May
24
Yoli asked:
Lenders are turning people down that have never been late on their mortage, have fico’s in the 600’s, have owned their home for more than 2 years. In the past you could refinance into another loan even if the credit wasn’t the best and you didn’t have 3-6 months worth of mortgage payments in the bank. For those who say these people shouldn’t own a home, I ask what would you have done if no one would’ve given you a chance? Would you have been able to get what you needed or get where you are? Lenders are looking out only for themselves and their investors, but some middle ground must be established. Does anyone have information on what consumers can do to really pressure the government to step in and work something out with the lenders.Are there any organizations pressuring the government to step in and help people that are currently in homes with adjustable rate loans that are going to go up 2-3% raising their payments by $800 or $1000 per month?
I am not suggesting a bail out by taxpayers. I am asking that the government intercede to pressure lenders to come up with a solution
on homeowners behalf.
Florence
Lenders are turning people down that have never been late on their mortage, have fico’s in the 600’s, have owned their home for more than 2 years. In the past you could refinance into another loan even if the credit wasn’t the best and you didn’t have 3-6 months worth of mortgage payments in the bank. For those who say these people shouldn’t own a home, I ask what would you have done if no one would’ve given you a chance? Would you have been able to get what you needed or get where you are? Lenders are looking out only for themselves and their investors, but some middle ground must be established. Does anyone have information on what consumers can do to really pressure the government to step in and work something out with the lenders.Are there any organizations pressuring the government to step in and help people that are currently in homes with adjustable rate loans that are going to go up 2-3% raising their payments by $800 or $1000 per month?
I am not suggesting a bail out by taxpayers. I am asking that the government intercede to pressure lenders to come up with a solution
on homeowners behalf.
Florence
Comments
6 Responses to “Who is doing something to help homeowners with bad credit?”
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Monica
I am not sure why the government (tax payers) should have to step in. Those loans were signed, the borrowers knew the rates would go up. And NO ONE has bad credit who pays all of their debts on time. Again, bad credit is a choice, and people made the decision to have it.
I certainly hope that the government keeps out of private home sales, this is not a communist country and it would be disgusting to force Americans to support people who made selfish and irresponsible decisions in the first place. No one would have trouble if they paid their bills and ONLY bought homes they could afford to live in.
Allen
Rex – that was exactly my thought when reading this. Very well said.
Francisco
I agree with Rex, the federal government has no place stepping into private industry affairs. Lender’s duty is to the investors, who are their clients, and to the stability and profitability of their business. They don’t owe potential applicants anything other than the opportunity to apply.
Maurice
No lates; 600+ score; 2 yr history… sounds like there are some other negative factors. 1 out of every 620 homes are forclosing in my area. Each forclosure costs the lender an average of $40,000. Although you wouldn’t dream of not paying your mortgage, many are. Good Luck
Louis
Yoli I think you are missing Rex’s point. This country is based on commerce, the buying and selling of products and services freely. That is without Big Brother telling us how to do it. What you are suggestion, the goernment forcing the private companies to treat a set of people differantly and not in the companies best interest is a COMMUNIST government, not a Republic. Your suggestion would force MANY banks to fold, which would be a disaster.
These people all made their own beds, they are responsible, not the banks, not the government.
Terry
“Lenders are looking out only for themselves and their investors” – well, of course they are. They are not in the business to lose money.
I predict that there are going to some people in very nice suits sitting across the room from some high ranked government officials trying to explain away why this lending debacle occurred.
It is not nice, but the bottom line is this: You signed on for this ARM. You bought the bill of goods the lender was touting. But you are now stuck with what you signed up for. But you are not alone, many others are in the same situation.