Tina Lindsey’s foreclosure queries presented confusing answers and finally ill advice. For over two years she has been battling to save her house but now she seems to have reached a dead end. She tried everything possible for her property in Fayetteville.
Previously the house had belonged to the mother of Lindsey who died in 2001. Lindsey had two jobs and her daughter Brooke Blair, a nurse lives with her.
Her problems started in 2008 when she lost a job. She failed to refinance. Then she applied for a foreclosure prevention programme of the federal government but was told that she was not qualified for it. Meanwhile the interest had shot up and the value of her property fell to $148,000 from $179,000. In the early part of 2009 she tried to modify her loan with the help of U.S. Settlement Services, a debt-settlement firm based in Florida.
Meanwhile foreclosure proceedings were initiated against her house but the firm told her to ignore a notice to that effect since the modification talks were on.
In 2009 May she underwent emergency surgery. In 2009 September the firm told her that a modification understanding had been reached but they wanted her to pay them as advance $10,000 plus $5,000 each month for the following six months.
The firm has since been graded as F by the Better Business Bureau after many complaints had been made against it. Pennsylvania Banking Department ordered it to stop operations in 2009 as it did not have the requisite license for conducting mortgage related business in Pennsylvania. 2009 November had been scheduled for the sale of her house but it was delayed after she took shelter under Chapter 13 bankruptcy.
She contacted the HAMP plan officers who contacted her with Novadebt – a service dealing with counseling in credit matters and management of debt. Lindsey praised them and said, “They were very helpful and let me know I wasn’t alone. They took all our bills and said we should qualify. That was in August”. But her lender GMAC, upon being contacted told her the opposite – she was not qualified for modification.
She persisted in her loan modification efforts and was finally given a temporary status. For three months she would have to pay $1,700.98 so as to halt the foreclosure proceedings. It was $300 more than her usual payment but somehow she managed but her property was not off the sheriff’s sale!