Archive for January, 2009:

IRS Mortgage Debt Relief Laws

The Mortgage Forgiveness Debt Relief Act and Debt Cancellation
If you owe a debt to someone else and they cancel or forgive that debt, the canceled amount may be taxable.

The Mortgage Debt Relief Act of 2007 generally allows taxpayers to exclude income from the discharge of debt on their principal residence. Debt reduced through mortgage restructuring, as well as mortgage debt forgiven in connection with a foreclosure, qualifies for the relief.

This provision applies to debt forgiven in calendar years 2007 through 2012. Up to $2 million of forgiven debt is eligible for this exclusion ($1 million if married filing separately). The exclusion does not apply if the discharge is due to services performed for the lender or any other reason not directly related to a decline in the home’s value or the taxpayer’s financial condition.

More information, including detailed examples can be found in Publication 4681, Canceled Debts, Foreclosures, Repossessions, and Abandonments. Also see IRS news release IR-2008-17.

The following are the most commonly asked questions and answers about The Mortgage Forgiveness Debt Relief Act and debt cancellation:

What is Cancellation of Debt?
If you borrow money from a commercial lender and the lender later cancels or forgives the debt, you may have to include the cancelled amount in income for tax purposes, depending on the circumstances. When you borrowed the money you were not required to include the loan proceeds in income because you had an obligation to repay the lender. When that obligation is subsequently forgiven, the amount you received as loan proceeds is normally reportable as income because you no longer have an obligation to repay the lender. The lender is usually required to report the amount of the canceled debt to you and the IRS on a Form 1099-C, Cancellation of Debt.

Here’s a very simplified example. You borrow $10,000 and default on the loan after paying back $2,000. If the lender is unable to collect the remaining debt from you, there is a cancellation of debt of $8,000, which generally is taxable income to you.

Is Cancellation of Debt income always taxable?
Not always. There are some exceptions. The most common situations when cancellation of debt income is not taxable involve:

  • Qualified principal residence indebtedness: This is the exception created by the Mortgage Debt Relief Act of 2007 and applies to most homeowners.
  • Bankruptcy: Debts discharged through bankruptcy are not considered taxable income.
  • Insolvency: If you are insolvent when the debt is cancelled, some or all of the cancelled debt may not be taxable to you. You are insolvent when your total debts are more than the fair market value of your total assets.
  • Certain farm debts: If you incurred the debt directly in operation of a farm, more than half your income from the prior three years was from farming, and the loan was owed to a person or agency regularly engaged in lending, your cancelled debt is generally not considered taxable income.
  • Non-recourse loans: A non-recourse loan is a loan for which the lender’s only remedy in case of default is to repossess the property being financed or used as collateral. That is, the lender cannot pursue you personally in case of default. Forgiveness of a non-recourse loan resulting from a foreclosure does not result in cancellation of debt income. However, it may result in other tax consequences.

These exceptions are discussed in detail in Publication 4681.

What is the Mortgage Forgiveness Debt Relief Act of 2007?
The Mortgage Forgiveness Debt Relief Act of 2007 was enacted on December 20, 2007 (see News Release IR-2008-17). Generally, the Act allows exclusion of income realized as a result of modification of the terms of the mortgage, or foreclosure on your principal residence.

What does exclusion of income mean?
Normally, debt that is forgiven or cancelled by a lender must be included as income on your tax return and is taxable. But the Mortgage Forgiveness Debt Relief Act allows you to exclude certain cancelled debt on your principal residence from income. Debt reduced through mortgage restructuring, as well as mortgage debt forgiven in connection with a foreclosure, qualifies for the relief.

Does the Mortgage Forgiveness Debt Relief Act apply to all forgiven or cancelled debts?
No. The Act applies only to forgiven or cancelled debt used to buy, build or substantially improve your principal residence, or to refinance debt incurred for those purposes. In addition, the debt must be secured by the home. This is known as qualified principal residence indebtedness. The maximum amount you can treat as qualified principal residence indebtedness is $2 million or $1 million if married filing
separately.

