Saxon Mortgage ideas on HAMP are questionable

ON in Massachusetts said: “On Feburary 12th, 2010, I received a letter from Saxon Mortgage stating I was approved for the HAMP loan modificiation program. My wife and I were so excited. We couldn’t believe we’d made it through the trail period between Sept.-Nov., 2009. We had a little problem with health issues in Dec., 2009, but got through it. Now, after so much hassle, we were going to get a fresh start. Or, so we thought!

I called Saxon on March 23rd, last week, to make a payment on the mortgage. What do I find out? “I’m sorry Sir, we can’t take a payment. Your owe $XY, ZZZ.00 and you’ve been denied the HAMP modification loan and been removed from the program.” WHAT THE H@#? I was floored. I asked the customer service person at Saxon why I was denied? The rep. stated they had not gotten a payment for Dec. 2009, so I was kick out of the program. I told him I did make a payment for Dec. 2009 and I could show bank statement, time, and date to that affect. And, besides, if that was an issue in Dec., 2009, why would I be approved in a letter dated a month and two weeks later stating I’m approved?

He couldn’t answer my question about the approval letter, but state I’d been denied as of March 3rd and I should have gotten a notice. I stated I’ve gotten every notice Saxon has sent me, including my approval letter, but I have never gotten any notice, letter, or phone call that there was an issue with my payments and that I’ve been denied the HAMP modification. How could I have gotten all the other notices but not the denial?

That was just the beginning. After about five phone calls to Saxon later, even with the help of HOPE during one phone series, I had been given 3 or 4 different reasons, all different as to why I’d been denied. As it turns out the rep. told me that even if I could show I’d made the payment for Dec., 2009, I would probably not be reinstated in the HAMP modification program because once they deny you, that’s it.

How can this happen? I went through the trial period fine. I even managed to get a rep. at Saxon during one of my many call backs on March 23rd, that let me make a payment just in case this was some huge mistake. Of course, they promptly processed the payment within the day, and it was for the modification amount. So, it’s clear they’ll take my money but claim I’m denied.

Has anyone else had this happen? I have some other comments about the process and would like to know if anyone has been through this as well.

1. I called to ask to apply for the HAMP modification program two months prior to August 2009 and was total I didn’t qualify. However, I got a call at the end of August 2009, about the 26th, from Saxon asking if I’d like to apply for the HAMP modification program. I said I did but had been told I didn’t qualify.

The Saxon rep. walked me through the process and said, oh, sure you qualify. As asked when the program started should I get all the documents in and I was informed that is starts as soon as I’m approved over the phone. I, then, asked, when is the first payment due? The rep. stated that is was due the first month on the first of the month, after I’m approved.

I pointed out to her that that would mean my first payment was due in about 3 days on Sept. 1st and it was now August the 27th. She agreed that was the case and I said, “Well, why don’t I call you Sept. 1st, then, first payment won’t be due till Oct. 1st and that would be more practical becuase I know I wouldn’t have the money for Sept. 1st, on my first payment.

The rep. total me that was okay, as they give you a 30 grace period on the first month after the documents are submitted. So, I agreed to do it. As it turns out, there is no grace period according to the offical documents.

When, I called after getting them, I was reassured again that there is, but it’s just not in the documentation. So, I sent them in. Then, in Oct. 2009, I got a call about why was my first payment late and not on Sept. 1st. I explained the sitaution and was told this time there was not grace period and that I should have gone by the documentation and not what the rep. said. But, how was I to know that, I asked? The reply was, if it’s not in the documents, it’s not there. Go by the documents.”

I feel like with was doomed before starting. So, my point is, has anyone esle had Saxon call them at the end of the month and push to get them on the HAMP modification program when it’s clear the time is foreshortened? It’s sort of a set-up to fail.

2. Has anyone been told by a Saxon rep. that if the payment isn’t in quite on the 1st of each month, that’s it’s okay, just make sure it’s paid within the month?

3. Has anyone been approved then denied?

Help…Hope you all have better results that I have so far. Calling an attorney today.”

12 thoughts on “Saxon Mortgage ideas on HAMP are questionable

  1. I started the program in April 2009 Completed the 3 month process. Got told that it would be a couple of days before I received my PW, this never happened, and then was told that I needed to continue making the payments, I requested another contract or paperwork stating that they were extending my term, that I never received until Dec 29,2009. In Jan 2010 we received the nice printed letter that we were approved dated 29 Dec 09 and two day later we received a letter stating that we were denied dated 31 Dec 2009. I didn’t receive neither letter because I am currently in Iraq and I have been in contact with Saxon at least every 2 to 3 weeks to understand where I was in the process. They accepted Jan and Feb 2010 payments and on 3 Mar 10, when I called to make my March payment, I was told I was kicked out f the programs and back in foreclosure and that there was nothing that I could do but sell my house. Was also told that I needed to suck it up, swallow my pride and tell my commander that I had messed up on my mortgage and that I needed to come home and take care of moving my family. I have talked with Saxon Mortgage also even with the HOPE people on the line and they stated that there was nothing that I can do but sell my home or go into foreclosure. Which is wrong. So-o-o-o Wrong…

  2. You should not have been denied because you weren’t technically IN the trial period program until February 12, 2010. If that’d be the case everyone would be denied due to difficulties they sustained BEFORE even qualifying for the program. File a complaint with the FTC, SigTARP and the BBB. (1-877-SIGTARP) –> This link was designed to train the mortgage companies. Learn what you can so you can identify what they have violated. Good Luck.

