe he is psychic. Our file must be soooo large that his computer couldn't hold all the information! I refuse to call back and asked to be transferred to someone else and he put me on hold for another 20 minutes. I am pretty sure I was lost in the BofA phone system and forgotten about so I hung up and hit redial.

After 10 more minutes on hold, I get another live person and you won't believe it but, we have a Sale Date and are in Foreclosure! I'm so glad she told me, I wasn't sure the 20 letters and the other 15 people who told me were being truthful. Thanks for the info, but here's what I need to know now...

I called to ask about a Deed in Lieu of Foreclosure and a new Obama program that starts on April 5th called Affordable Foreclosure Alternative Program (AFAP). Side note: I decided that since I am forced to go through this that I might as well take a class on Foreclosures and Short Sales and become an expert on the subject! The class is where I found info about these two possible alternatives to foreclosure.

Just as I thought, the BofA rep didn't know what the AFAP was. I already knew it was too late to try to sell our house and do a Short Sale. BofA strung us along too long, so that option is off the table. And as for the Deed in Lieu of Foreclosure, we would have to have our house on the market at fair market value for 90 days before that would consider it. I'm wondering now why BofA didn't give me this option or even tell me there was an option like this during our thousands of hours on the phone together.

Now here's the good part...the rep asked me if I had considered or tried to get a modification! You can only imagine the ear full she got from me! She put me on hold to look at my file more closely (and probably cry) and she came back with-"it looks like you are still in review and they are just waiting for the information about your insurance, but you are currently in a workout." UNBELIEVABLE!!!!!!! Now imagine MY response to that........poor poor lady on the other end of the line! (The first guy's computer did him a favor by shutting down and rebooting!)

Next Steps

As per usual, I called BofA today. I wanted to know what the next step is in the foreclosure process and what we can expect. As you may well know, I don't like surprises! Which is one of the reasons this is so hard for me-it's out of MY control!

They said we can expect an eviction notice next and that would tell us what to do. They couldn't tell me when that would come or what it would say. BofA should get some smarter reps!

I also asked them who is responsible for the insurance and taxes and found out that they are but we would be ultimately responsible when we are taxed on the loss to the bank.

So off to the accountant we go...now my energy will be focused on minimizing our tax burden. We might talk to a bankruptcy attorney as well...stay tuned!

The Process of Starting Over

Last fall I helped some friends/clients find and purchase a new home. I was excited and thankful that they called me, not because I needed the commission check (which I did), but because they felt I was a Realtor good enough to use a second time. In fact, the home I sold them 6 years ago was my very first real estate transaction!

Usually, when a client owns a home and wants to move, you help them buy their new home and sell their existing home in turn. But, this was not the case. They decided that the market wasn't good enough to sell and they would instead turn it into a rental investment. At the time I thought to myself sarcastically, "maybe I'll be your renter", but did not let on that I would ever be in such a situation desperate enough to rent from a client. After all, I am a successful Realtor and that would be humiliating.

As we drove around Newberg yesterday shopping for rentals, we drove by their rental house. It hadn't yet been rented and there was a rental sign in the yard. Earlier I told Brian it would be too hard to tell them about our situation. They would lose respect for me and I would lose a client. But, after a day of searching, as we sat parked in front of their house, I dialed their number and made an appointment to look inside. Eventually. we found out that it had all the space we needed at a price we could afford, I told them about our situation, laid out the sad story and swallowed my pride. After all that, we found out that they didn't allow pets. So I swallowed my pride for nothing?

Today they called and said they would make an exception for us. We didn't have to pay an application fee and they were very encouraging and supportive. So, we found our new "home" and we can begin a new process--the process of starting over!

God has a sense of humor and a plan...it just took a few months for Him to convince me of this. Each day I find myself telling more and more people our "story" only to find a friendly smile, words of support and encouragement or people in the same ugly boat with us.

I think I will change the name of my blog to Starting Over.

The Grieving Process

I'm no expert in the matter, except for the fact that I feel it is relevant to the past several months of our plight to keep our home.

There are five stages of grief commonly experienced after a loss. A person may not experience all of these, and may not experience them in order. But, in time, healing will occur!

