Client Gets Loan Mod with $100,000 Principal Loan Reduction ..
STEPHANIE C. INDYMAC/ONEWEST BANK
Case Settled January 2012Denied a loan modification, the clients and their three children lost their home to foreclosure and were only days from a sheriff’s lockout. After we filled suit, the court issued a preliminary injunction against eviction and ordered a settlement conference. The client’s 6.825% adjustable rate loan with an 11.75% cap was modified to a fixed 2% start rate with a cap of 4.5% after eight years. Approximately $100,000 of their arrearage was forgiven and the remainder was amortized over 40 years.