www.bakersfieldvoice.com

I'm like many of you out there, a home owner who pays their taxes and is a productive member of our community. But I feel compelled to share our story in hopes that it will bring to light the sorry truth about what the loan companies are not telling us about the so called "Loan Modifications". I've been working with our loan company, Countrywide, which is now Bank of America, for 6 months now, starting back in January, due to both my husband's 2 furlough days and a tax increase that was imposed on us this year. Because of these 2 factors, keeping up with our mortgage payment has been a burden, but we have not fallen behind, we have just made extreme cuts in our own budget. We have been keeping up with our payments while waiting to hear back from our loan company in hopes of qualifying for a loan modification. But TODAY I just received the first bit of truth from the very company that I thought was out there to help home owners STAY in their homes. The truth that was told to me today by Bank of America is that 90% of the time, a loan modification will INCREASE the monthly payment because MOST people seeking a modification are over 3 months behind and the past due payments will then need to be added to the existing balance, hence a higher principle balance, a higher payment. I then asked, "I thought the modifications were to help those who want to keep their homes", and I was told that because I'm CURRENT, I'm not seen as needing help because I have no past due payment to modify with them. I asked, "So the modifications are to modify past due payments into the current balance due, which actually raises the payment 90% of the time". The young man on the phone representing Bank of America said "Yes, the modifications are only helping 5-10% of home owners actually lower their payment to make them affordable, but this is out of over 1 million applicants just like you. OH! The truth is they are only helping those who are too far gone to receive any real help?? Does this make any sense to anyone out there. I thought Obama's Making Home Affordable Program was to help people keep their homes, but since Bank of America is only helping those who are 3 to 6 months behind on their payments, and 90% of the time the payment actually increases due to past due payments, then where is the help the government prides itself in giving.