Question: Dear Steve, Hi, I’m currently in bankruptcy which will be done in a couple of months for my $20k in credit card debt. However, my next battle is to figure out how I will pay for my $190k in student loan debt. These are both federal and private loans. Private loans from Sallie Mae. …
Question: Dear Steve, Currently, I have massive student loan debt, graduated in 2014 and still have $120k in total student loan debt with $55k in private student loans. For my private loans my co-signer passed away two years ago and I am currently looking at strategically defaulting. I have a few questions on private student …
This article came out from the Federal Reserve Bank of New York. It’s a wonderful look at debt from an analytical point of view. I’m so glad they wrote it. When Debts Compete, Which Wins? Jacob Conway and Matthew Plosser When faced with financial hardship, borrowers might choose to repay some debts while falling behind …
“Dear Steve, Proposed Loan Modification-Only 17 dollars less than my original mortgage. Why? I have been trying to get a loan modification with Bank of America for 4 years now. I kept getting the run around and it seemed every time I called I got the same old story-the paperwork has expired and must be …
“Dear Steve, I have a 1st mortgage at 7.67% and a second at 12.25% I am not able to refinance because there is no equity in my home at this time plus I had a bankruptsy dicharge a year ago. I also do not qualify for modification because I am and have always been current …
“Dear Steve, My wife and i owe about $20,000. credit cards debt. We have adjustable mortgage that we owe more than the house is worth. We bought the house for $280.000. We owed more than $320,000. The current market value is about $160,000. We would like to pay off our debts sooner. I looked into …
Defaulting on 80/20 interest only loan intentionally. Have enough income to make mortgage payments. Home is approximately 100,000 underwater. Entering 6th year of mortgage, nothing towards principle at all. Payments adjust in 4 (2016) years with an increase of 400 dollars. DO NOT qualify for loan remodifications due to sufficient income. No chance of refinancing …
FICO recently released a study that claims they can pinpoint those who are prime candidates for strategically defaulting on their mortgage. Strategic defaulters can be defined as those able to make their mortgage payments but unwilling to do, often because their mortgage is worth more than their property value. Researchers at FICO have determined an …
“Dear Steve, My husband and I recently completed a strategic default and we feel very blessed — we are renting a great house at 2/3 what our old mortgage was. Our former home continues to drop in value — it is now for sale for $114,000 (and “valued” at $80,000) — we paid $245,000 with …
In one of the funniest and ultimate ironies it appears that the Mortgage Bankers Association, who tell consumers they need to keep paying your mortgage and not walk away from their homes, actually strategically defaulted on their own mortgage and walked away. Et tu, Brute.