Denial and Isolation.
At first, we tend to deny the loss has taken place, and may withdraw from our usual social contacts. This stage may last a few moments, or longer.
Anger.
The grieving person may then be furious at the person who inflicted the hurt or at the world, for letting it happen. He may be angry with himself for letting the event take place, even if, realistically, nothing could have stopped it.
Bargaining.
Now the grieving person may make bargains with God, asking, "If I do this, will you take away the loss?"
Depression.
The person feels numb, although anger and sadness may remain underneath.
Acceptance.
This is when the anger, sadness and mourning have tapered off. The person simply accepts the reality of the loss.

I've been through hell these last few months. At first we tried to deny what was happening to us financially and that it would be temporary and we could easily fix it on our own with our savings. In the beginning, we were able to hide it and take care of it ourselves. I didn't realize it at the time, but looking back, we did withdrawal from social activities and responsibilities. Mostly I think because we couldn't handle it emotionally. I know I've been drained and have spent the last year faking a smile on the outside all the while I'm miserable inside.

After our savings and retirement ran out, I began feeling angry that the bank was jerking us around. A different story every other day and no real answers. And I've been angry about the what if's...what if we did this instead of that, what if we didn't spend this or go there, what if...blaming ourselves that we weren't better stewards of our money.

I've even bargained with God. And I'll admit, been angry with Him too. Constantly asking Why God? And never getting answers, never understanding or knowing what lesson was to be learned. I know God did not do this to us, but He did allow it to happen and will use it to help us or others. It is just so hard to wait.

It's hard to admit, but I've been depressed for months now. Why is there a stigma about depression? I don't want people to know I'm sad? But I am. I'm sad. Extremely and often overwhelmingly SAD! I'm often on the verge of tears, if not actually crying. I don't want to go anywhere and I sleep a lot (unless I'm working my ass of to earn money to give to a bank that won't take it and sends it back to me). Maybe it's because crying and sadness equal weakness and I don't want to appear weak. But I am sad.

So here we are. At the acceptance stage of grieving over the loss of our home, our future financial security, our dignity and pride, and our good credit. But these are just things. Things that can be built back up or replaced. We have our health, our intact and thriving marriage, our wonderful healthy children, and our awesome family and friends. And we have God, even though I was mad at Him and even though I can't hear or feel Him right now. I know with certainty, that He is there, waiting for us to come through this so He can show us our future and His plan for our lives.

So there it is. The grieving process of losing your home to foreclosure. Hope you can learn from our journey through this hell.

According to Wikipedia:

Lent, in Christian tradition, is the period of the liturgical year leading up to Easter. The traditional purpose of Lent is the preparation of the believer — through prayer, penitence, almsgiving and self-denial — for the annual commemoration during Holy Week of the Death and Resurrection of Jesus, which recalls the events linked to the Passion of Christ and culminates in Easter, the celebration of the Resurrection of Jesus Christ.

Not to poke fun at a very serious Christian tradition, but I am giving up my bondage to Bank of America for Lent! As you know, I'm not one to take the path of least resitance, but I can't do this anymore. This past week I've prayed, meditated and thought seriously about this situation we are in. It's been a long hard battle, but I've fought a good fight and I'm ready to let go and let God. (How's that for a mouth full of Cliches?)

This house is just a house and there will be other houses. Although we made this our home for the past eleven years, there will be another place to call home in the future....'cause Home is Where the Heart is...right?

Back at Square One

Another day, another call to BofA (called yesterday too).

Tried to get connected to Melvin...couldn't connect me...whatever! So I got to talk to Brian at ext 9468. He said we were referred to the Making Home Affordable plan but the review had "no recommendations at this time"...and I could resubmit my financials and try again. Oh, and of course I have the option of reinstating my loan and paying off all that is past due and all the late fees. Thanks for nothing BofA

So...back to square one.

A new excuse...

Another day of dead end phone calls to BofA. Nobody called me back, just as I expected so I called Jasmine and left a message. I also called the "Hope" team number again and was told they didn't have our account in their system and it wouldn't be until we got our Fed Ex package that the Home Retention Team sends out.