Does the Mortgage Forgiveness Debt Relief Act apply to debt incurred to refinance a home?
Debt used to refinance your home qualifies for this exclusion, but only to the extent that the principal balance of the old mortgage, immediately before the refinancing, would have qualified. For more information, including an example, see Publication 4681.

How long is this special relief in effect?
It applies to qualified principal residence indebtedness forgiven in calendar years 2007 through 2012.

Is there a limit on the amount of forgiven qualified principal residence indebtedness that can be excluded from income?
There is no dollar limit if the principal balance of the loan was less than $2 million ($1 million if married filing separately for the tax year) at the time the loan was forgiven. If the balance was greater, see the instructions to Form 982 and the detailed example in Publication 4681.

If the forgiven debt is excluded from income, do I have to report it on my tax return?
Yes. The amount of debt forgiven must be reported on Form 982 and this form must be attached to your tax return.

Do I have to complete the entire Form 982?
No. Form 982, Reduction of Tax Attributes Due to Discharge of Indebtedness (and Section 1082 Adjustment), is used for other purposes in addition to reporting the exclusion of forgiveness of qualified principal residence indebtedness. If you are using the form only to report the exclusion of forgiveness of qualified principal residence indebtedness as the result of foreclosure on your principal residence, you only need to complete lines 1e and 2. If you kept ownership of your home and modification of the terms of your mortgage resulted in the forgiveness of qualified principal residence indebtedness, complete lines 1e, 2, and 10b. Attach the Form 982 to your tax return.

Where can I get this form?
If you use a computer to fill out your return, check your tax-preparation software. You can also download the form at IRS.gov, or call 1-800-829-3676. If you call to order, please allow 7-10 days for delivery.

How do I know or find out how much debt was forgiven?
Your lender should send a Form 1099-C, Cancellation of Debt, by February 2, 2009. The amount of debt forgiven or cancelled will be shown in box 2. If this debt is all qualified principal residence indebtedness, the amount shown in box 2 will generally be the amount that you enter on lines 2 and 10b, if applicable, on Form 982.

Can I exclude debt forgiven on my second home, credit card or car loans?
Not under this provision. Only cancelled debt used to buy, build or improve your principal residence or refinance debt incurred for those purposes qualifies for this exclusion. See Publication 4681 for further details.

If part of the forgiven debt doesn’t qualify for exclusion from income under this provision, is it possible that it may qualify for exclusion under a different provision?
Yes. The forgiven debt may qualify under the insolvency exclusion. Normally, you are not required to include forgiven debts in income to the extent that you are insolvent.  You are insolvent when your total liabilities exceed your total assets. The forgiven debt may also qualify for exclusion if the debt was discharged in a Title 11 bankruptcy proceeding or if the debt is qualified farm indebtedness or qualified real property business indebtedness. If you believe you qualify for any of these exceptions, see the instructions for Form 982. Publication 4681 discusses each of these exceptions and includes examples.

I lost money on the foreclosure of my home. Can I claim a loss on my tax return?
No.  Losses from the sale or foreclosure of personal property are not deductible.

If I sold my home at a loss and the remaining loan is forgiven, does this constitute a cancellation of debt?
Yes. To the extent that a loan from a lender is not fully satisfied and a lender cancels the unsatisfied debt, you have cancellation of indebtedness income. If the amount forgiven or canceled is $600 or more, the lender must generally issue Form 1099-C, Cancellation of Debt, showing the amount of debt canceled. However, you may be able to exclude part or all of this income if the debt was qualified principal residence indebtedness, you were insolvent immediately before the discharge, or if the debt was canceled in a title 11 bankruptcy case.  An exclusion is also available for the cancellation of certain nonbusiness debts of a qualified individual as a result of a disaster in a Midwestern disaster area.  See Form 982 for details.

If the remaining balance owed on my mortgage loan that I was personally liable for was canceled after my foreclosure, may I still exclude the canceled debt from income under the qualified principal residence exclusion, even though I no longer own my residence?
 Yes, as long as the canceled debt was qualified principal residence indebtedness. See Example 2 on page 13 of Publication 4681, Canceled Debts, Foreclosures, Repossessions, and Abandonments.

