Many problems that arise when borrowers attempt to apply for a loan modification are from the lender’s inability to maintain track of their paperwork. Many borrowers are faced with roadblock after roadblock just because their documents were misfiled or misread. One lender in particular that has angered many borrowers because of their inability to get their information right is American Home Mortgage Inc. Borrowers of this lender have claimed that they had been denied a loan modification because they were unemployed (which they were not) or that they had declared bankruptcy (which they had not). These “glitches” have subsequently cost borrowers thousands of dollars in additional fees and have, not to mention, drastically affected their credit score. Every time their lender got one piece of information wrong, it would often take borrowers weeks of time to correct the error, if it even got corrected at all. This is all time that borrowers in distress were unable to make their payments because their loans sat unmodified.
An American Home Mortgage Inc loan modification shouldn’t be this difficult. A borrower should be able to have some faith in their lender that they will do what they can to help them through their hardship. They should at least have enough faith in their lender that they won’t lose the borrower’s vital paperwork and modification documents. This is often not the case. In many cases, borrowers do everything that they are asked to do and told to do in order to move their modification application through the system and all it gets them is excuses of lost paperwork empty apologies.
Even if borrowers give their lenders the benefit of the doubt and say that all of their mistakes were purely accidental and due to the backlog of modification applications they no doubt have to deal with, borrowers still have the problem of losing their home to worry about. Maybe lenders just don’t realize the gravity of the situation that their borrowers are in. Maybe it’s just cheaper for lenders to hire incompetent help. Whatever it is, borrowers don’t have time to go back and forth with lenders trying to correct an error that was not made by them.
Borrowers who are faced with any of the problems described above while pursuing an American Home Mortgage Inc loan modification should get third party assistance outside of the so called assistance provided to them by their lender. An attorney is someone who can be trusted to speak on behalf of their client and maintain records of correspondences between their client and the lender. Attorneys are not ones to waste their time sending letters back and forth for months on end, and if the attorney begins to feel like the lender is attempting to lead them in the direction of a wild goose chase, they can stop the letter writing and skip right ahead to the litigation. This tactic is especially useful if the attorney can uncover any violations of federal law in the original loan documents issued by the lender.