The last call was to the Home Retention Team...Sheena said there was no tracking number for a Fed Ex package so one has not been sent out yet. She also said that Freddy Mac loans were hard to get modification through and they have to push them through manually,(there's a new excuse I haven't heard yet) but that we are in review (which I don't believe) and that a negotiator has been assigned but the name is not in the system yet and that it will be 90-100 days before we hear about the modification. She said to make payments toward our loan because the mods are not guaranteed and then we will be responsible for everything past due if we don't get modified (duh). She suggested I call back every two weeks to check status and ask who negotiator is... blah blah blah blah....

Through my tears...

I know someday I can use this to help others,I KNOW! I KNOW I KNOW I KNOW! God has used my trials before to help others and to help myself, but right now it really sucks to be in this situation! I'm doing whatever it takes to keep my home and pay my debt, but I'm so emotionally drained that I'm beginning to lose hope! I keep saying, THIS TOO SHALL PASS...but when it does, will it be His plan or mine?

I keep reminding myself that it is ALL for my FAMILY! That is how I have always tried to live my life and I know that is what God leads me to do! I know for certain that is what He wants from me! I know it will be a great witness to my kids someday-I KNOW God has a plan! But it is sooooooo very hard to keep my chin up and looking at the prize right now.

Feeling ashamed to use my food stamp card, working in a low pay retail job, working two or three or four jobs, keeping my kids fed and in college......I'm doing whatever it takes! Can I do more? Am I missing something?

I know this will "make me stronger", but I feel really weak right now and I'm feel like I'm in a hole with my hand reaching upward waiting for Him to pull me up. Can I go any lower? Is that His plan?

I'll continue on because I'll do anything for my family, but maybe His plan isn't for me to stay here? Maybe I'm fighting too hard and He has something different for us??? How do I know when to stop fighting for my home? I try to listen to God, but everything in me still says to fight...so I fight! God? Can you see me? Can you hear me? Am I doing the right thing? Are you proud of me or do you want me to stop?

Please stay on the line. We'll assist you momentarily.

Back on hold with BofA...being persistent about checking on my loan mod and guess what? Per Erika, they assigned a negotiator (Glenda Ussery) but per Kesha, it doesn't look like the trial payment was locked in!!! Yep...that's what I've been told. Now she (Kesha) is reviewing my file with her supervisor. (Oh, and this is my second call today. The first time Erika was short and sweet and gave me very little info...so I said goodbye and immediately called back.)

As each customer service rep is eager to point out, time is ticking away and I need to get this figured out before June 1st.

Here's what Kesha said...In review, trial payment not locked in, people usually start making the payment right away, and then talked to supervisor. After that, she said super said the code thing wasn't done correctly and we are NOT in review and unfortunately I have to go over the entire process again...

So I said let's do it: as she "interviewed" me and I am answering the same questions for the billionth time, I asked her why a negotiator was assigned to me if I wasn't in review??? She couldn't answer and now I'm on hold again while she talks to her super again!!! Come on people...pull your head out!

(30 minutes into call so far!)
I might need to call back Melvin and see if I can get ahold of him...he gave me an extension--not sure if it's really his or not:) But worth a try! This feels like a full time job!

(43 Minutes into call...still on hold!)
She came back...said she reviewed my file with her manager and the manager said I'm not in review. I asked if the name of the negotiator I was given by Erika was a flat out lie...she didn't know.

I asked to speak to a manager and now I'm on hold again!

(48 minutes into call)
"Excuse me mam...are you requesting to speak to a supervisor or a manager?" And back on hold I go...

I was on the phone for an hour...got to briefly speak to the "manager" and gave her my phone number, got her first and last name and "direct line"--probably all lies! She said she would contact me by Friday (lies) and then gave me the phone number to the Hope Team (oh and she found this notation after I talked to Melvin last week about the Hope Team)--(more lies). When I called them, the Hope Team, (1-877-643-2788 ) I spoke to Evette who told me "due to the high call volume they would have to take my number and call me back within 24 hours" (lies). But hey...now they have my phone number documented a couple of times---bet they don't loose that when they need to start harassing me for late payments!!! $*@%^&*@!

I can't do this anymore...