Will I receive notification of cancellation of debt from my lender?
Yes. Lenders are required to send Form 1099-C, Cancellation of Debt, when they cancel any debt of $600 or more. The amount cancelled will be in box 2 of the form.

What if I disagree with the amount in box 2?
Contact your lender to work out any discrepancies and have the lender issue a corrected Form 1099-C.

How do I report the forgiveness of debt that is excluded from gross income?
(1) Check the appropriate box under line 1 on Form 982, Reduction of Tax Attributes Due to Discharge of Indebtedness (and Section 1082 Basis Adjustment) to indicate the type of discharge of indebtedness and enter the amount of the discharged debt excluded from gross income on line 2.  Any remaining canceled debt must be included as income on your tax return.

(2) File Form 982 with your tax return.

My student loan was cancelled; will this result in taxable income?
In some cases, yes. Your student loan cancellation will not result in taxable income if you agreed to a loan provision requiring you to work in a certain profession for a specified period of time, and you fulfilled this obligation.

Are there other conditions I should know about to exclude the cancellation of student debt?
Yes, your student loan must have been made by:

(a) the federal government, or a state or local government or subdivision;

(b) a tax-exempt public benefit corporation which has control of a state, county or municipal hospital where the employees are considered public employees; or

(c) a school which has a program to encourage students to work in underserved occupations or areas, and has an agreement with one of the above to fund the program, under the direction of a governmental unit or a charitable or educational organization.

Can I exclude cancellation of credit card debt?
In some cases, yes. Nonbusiness credit card debt cancellation can be excluded from income if the cancellation occurred in a title 11 bankruptcy case, or to the extent you were insolvent just before the cancellation. See the examples in Publication 4681.

How do I know if I was insolvent?
You are insolvent when your total debts exceed the total fair market value of all of your assets.  Assets include everything you own, e.g., your car, house, condominium, furniture, life insurance policies, stocks, other investments, or your pension and other retirement accounts.

How should I report the information and items needed to prove insolvency?
Use Form 982, Reduction of Tax Attributes Due to Discharge of Indebtedness (and Section 1082 Basis Adjustment) to exclude canceled debt from income to the extent you were insolvent immediately before the cancellation.  You were insolvent to the extent that your liabilities exceeded the fair market value of your assets immediately before the cancellation.

To claim this exclusion, you must attach Form 982 to your federal income tax return.  Check box 1b on Form 982, and, on line 2, include the smaller of the amount of the debt canceled or the amount by which you were insolvent immediately prior to the cancellation.  You must also reduce your tax attributes in Part II of Form 982.

My car was repossessed and I received a 1099-C; can I exclude this amount on my tax return?
Only if the cancellation happened in a title 11 bankruptcy case, or to the extent you were insolvent just before the cancellation. See Publication 4681 for examples.

Are there any publications I can read for more information?
Yes.
(1) Publication 4681, Canceled Debts, Foreclosures, Repossessions, and Abandonments (for Individuals) is new and addresses in a single document the tax consequences of cancellation of debt issues.

(2) See the IRS news release IR-2008-17 with additional questions and answers on IRS.gov.

http://www.irs.gov/individuals/article/0,,id=179414,00.html

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Posted on : Jan 30 2009
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Instant Cash Loan: Attain Quick and Easy Funds Without Any Hassles

