One program is called HAFA.  Realtor.org has a good article about it and I will share it with you:

On November 30, 2009, the Treasury Department released guidelines and forms for its new Home Affordable Foreclosure Alternatives Program (HAFA). HAFA is part of the Home Affordable Modification Program (HAMP). HAFA provides incentives in connection with a short sale or a deed-in-lieu of foreclosure (DIL) used to avoid foreclosure on a loan eligible for modification under the HAMP program. Servicers participating in HAMP are also required to comply with HAFA. A list of servicers participating in HAMP is available at MakingHomeAffordable.gov.

HAFA applies to loans not owned or guaranteed by Fannie Mae or Freddie Mac, which will issue their own versions of HAFA in coming weeks.

HAFA is a complex program, with 43 pages of guidelines and forms, designed to simplify and streamline use of short sales and deeds-in-lieu of foreclosure. HAFA:

• Complements HAMP by providing a viable alternative for borrowers (the current homeowners) who are HAMP eligible but nevertheless unable to keep their home.
• Uses borrower financial and hardship information already collected in connection with consideration of a loan modification.
• Allows borrowers to receive pre-approved short sales terms before listing the property (including the minimum acceptable net proceeds).
• Prohibits the servicers from requiring a reduction in the real estate commission agreed upon in the listing agreement (up to 6 percent).
• Requires borrowers to be fully released from future liability for the first mortgage debt (no cash contribution, promissory note, or deficiency judgment is allowed).
• Uses standard processes, documents, and timeframes/deadlines.
• Provides financial incentives: $1,500 for borrower relocation assistance; $1,000 for servicers to cover administrative and processing costs; and up to $1,000 for investors for allowing a total of up to $3,000 in short sale proceeds to be distributed to subordinate lien holders (on a one-for-three matching basis).
• Requires all servicers participating in HAMP to implement HAFA in accordance with their own written policy, consistent with investor guidelines. The policy may include factors such as the severity of the potential loss, local markets, timing of pending foreclosure actions, and borrower motivation and cooperation.

The program does not take effect until April 5, 2010, but servicers may implement it before then if they meet certain requirements. The program sunsets on December 31, 2012.

Top Ways to Change Your Current Car Insurance into Cheap Insurance:

• Get Theft Devices: Most new cars have theft devices. Some are automatic and some have to be started at the touch of a button, but all usually get discounts on car insurance. Also, some states provide extra discounts for such things as window sketching.
• Ask for a Multiple Car Discount: Did you know sometimes insuring two cars can be the same price as insuring one? If not the same price, insuring another car usually does not cost as much as you may think. If you have two cars, it is very wise to check with your insurance agent, or while obtaining your online insurance quote, to make sure you can get this discount on your car insurance. Also, if you are planning to sell a second car, the cheap car insurance trick would be to keep that car on just liability to get your multiple car discount. Sometimes people are surprised when they call their car insurance company to take a car off of their insurance, only to find that their price did not go down but possibly increased!
• Stick With Yearly Policies: Choosing a yearly policy can extend your savings on your car insurance. Purchasing a yearly policy instead of a six month policy gives you a rate that cannot be changed for one year vs. changing every six months.
• Look Into Comprehensive Storage Coverage: If you are planning to store your car for any period of time, you can save on your car insurance by only keeping comprehensive coverage during the storage time. Since the car would be stored, it is very unlikely it will get in a collision or need the liability coverage.
• Re-Check Your Mileage: This is a great way to get cheap car insurance: If you are really close to the “miles to work” break-off, you may want to check your mileage closely. When your car insurance company or insurance agent asks you “How many miles do you drive to work one way?” this is a crucial question that will designate you into a particular class. Each class can have significant differences in prices.
• Look for a Group Discount: Many companies offer a discount on car insurance for being affiliated with certain organizations. These can range from credit unions, college sororities, or just having a certain credit card. Call your service center and ask them for a list of organization affiliations.
• Lower Liability, Comprehensive, Collision, or Medical Payments Coverages: Of course, you can lower your basic coverages but it may just give you the cheap insurance you need right no!. Comprehensive and collision are probably the first to look at lowering by increasing your deductibles on your car insurance. Most vehicles that are on bank loans can have up to a $1000 deductible. Next, lowering your liability and medical payments could help, but only if you are having a hard time paying for your premium and is not recommended for general savings.
• Make EFT Payments: Many car insurance companies are now charging up to $5.00 or more for mail payments, but sometimes nothing if you choose to have payments automatically deducted. And, sometimes the deductions can come from your credit card, so you don’t have to worry if the money will be in your bank account when payment time comes.

Source?

For more information about the $8,000 first-time home buyer tax credit, which ends on Nov. 30, go to: www.federalhousingtaxcredit.com.

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Question 1: In utilizing the Loan Modification option to bring an asset current, can the mortgagee include all fees and corporate advances?

Answer: Mortgagee Letter 2008-21 states in part: Legal fees and related foreclosure costs for work actually completed and applicable to the current default episode may be capitalized into the modified principal balance.

Question 2: May a mortgagee perform an interior inspection of the property if they have concerns about property condition?

Answer: Yes, the mortgagee may conduct any review it deems necessary to verify that the property has no physical conditions which adversely impact the mortgagor’s continued ability to support the modified mortgage payment.

Question 3: Can a mortgagee include late charges in the Loan Modification?