We got NINE foreclosure notices in the mail today. NINE! Looks like God wants us to move out by June 1st! Or at least BofA wants us to move out.

Called BofA again...and again...and again today. (Picture red eyes and streaming tears.)

Result: No record of loan mod. No record of trial payment period. No assigned negotiator. WHAT? Deep breaths...............But they are all happy to tell me my Sale Date and ask if I want to make a payment today.

I throw my hands up! I can't do this anymore. Time to start packing!

The last call even gave a glimmer of hope. But I am sceptical and too emotionally exhausted right now to have hope.

After listened to me go over the past 4 phone calls in detail, the last one (Melvin) put me on hold for quite some time and when he came back, he had his supervisor with him (he said). He said I was approved for a loan mod and assigned a code to my account for this. He said we should get a loan mod trial package in the next 10 biz days and if we made our three payments then we would be approved. He also said that he knows we’ve already been told this, and “don’t cry everything will be okay…keep the faith”.

He said he explained my situation to his super and the super said the number is automatically assigned when the account is closed…he said when he tried it that it didn’t automatically assign the number so he showed his super and then was told to enter the (magic) code manually. Then he checked to see if the code appeared for real on my account…he said it did. (Possibly the reason I'm going in circles with BofA is that they don't have a system that works???)

Needless to say, I am still very upset…I really do not believe anything anyone tells me at BofA…I really feel like I need to let it go and just start packing! I know we will be okay…it’s like it’s been a long hard battle with cancer and we’ve been mourning the loss a long time now and it will be easier to say good bye in 4 months.

I wonder if there is a BofA Loan Modification support group?

Here we go...again!

Made my first "2 week" call to BofA today. (BTW: The number that I have had success with is 877-744-7691 ...listened through all of the prompts until it said to remain on the line for customer assistance).

Basically, I called to check the status of my loan mod request and see if they received my fax from the 6th...

It shocked me when I was told I had a Sale Date of June 1st, 2010! Really? That's the first I've heard of a Sale Date! So if I don't get a loan mod, at least I know when I have to move out...Ha! (Add sounds of frustration here!)

The only good news is that they received our paperwork (today)and that we are supposed to be assigned to a negotiator. This part of the process could take 30-90 days.

Now I'm supposed to call back in 2 more weeks to see where the modification review is and to see if the Sale Date is still in my file (apparently the mod review is supposed to put the sale date on hold!).

Around and around we go....again!

On another depressing note, a friend told me about her neighbor's situation with BofA--She thought she was in "review", called every 2 weeks and told she was in "review" (over and over),now she finds out there is a Sale Date and she was never in review!!! What!?! Thanks for the warning! Please pray this doesn't happen to us!

Hope

I just got off the phone with BofA…Here’s the deal now: They said that we are in Pre-foreclosure (like I didn't know that). I accepted the Trial Payment plan through the Making Home Affordable Plan. The woman I spoke with today was very nice, very informative, and willing to give information without pulling any teeth:) She said the offer was still in my file from the last time I called and that she would submit it for review and Fed Ex docs to us about this Trial Period. Wait! The guy I spoke with last time said nothing about mailing us information. And when I asked, he said they wouldn't be mailing me anything! Ugh! Fire him!

It will take 90 biz days for them to review this and decide if they can help us. At this point, we do not make payments, but we save the money as if we are making the payments. After the investors review the Trial Period agreement and our paperwork/letters/income etc, we will then begin making the agreed upon Trial Period payments…. Then the investors will review again (for loan modification which includes extending the term, catching up what is past due, rate, etc) which then takes another 60 days. We make our trial payment until told otherwise.

So now I get to fax our current info to a “new” fax number, Attention: HOPE, and then call every 2 weeks to check the status of our Modification request. I am to ask if there is anything new and did they receive the docs we faxed? She didn't know how long I would need to call every 2 weeks, but said it would probably be the full 90 days before I got any info about the possibility of a loan mod.

She said, “We definitely want you to keep your home”. And then said the loan could still go into foreclosure. "If it does, and this isn’t resolved yet and they post a sale date for the foreclosure, we will request an extension to have time to finalize the loan mod."

So…let’s start saving!!! We can do this!!!