Everyone reaches a point in time when their finances are not in the best shape. Every day expense have suddenly become overwhelming and difficult to manage with the current your current income resources. Then there comes a time when all your funds are depleted and you’re in need of emergency cash to pay a bill or make auto repairs. As usual when you’re in this type of predicament there isn’t enough readily available cash to support your emergency. There’s nothing to stress over, because you can easily attain quick and easy funds without any hassles with an Instant cash loan.
You don’t need to have assets or own a home to apply, all you’re applying for is quick cash for a short period of time. Typically Instant cash loans offer a range of available funds. If you need $100 to 1500.00 and in some case more, plus you’ll get approved and have funds available in up to 24 hours. Using instant cash loans you have the option of remitting payment 2week to a month for a small fee however because of this unsecured loan type the interest rate is considerably more than cash advances loans. Naturally with a little homework you can find a instant cash lender with lower interest rates.
Because the instant cash loan is directly deposited into your bank account, you will not be required to submit verifying documentation or complete a long drawn out application. The process is pretty simple; all you need to do is complete the small online application which requires pertinent information. You will be required to give your full and legal name, Employment information including monthly income, bank account information and contact numbers. Upon the short verification process the loan will be directly deposited into your checking account and ready within 24 hours.
As with most payday loan or cash advance loans, instant cash loans do not require a credit rating endorsement, which makes this an attractive process, especially for people with poor credit scores. Even if you have bankruptcies or debts in collection the loan is based upon the information provided, therefore its quick, easy and no hassles to get some emergency money. Since everyone encounters an emergency Instant Cash loans take the worry about making the necessary payments required to alleviate your money woes.
You can receive quick online approval through an Instant cash loan through a secured legal site from an authorized instant case lender. What’s best you can request assistance for any amount of money and have two options for your repayment terms. Always compare prices between competitors to ensure you’re getting the best deal, and quick approval and money instantly deposited in just one day from application submission.


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Posted on : Jan 29 2009
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Your Credit Card Payments Doubled MSN

The big players have raised minimum payments from 2% to 4% of your balance, meaning you’ll get out of debt much quicker. Here’s how to cope until that day.

Good news: Credit card companies are doubling their minimum payments.

Bad news: Credit card companies are doubling their minimum payments.

Huh?

So far, MBNA, Citibank and Bank of America have announced they are doubling minimum monthly payments on credit card balances from 2% to 4%. Others are expected to follow suit quickly. To some cardholders, that could be seen as a good thing. To others it could be devastating.

If you can handle the increased payment it’s good. Let’s face it, if you pay only a 2% minimum each month, your debt would probably last longer than most marriages. Doubling your minimum might put you back on the financial straight and narrow. Ostensibly designed to help consumers get out of debt faster, the increased minimums will force cardholders to pay off fees, interest and at least a portion of the principal each month.
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But if you simply can’t make that doubled minimum month after month, it could put you and many other debtors in over your head.

Why it’s happening
Over the past few years, low minimum payback rates of between 2 and 2.5% have encouraged Americans to spend, spend, spend — and to rack up an average credit card debt of close to $10,000 per household. For the estimated 40% of cardholders who carry a balance from month to month, the low minimums free up cash. But paying off a big charge little by ever-so-little also means that a $1,000 debt can turn into a 22-year commitment — and that you’ll accumulate thousands more in interest in the meantime.

“People are now in a revolving debt cycle that they’ll never escape,” says Adam Brauer, a debtor advocate and in-house counsel for Debt Settlement USA in Scottsdale, Ariz. “So the government nudged credit card companies into saying, ‘This isn’t working.’”

Specifically, regulators with the Office of the Comptroller of the Currency began pressuring credit card companies to raise minimum payments. Another incentive for change: The newly enacted Bankruptcy Abuse Prevention and Consumer Protection Act of 2005, which requires credit card companies to post a kind of Surgeon General’s warning on monthly statements that notifies consumers about how long they’ll be in debt if they make minimum payments.

Help for big spenders
Although increased minimum payments aren’t a panacea for consumer debt, most financial experts think they’ll help.

“If you pay more per month, you’ll get out of debt quicker and you’ll pay less interest,” explains Mike Peterson, vice president and co-founder of American Credit Foundation, in Midvale, Utah.

Take the $2,000 Hawaiian cruise you charged to a card with an 18% interest rate. If you faithfully make minimum payments and never add another dime to the balance, it’ll still take you about 30 years to pay off the trip — and you’ll end up forking over almost $5,000 in interest. By making 4% minimum payments on the same debt, you’ll finish up in 10 years, and your interest payments will be around $1,100. “It’s a huge saving in time as well as interest,” says Peterson.

