Ask The Get Out of Debt Experts Real Estate

We Tried Dealing With MyDebtHelpline and National Debt Advisors to Save The House. – Jessica

“Dear Steve,

I really hope that you can help me out.

My brother has been falling behind on his rental property and tried to do a shortsale for the past several months. They had a buyer for the house at 285,000 but CitiMortgage’s appraisalwas for 345,000. Citi did not accept the offer and my brother just received the summons for foreclosure.

My sister who was helping him out co-signed for this loan and we were told that CitiMortgage will come after her since she has an equity on her house.

We’re hoping that we can get a loan modification with CitiMortgage but he has been ignored.

He is also late on his primary home and would also need to do a loan modification on his house.

My sister who co-signed is current with her mortgage but her 7 variable rate is about to expire. She will have a hard time for refinancing since her credit score went down because of the 2 properties. She co-signed for both properties.

I am not sure if we still have options left for us. My brother tried dealing with and I also tried calling National Debt Advisors. They charge about 4,000 to handle 1 property and will help us with the loan modification.

Can you please let us know if we should indeed have a lawyer handle the loan modification or we should continually call CitiMortgage to try to give us a loan modification?

If a lawyer is required, would you be able to recommend a trustworthy lawyer for us?

Thank you very much.



Dear Jessica,

Unfortunately the loan modification promises made by many companies are hollow. It seems like weekly I hear about new schemes and scams that only rob people of thousands of dollars and don’t result in any meaningful help.

Quite frankly, you are better dealing with the lender yourself and nagging them to do something or contacting a free housing counselor for help.

READ  I'm Underwater With My Mortgage. Household Refuses to Help Me Modify My Loan. What Do I Do? - Robert

There is no requirement that any lender has to modify any mortgage loan. The vast majority of modifications are not approved. It is estimated that only less than one in five will result in a permanent loan modification.

The issue that really screws up your situation is that your sister co-signed for the mortgage. This means that the bank isn’t going to go after her equity, this means they will go after the full amount due after the foreclosure of the house. A co-signer bears the full responsibility for the loan without any of the benefit of the underlying asset.

A lawyer is absolutely NOT required for this process and I think you will get further by being tenacious and unrelenting with the bank directly.

Please update me on your progress by posting updates here in the comments section of your question. I’m very interested in how this works out for you.


You are not alone. I'm here to help. There is no need to suffer in silence. We can get through this. Tomorrow can be better than today. Don't give up.

About the author

Steve Rhode

Steve Rhode is the Get Out of Debt Guy and has been helping good people with bad debt problems since 1994. You can learn more about Steve, here.

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