This is one of the most common questions I’m asked by homeowners. There are several factors that go into answering this question. The most important calculation that will determine your chances at modification approval is the front-end ratio.

As part of the modification process, the bank will ask you to send in income documentation and a list of household expenses. This documentation will be used by the bank to calculate your front-end ratio, which is a crucial part of the approval process.

It is no secret that Wells Fargo is one of the most fraudulent banking institutions in business these days. They have been sued, fined and publicly admonished for perpetrating fraud against their customers. A quick Google search of Wells Fargo will bring to light numerous articles about all the different ways Wells Fargo has manipulated and defrauded their customers.

Within the last year, two relatively new mortgage servicers have come on the scene. They have been taking over the servicing rights to several large loan portfolios.

While I personally believe purchasing servicing rights of loans should be illegal (due to all the problems that occur when loans are transferred), it is perfectly legal for a bank to sell the rights of the loan to another servicer.

I’ve been getting a lot of calls lately from people struggling with a lender called PHH. 

PHH is a servicer who has taken over the servicing of several thousand Ocwen mortgages within the last 5 months. To be frank, the transfer did not go well and many homeowners around the country are experiencing issues. PHH seems to be completely overwhelmed and unable to keep up with the new loans they’ve taken over.