Another way increased minimums may cut debt is by forcing buyers who think in terms of monthly installments to take a second look at what they can afford. The new minimums will effectively double the monthly price of a purchase, turning a $40-a-month payment for a new sofa into an $80-a-month one. “People charge up to the point that they feel they have room within their budget to afford those payments,” Peterson explains. “If I’m trying to figure my budget based around what my credit card payment is going to be, I’ll be able to carry less debt.”

Bad news for big debtors
Of course, if your finances are already squeezed to the breaking point, the rate hike is a bitter pill to swallow — good for you in the long run, but hard to take right now.

“If you’re living paycheck to paycheck and your minimum payment goes from $200 to $275, spread over five cards, that’s an extra $375 a month,” says Brauer. “A lot of families can’t come up with that.” The banks already know that and are planning for it. Bank of America, one of the first to raise minimum payment requirements, worked an extra $130 million into its 2005 budget to cover projected losses from defaulting cardholders.

But default isn’t your only option if your new payment seems out of reach.

“I always tell people there are two sins: not paying, and not paying as agreed,” says Cate Williams, vice president of financial literacy for Money Management International, in Chicago. Most creditors would rather opt for the latter, so give your credit card company a call to see if you can either negotiate a reasonable payment arrangement or reduce your interest rate. Otherwise, missing a payment can quickly have you fielding calls from collections agencies — and at that point, no one will be willing to listen to you, says Williams.

Coming up with the cash
If you’ve been carrying a big credit card balance and suddenly need an extra $300 a month to make your minimum payments, now’s a good time to re-examine your finances. With some smart spending shifts and careful planning, virtually anyone can dig an extra 10 to 15% out of their budget.

Here are some ways to get started:

* Pay less to Uncle Sam. In 2004, 80% of taxpayers got a refund — on average, $2,400 a pop. By adjusting your withholdings, you can keep that money in your own pocket and put an extra $200 a month toward your debt.
* Curb your spending. Even small changes, like brown-bagging lunch or renting one DVD a week instead of three, can free up to 10 to 15% of your income, says Peterson. To find expenses you can shave, track your spending for seven days. You may be surprised at how relatively small expenses — like 75 cents for a Diet Coke from the vending machine — add up over time.
* See a credit counselor. The new bankruptcy law mandates at least two financial counseling sessions during the bankruptcy process, but if you see a counselor now you may be able to avoid reaching that point altogether. For help finding one, visit the website of the Association of Independent Consumer Credit Counseling Agencies or the National Foundation for Credit Counseling.
* Control your cards. Paying down a big debt is hard enough without adding more fuel to the fire. To avoid the temptation to spend, “Take every credit card except one out of your wallet,” recommends Williams. “Lock them away. People have frozen them in bowls of ice or given them to a trusted friend. I’m concerned about people walking around without some means of emergency cash. But we all agree what an emergency is, and a shoe sale at Nordstrom is not it.”

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Posted on : Jan 27 2009
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Mortgage Modification Legal Network launches its new Spanish division!

Mortgage Modification Legal Network has just launched its new Spanish division, Centro Legal de Modificaciones Hipotecarias, which can be found at modifiquehoy.com MMLN’s goal is not only expand the audience in which they speak too, but make loan modifications easier and more comprehensive for the end users across all communities.

This weekend Centro Legal de Modificaciones Hipotecarias will be speaking at Templo Calvario on Sunday January 18th, located in Santa Ana, CA. CLMH was asked to speak to Templo Calvario’s congregation to help inform them of today’s market and their options with loan modifications.

Mortgage Modification Legal Network and Centro Legal de Modificaciones Hipotecarias’ ultimate goal is to inform communities of their options and how loan modifications may be the answer they are looking for.

To learn more about the loan modification process or a local seminar in your community visit wesavehomes.com or modifiquehoy.com today.


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Posted on : Jan 12 2009
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Your Online Debt Settlement Solution

It is 8 am in the morning and the phone is ringing, who on earth would be calling so early? You pick up the phone and a foreign sounding voice squeaks in your ear. “Hello Mr. Smith, this is Jamal from the book club. I am calling in regards to your outstanding bi…”, and you decide to hang-up on this early morning interruption. Don’t these people know that one should have coffee before getting these horrible phone calls? This is not an unheard of situation. If this has ever happened to you, go online and check out online debt consolidation.

