Wells Fargo Home Loan Modification–Can Homeowners Still Lower Their Mortgage Payment?

Homeowners with Wells Fargo have been able to take advantage of home loan modification programs that have been in place over the past months through the Making Home Affordable Program. Yet, some homeowners have been denied this form of homeowner assistance and as a result mortgage servicers have taken a great deal of criticism when it comes to assisting homeowners through foreclosure prevention efforts.

However, Wells Fargo is still participating in the Making Home Affordable modification program and homeowners are still seeing increases in the number of permanent home loan modifications that have been made from month to month. Overall, permanent home loan modifications are on the rise but many believe that the modification program has fallen drastically short of the amount of homeowners who could have particularly been assisted from mortgage servicers like Wells Fargo.

Mortgage servicers who have been working with homeowners to provide home loan modification assistance have been criticized by homeowners who were either denied a permanent home loan modification or were not given the opportunity to enter a trial modification plan. Accusations that mortgage servicers are not using the same criteria for all homeowners seeking a home loan modification has led many to believe that mortgage servicers are simply picking and choosing which homeowners will receive assistance.

Yet, lenders like Wells Fargo have stated that homeowners have been denied modification assistance due to not following the proper modification channels, meaning they improperly filed paperwork or did not meet some other qualification, but also, Wells Fargo and many other home loan servicers have seen homeowners default even when modifications are in place.

While there are opportunities for homeowners to receive a lower monthly mortgage payment through the Making Home Affordable Program, alternative mortgage modification efforts directly from servicers like Wells Fargo have also been made available to help homeowners who may have been disqualified from the Obama Administration’s modification plan. While Wells Fargo nor any other mortgage lender has been perfect in their implementation of these foreclosure prevention efforts, there are modifications available from both the Obama plan, directly from lenders, and from extension programs that are available which many believe can give more homeowners the various opportunities they need to avoid foreclosure.