I was contacted by Expert Financial Services to help me restructure my home loan. I lost my job in April, 2009, however, my husband is working so we have been able to keep up our payments. In March, 2011, my fixed rate home loan at 6% goes to a balloon payment. Expert Financial is asking for $1995 fee up front and have told me that they should be able to reduce my monthly payment from $1400 to approx. $840 and reduce my rate from 6% to 2-4%. They told me that it takes 45 – 60 days to complete a restructure and once it takes place, I won’t have a mortgage payment for the first month, saving us $1400 and with the reduction of the mortgage payment to $840, we should save $560 a month going forward, thereby recouping most of the fee in the first 2 months.
There have just been way too many stories of companies making similar claims yet providing little to no relief. My suggestion is that before you consider this offer that you contact a free HUD Housing Counselor and ask for a review of your situation.
The big issue seems to be that you are not currently having a financial hardship and you are making all the payments. It appears it is the pending loan refinance that is worrying you and I really don’t see how the typical loan modification process is going to address that problem.
Have you talked to a local loan broker about possibly refinancing into a lower fixed rate? That might be a good avenue to explore as well.
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.