This might just be what you need in your life to create some order in what seems to be a bottomless pit of despair. Yes even you can be helped with your financial hardship. Would it not be great if you could answer the phone without being afraid of bill collectors? You must know by now that ignoring the problem will not make them go away. Even worse, you are the one having to end up paying for their time and phone costs, so spike their route of harassment and get an online debt settlement today.

If you’re worried about all the embarrassment of having to go through money management classes then I have good news for you. We only provide these classes if you want them as it is, and will never be a must. But we do have highly trained staff available if and when you would need them. Our goal is to get you debt free and happy in life again. You see a lot of our financial problems are not there because we are bad people, they are there simply because there was a reason and that reason is not always our fault. Even if you made a big mistake, online debt consolidation will work hard for you to make sure that this mistake will be turned around into a cope able situation. We are sure that you have learned the hard way that a mistake like this should not happen again.

So let’s get to work and clean up your life. What most people don’t know is that when we start working on their case, a lot of the time the amount owed can be brought down to a more affordable monthly payment or even a lump sum payoff can be arranged. This will save you in many cases 30 to 40 percent. So knowing all these factors and knowing our willingness to work hard for your financial life, we ask you to go and check out online debt settlement, you will be glade you did.

No more phone calls early in the morning or even worse late at night. No more worries about the door bell, and finally peace of mind. Now that is worth the 5 minutes it will take you to see what we can do for you wouldn’t you agree? Together we can work on a debt free world. Check us out today.


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Posted on : Jan 09 2009
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Debt Consolidation vs Settlement

Debt Consolidation vs Settlement

If you are on this page then chances are you are having problems with some form of debt. Because being in debt can have serious financial consequences, I will get right to the point so that you can make the right choice sooner rather than later. First off, in order to determine if our online debt settlement or consolidation programs are right for you, having your problem bills in front of you will make it much easier. Next, knowing whether your debt is secured or unsecured is important. But what is the difference between the two?

Secured debts are those that are secured by property or other assets. Such bills could include your mortgage, car payment, or even a personal loan from a bank. Unsecured debts on the other hand are those that are not secured by assets. These bills can include utility, medical, credit cards and more. Furthermore, although outstanding debts like IRS payments due or government student loans are not secured, they do fall under the secured heading and therefore are not something our online dept settlement could help with.

Once you have all your unsecured debt in a pile, the next step would be to determine how much you can afford to pay each month once all of your regular bills are paid. Often people are worried that what they can afford each month will not be enough to pay their debts. To understand why most often this is not the case, let me tell you a bit about how it works. Often times, we are able to negotiate with your creditors to lessen the overall amount owed. These people do not want to spend thousands in legal fees just to collect what they owe and are willing to work with our online debt settlement people to get a fair deal.

What this can mean in the end is a substantially cheaper monthly payment then what you would have had you continued to make the minimum payments each month. This is also due to the fact that we are able to work with them to stretch out the number of payments to allow for an affordable monthly cost to you. Our online debt consolidation and settlement program can make it possible for you to go back to living a normal life without the constant harassing phone calls and worry about your debt. What’s more, because we also employ our own in house attorney’s, you can rest assured that your case will be handled with the utmost legal and secured process that you can find out there today.

Now that you have all your bills in order, and have taken the time to figure out how much you can afford to pay each month, why not take it to the next step and fill out the online debt settlement form. It will only take you a few moments, and you will be happy to know that you are never required to meet with us. Do it today and rest easy tonight.


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Posted on : Jan 07 2009
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Mortgage Modification Legal Network offers the largest National Footprint as a Resource to Banks for Greater Standardization and efficiency with the Modification Process

Mortgage Modification Legal Network offers the largest National Footprint as a Resource to Banks for Greater Standardization and efficiency with the Modification Process


“Reducing the number of avoidable foreclosures” Fed Chief Ben Bernanke comments that we need to draw on the best thinking available and a network of solutions

WASHINGTON, Dec 05, 2008 (BUSINESS WIRE) — According to Federal Chairman Chief Ben Bernanke, the Banks are essentially overwhelmed with the demand by homeowners to modify their mortgages. As the Federal Government actively pursues immediate relief, banks look for ways to reach homeowners with a message to work together to solve the crisis.

