Wells Fargo Federal Modification Mortgage Assistance Program–Are Further Efforts Needed?

Homeowners with Wells Fargo who have sought out federal mortgage modification assistance have, in some cases, found success in lowering their overall monthly mortgage payment costs. However, as with all mortgage servicers participating in the Making Home Affordable Program, homeowners have been critical over the implementation of these mortgage assistance plans and have demanded that servicers go to greater lengths to offer foreclosure prevention assistance to homeowners who are struggling.

While Wells Fargo is not the only servicer participating in the federal mortgage modification program, numerous financial institutions have come under fire for their efforts in providing these modifications to homeowners who may face defaulting or foreclosure. Yet, servicers have seen increases in the number of permanent home loan modifications they have made over the past months, which has pointed to positive signs for homeowners seeking these forms of federal assistance.

On the other hand, there are also more homeowners who are said to be facing foreclosure than are receiving these mortgage modification plans, which has led many to question whether servicers are doing all they can or if the federal mortgage modification program needs to adjust homeowner requirements for qualification.

Servicers have argued that homeowners do not qualify for a federal home loan modification plan in all cases, and as a result, more are either being denied a permanent modification or are defaulting on their mortgage payments when a modification is in place. Yet, homeowners have had troubling stories that have come out of the modification program, which may point to fault on the part of servicers and some incidents where a homeowner was denied help.

While there have been problems on the part of homeowners and mortgage servicers when implementing these mortgage assistance plans, there are alternative modifications made directly from servicers like Wells Fargo that are reportedly helping a greater number of homeowners find the foreclosure prevention they need through more affordable payments on their home loan.

It’s obvious that not all homeowners will be aided by these foreclosure prevention programs through federal modifications or alternative, in-house modifications, but homeowners are still being prompted to contact their mortgage servicer early if they are having difficulty making their monthly mortgage payment. While even this is no guarantee to finding the assistance a homeowner needs, it’s felt that individuals who begin addressing their mortgage problems early may be able to find either foreclosure prevention or foreclosure alternative options that may be helpful for their situation.