IndyMac Mortgage Services (One West Bank) foreclosure policy change

Formerly known as IndyMac Bank it was purchased by the Federal government at the beginning of the mortgage meltdown and some time later then sold and purchased by One West Bank, FSB to add a loan servicing department to their portfolio back in March. Besides the name changing to IndyMac Mortgage Services, IndyMac has since seen been adopting new regulations of all types.

One of the harshest changes is their current repayment plan rules from what was acceptable as a down payment in order to qualify for a forbearance plan to what it is now. Previously two payments were required in order to set up a plan no matter what the status of the delinquency was. Whether the home was in foreclosure or had a sale date the lender would accept what they called a “double down payment” which covered two of the monthly payments in order to put the loan on hold. This hold would generally stop the foreclosure proceedings while the homeowner was allowed to complete the arrangement or allow the borrower to apply for a loan modification during this period.

The debtor would need to be able to at least afford their current payments to get on one of these plans. The interesting part is they were probably behind because the payments were out of their affordability but the lender would still expect them to make the minimum payments that got them to where they were in that moment. Well, as if only to add insult to injury they changed their rule about the need of a down payment covering two months and upped it to the homeowner having to pay 50% of the total reinstatement if there was a sale date posted within 30 days. In many states though the sale date does not appear until it is less than 30 days away so homeowners who found themselves pressed for money and time are being expected to come up with this total of the 50% on the spot.

These arrangements also come with a steep balloon payment at the end which is expected to be paid all at once.  If there are no payment arrangements set up by this time the account will go back into default.

Please consult a professional as your original application may affect your eventual payment arrangement offer by your lender. Don’t short change yourself because this could be permanent for the next 30 years!

Loss Mitigation Advocates @ Absolute Consultant Group started in the Loss Mitigation industry in early 2000's. We worked for the one of the largest loan servicers in the US in their loss mitigation/foreclosure department. Speaking with approximately a work flow of several thousand cases a month and several years of experience they created an organization dedicated to helping homeowners. Our Goal here is to increase the accuracy and awareness of loss mitigation information found on the internet while creating a forum for homeowners and professionals alike to find the information on up to date mortgage servicer/lender guidelines. — MLReport Management Have a question? Call us 888-934-3444

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3 comments for “IndyMac Mortgage Services (One West Bank) foreclosure policy change

  1. Houda Chawki
    May 27, 2011 at 11:18 am

    I am interested in purchasing the property adjacent to my home, at 13 Corcoran Street, Jersey City, NJ 07305
    That property has been vacant for 2 years, and was recently vandalized.
    People from your bank asked me about it, that is how I have reason to believe that you are the owner of that property.
    Please call me at (201) 333 8829
    thank you

  2. May 27, 2011 at 4:17 pm

    To whom it may concern,
    We will review the property address that you provided us and we’ll contact you with additional details as soon as possible.
    Management |Mortgage Lender Report
    Contact Information:
    T: (888) 934-3444

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