The Mortgage Modification Legal Network (www.wesavehomes.com) answers the need for bank relief with the largest network of attorneys and affiliates nationwide.

In many cases, due to the sheer volume of the demand, the homeowner’s lack of awareness of the bank’s mindset, and the homeowner’s reluctance to speak directly to the banks, a third-party relationship is ideal for getting the job of modifying mortgages done in a timely and efficient manner.

There are pitfalls however; many loan modification “mom and pop shops” are overly aggressive in counseling the homeowner to the detriment of the bank’s fragile eco-system.

“There are many companies out there that will take a homeowner’s money, counsel them to miss payments and then not complete the modification until the homeowner is severely delinquent,” says Paul J. Simino, President/CEO of www.onesimpleloan.com. “This gives the third-party relationship a black-eye and hurts all of us robbing the opportunity to help the homeowner and the economy.”

“We offer the homeowners and the banks a highly transparent and efficient system and we simply never counsel the homeowner to miss payments or go against the most basic code of lending practices. Because we have the largest affiliate network in the Country we are able to turnaround the modifications in record time compared to what homeowners are typically quoted and we are able to show the homeowner and the banks the status of their modification on a daily if not hourly basis,” says Ryan Boyajian, President of the Mortgage Modification Legal Network.

The Mortgage Modification Legal Network is also known for their grassroots efforts in providing in-neighborhood seminars and meetings and community outreach. The Spanish-speaking community considers Mortgage Modification Legal Network as their number one resource. “From the beginning we have taken a very active role with the Spanish-speaking community,” says Gerry Fernandez with MMLN. “We know this market, and provide the level of competency and trust they deserve. We also provide our services in other languages including Japanese, Korean, Vietnamese, Farsi and Mandarin.”

About the Mortgage Modification Legal Network:

With over 40 years of combined experience in the financial services, debt settlement and mortgage industry, MMLN has rapidly become one of the largest nationwide loan modification and loss mitigation servicing firms.

Founded by industry experts and with the help of our nationwide network of attorneys, MMLN was created to meet the mortgage industry’s increasing demand for loan modifications, loss mitigation services and loan work-outs. We have created a variable cost solution that allows all of our clients the ability to contract our services in hopes of saving their homes.

Visit our website at www.wesavehomes.com to find out about the seminar near you or contact us at: (877) 606-MODS. 27651 La Paz Road, Suite A, Laguna Niguel, CA 92677


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Posted on : Jan 05 2009
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Credit Card Companies Willing to Deal Over Debt

The New York Times published a new interesting Article on Credit Card Debt and Banks willingness to negotiate.

Bank of America says it eased off on more than 700,000 credit card holders in 2008, lowering interest rates and some balances.

Lenders are not being charitable. They are simply trying to protect themselves.

Banks and card companies are bracing for a wave of defaults on credit card debt in early 2009, and they are vying with each other to get paid first. Besides, the sooner people get their financial houses in order, the sooner they can start borrowing again.

So even as many banks cut consumers’ credit lines, raise card fees and generally pull back on lending, some lenders are trying to give customers a little wiggle room. Bank of America, for instance, says it has waived late fees, lowered interest charges and, in some cases, reduced loan balances for more than 700,000 credit card holders in 2008.

American Express and Chase Card Services say they are taking similar actions as more customers fall behind on their bills. Every major credit card lender is giving its collection agents more leeway to make adjustments for consumers in financial distress.

“Consumers have never been in a better position to negotiate a partial payment,” said Robert D. Manning, the author of “Credit Card Nation” and a longtime critic of the credit card industry. “It’s like that old movie ‘Rosalie Goes Shopping.’ When it’s $100,000 of debt, it’s your problem. When it’s a million dollars of debt, it’s the bank’s problem.”

Debt Settlement Companies like www.netdebt.com should gain from this change in philosophy.

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Posted on : Jan 05 2009
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