  3. This is written in the Supplemental Directive 10-01 of the HAMP GUIDELINES:
    When a borrower is determined to be ineligible for a HAMP modification, the servicer is required to consider that borrower for all other available loss mitigation options, including but not limited to refinance, forbearance, non-HAMP modifications and, to the extent a borrower does not qualify for a home retention alternative, Home Affordable Foreclosure Alternatives (short sales or deeds in lieu of foreclosure) under Supplemental Directive 09-09. As required in Supplemental Directive 09-08, available loss mitigation options should be described in the Non-Approval Notice.
    When a HAMP trial modification is cancelled, the servicer
    must consider the borrower for other available foreclosure prevention alternatives and send the borrower the appropriate Borrower Notice in accordance with Supplemental Directive 09-08.

  4. I would like to begin/join a class action law suit. This is insane! I had no idea other people were enduring the same pain. I’ve been fighting with Saxon for almost a year and have been told every story in the book by there uninformed customer service staff as well as a company called Zenta who advised me I can expect to be approved with the HAMP program however as of 4/9/10 a supervisor advised me I was denied due to the Negative Present Value of my home. However no appraisal was ever done…They said a drive by was conducted without my knowledge. Since when do we approve or deny or determine the value of a home by driving past it…Wow, so wrong, I have to do something about this. Its adversely affecting my credit/life!

  5. The first story on here is identical to mine. There is some huge scam going on here and if we do not find a way to class action these people at Saxon and have them audited we are the true suckers and at the expense of our homes….I went from modified to approved to kicked out for two bogus reasons all in 6 months. Never mind that they could not start me in the process because they did not know how to complete the application at least three times. Contact me when there is a lawyer who is big enough to take this mess on!

  6. Write your story to the press. Maybe your local news will pick it up and later be snatched up by bigger news agencies. PLEASE take the time to read the very guidelines all servicers are supposed to read. Go to the site and read the “hamp directions”. That way you can say .. they violated this guideline as stated in the “hamp handbook”. If you are unable to identify what they are violating then you don’t have any credibility to your claim. EDUCATION IS THE KEY. Then you’ll know what to tell the news.. Good Luck

  7. I totally agree with Frank Daniels. We would love to join in a class action suit against Saxon. Everything you said happened to us too. We were approved for the trial HAMP back in July ’09. Wewere told to continue making the trial payments until they made a decision. Now 9 months later, we had someone show up to our house to tell us to call Saxon. They told us we were denied for the HAMP modification, but still, 2 months later, never received a denial letter. Although back in December ’09 we received a letter stating we were approved. We then received a letter stating we are $20,000 in arrears due to the fact that we were not aware by paying the modified amount, we were defaulting on our loan.

  8. I have had similar experices with Saxon Mortgage and if a class action suit is in the works I will join in.

  9. In my honest opinion, there will never be a class action suit against saxon. The reason being is no lawyer has the ba||s to do it. The only thing I can tell you to do is to file a complaint with the FTC. Their databases are reviewed by legal for any potential law violations. If ‘legal’ begins to see a pattern of law violations from Saxon, they may start to pay attention. We can only hope the Bureau of Consumer Protection starts to actually protect the people like they say they do. One can only hope.

  10. What if the borrower does not make all the payments during the trial period?
    A borrower must be current at the end of the trial period in order to get a modification under HAMP. “Current” is defined as the borrower having made all required trial period payments no later than 30 days from the date the final payment is due.
    A borrower could, for example, make the first trial period payment on time, miss the second month’s payment, make two payments in the third month of the trial period and still be considered current. However, if a borrower is not current at the end of the trial period, the borrower will not be eligible for the permanent modification.
    In the event a borrower does not complete the terms of the trial period, the servicer must evaluate the borrower for any other available loss mitigation alternatives prior to commencing or restarting foreclosure proceedings.

    Please folks, read the docs that are guiding this darn Program so that you can identify the wrongdoing. Then file a formal complaint

  11. Yes, Tammy B, we are fully aware of what “current” means. We are also aware of making all payments on time, which we have always done. So we make every month’s payment on time and still waiting almost a year later for an answer. Something is seriously wrong here, you don’t think?? There are plenty of well educated people going through this and are well aware of the process and still cannot get a straight answer from the servicer.

  12. Similar Experience, but call back if you get someone who is a unhelpful! I have being making trial payments since last May and all of sudden I was removed from the program, because they said that I had not turned in all requested documents, nor made all payments. I knew this was a mistake, so called back and the 1st person I spoke with wouldn’t check the records to see what I was talking about. They said that Now denied there was nothing to be done. I hung up and called back in 2 minutes and got Elizabeth a very helpful employee. I explained the same thing that this was a mistake and please check my records as to the payments and paperwork. She did check and saw that I had made all my payments, and turned in all paperwork. What had happened was I had made a payment and somehow Saxon applied it to some fees, instead of counting it towards HAMP. As a result of this computer error, I had been kicked off. Elizabeth opened a work order and said to call back today to see what the result was. I called this morning and I am back in the HAMP program and no further documents are required. This process has been extremely fustrating, but just remember if you get someone unhelpful, just excuse yourself, hang up and call back.

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