Our state: WV. Our situation: 1st mortgage = standard 30-year 5.5% loan started 12/2001. Worked through a modification with them in December and are now back to making regular payments which went up $100 after mod. In our current financial status, even that is an OUCH. 2nd mortgage/HELOC thru Wells Fargo. Interest only $92k balance; originated 2004. Hubby & I have three children, all are now in school. I am finishing my Bachelors (3 credits remaining) and the Grand Plan has been for me to get back into the job market in 2007. I did do that via substitute teaching because my degree was not complete. Now that I am close to being done, I am putting in apps w/the gov't and local universities. No nibbles, yet. Hubby has been employed with a utility company 20 years. Overtime was cut last year due to a co-worker's on-the-job injury. He was out for about 15-18 months. The union rules state that, when he returned, he had to catch up to my hubby in overtime 'callouts.' (ie: hubby worked 50 callouts; the other employee had to get 1st dibs on overtime until HE reached 50 callouts and we're still not there). With the economy, who can blame the guy for taking everything he can get? Of course, gas went to $4/gallon & hubby's commute is 80 miles per day. As a blessing, he got a carpool going which takes a LOT of effort considering what odd hours these guys can work on an unscheduled basis. End of story: no money. Maxed out credit cards (2 VISAs with 2 credit unions & they are working with us) and started going delinquent on mortgages. Got the loan mod with our 1st in December, but turned down by Wells Fargo; tried to work with them on getting caught back up. It didn't happen. I spoke with Wells on 3/2/2009 and was told that $1600.xx was needed by 3/9 or charge-off. The rep did tell me to call back once balance had charged-off because there were 'a few more options' that would be available. Now, I just called Wells as I was advised. The Wells rep immediately offered to take $32k off the amount due, bringing the balance down to $60k. I could not commit to that because it would require $770/month for 120 months. He then offered an arrangement whereby we pay $450.00 per month for 3 months and then re-address the issue to see where we stand due to the volatility of *everything*. I guess I'm coming to you all because I don't want to take the wrong offer. Honestly? What do I think I can afford?? I would really only feel comfortable with $200/month as a minimum payment amount. But I am using the same principle as when buying a new car, never tell them what you want to pay per month! What would $200/month convert to for a 15-year loan?? I'm so confused and frustrated. I'm SO tired of crying and worrying. I just want to pay what we owe and get on with it! I really feel like we have fallen through the Obama cracks because I don't believe ANY of his programs help us. I hear of something new, my hopes soar, and then I'm let down, again. Ugh. Anyway - thoughts appreciated.
Gwenny, I'm sorry to hear about your current situation, and I can certainly understand how confused and frustrated you must be feeling. So, first, take a deep breath and tell yourself that you will get through this. Now, how is the outlook on the job front you mentioned? Without knowing your personal financial situation, it's difficult to really tell you what you can or can't afford. However, I can tell you that the more ability you have to pay, the more WF will expect to receive in the form of payment. So, be careful about what information you give them at this point. There are others on this board who will likely have more insight for you on this topic, so hang tight and await their response.