Answer: Mortgagee Letter 2008-21 states that accrued late charges should be waived by the mortgagee at the time of the Loan Modification.

Question 4: When utilizing a Loan Modification option, can a mortgagee capitalize an escrow advance for Homeowner’s Association fees?

Answer: HUD Handbook 4330.1 REV-5, Paragraph 2-1, Section B, Escrow Obligations states: Mortgagees must also escrow funds for those items which, if not paid, would create liens on the property positioned ahead of the FHA-insured mortgage.

Question 5: Is there a new basis interest rate which mortgagees may assess when completing a Loan Modification?

Answer: Yes, Mortgagee Letter 2008-21 states that the new basis interest rate is 200 points above the monthly average yield on U.S. Treasury Securities, adjusted to a constant maturity of 10 years.

Question 6: Will HUD subordinate a Partial Claim, should a mortgagor subsequently default and qualify for a Loan Modification?

Answer: If a mortgagor subsequently defaults and qualifies for a Loan Modification, HUD will subordinate the Partial Claim.

Question 7: Are mortgagees required to perform an escrow analysis when completing a Loan Modification?

Answer: Yes, mortgagees are to perform a retroactive escrow analysis at the time the Loan Modification to ensure that the delinquent payments being capitalized reflect the actual escrow requirements required for those months capitalized.

Question 8: Is the mortgagor eligible for the upfront premium refund at payoff of a modified loan?

Answer: It depends upon when the closing date occurred. For assets closed:

After July 1, 1991 but before January 1, 2001, the 7-year unearned premium refund schedule shown in Mortgagee Letter 1994-1 remains in effect,

On or after January 1, 2001 that are subsequently refinanced, the 5-year refund schedule shown in the attachment of Mortgagee Letter 2000-46 applies, or

On or after December 8, 2004, refunds of upfront MIP are eliminated except, when the mortgagor refinances to another FHA insured mortgage. The refund schedule attached to Mortgagee Letter 2005-03 has been modified to a 3-year period.

Question 9: Can a mortgagee qualify an asset for the Loan Modification option when the mortgagor is unemployed, the spouse is employed, but the spouse name is not on the mortgage?

Answer: Based upon this scenario, the mortgagee should conduct a financial review of the household income and expenses to determine if surplus income is sufficient to meet the new modified mortgage payment, but insufficient to pay back the arrearage. Once this process has been completed the mortgagee should then consult with their legal counsel to determine if the asset is eligible for a Loan Modification since the spouse is not on the original mortgage.

Source

If you are looking for help to prevent foreclosure, be sure the counseling agency is on the Department of Housing and Urban Development’s list of approved agencies. Visit HUD’s website for an easily searchable list of HUD-approved housing counseling agencies, or call 877-HUD-1515 (877-483-1515) for more information. If you are approached by foreclosure counselors–by mail, phone, or in person–make sure the counseling agency is HUD-approved before you do business with them.

1. Don’t pay an arm and a leg.

You should not have to pay hundreds–or thousands–of dollars. Most HUD-approved housing counselors provide no-cost counseling services and many more provide low-cost counseling. Do not agree to work with a counselor who collects a fee before providing you with any services or who accepts payment only by cashier’s check or wire transfer. In general, do not pay money to anyone unless you know exactly what services you will receive.

1. Be wary of “guarantees.”

A reputable counselor will not guarantee to stop the foreclosure process, no matter what your circumstances. Working with a legitimate counselor can certainly increase your chances of keeping your home–but be wary of people who promise a sure thing. Again, get the details of your transaction, along with any promises, in writing first.

1. Know what you are signing–and be sure you sign it.

Don’t let a counselor pressure you to sign paperwork you haven’t had a chance to read through carefully or that you don’t understand. Don’t sign any blank forms or let “the counselor” fill out forms for you. Be sure to talk with an attorney before signing anything that transfers the title of your home to another party.

1. If it sounds too good to be true, it probably is.

If you feel you may be the target or victim of foreclosure fraud, trust your instincts and seek help. For tips on spotting scam artists, visit the Federal Trade Commission’s webpage on foreclosure rescue scams. Report suspicious schemes to your state and local consumer protection agencies, which you can find on the Federal Citizen Information Center’s Consumer Action Website.

Two Main Factors

There are two main factors that affect bank CD rates available to you. They are:

* The length of time until the CD matures, and
* The current interest rate environment

The longer you’ll have your money tied up, the higher your rate will be. Check around, you’ll find that bank CD rates go up as the length of time increases. This is because the longer you commit to leaving your money, the more flexibility the bank has with your money. They are willing to pay you a better rate because they can use the money for a wider variety of purposes. Of course, there are surprising exceptions to this rule in uncertain times.

Current interest rates are also an important factor. That is because bank CD rates are set according to other competitive rates out there. The bank knows that you have a variety of choices, so you’ll find that banks try to stay competitive when setting rates. Pay attention over the coming years. If you see interest rates rising, you’ll also see bank CD rates rising.

Other Factors

Other factors can influence bank CD rates. For example, you may find that a bank is trying to win some short-term business by offering slightly higher rates. They know that there are people out there shopping bank CD rates, and they hope that once they get a customer in the door the customer will stay (and bring over additional assets).

Another factor is the desired profitability. You may find that credit unions have rates that are slightly higher than bank CD rates. Because credit unions are nonprofits, they can afford to offer a little more to the customer at the expense of reaping higher margins.

Getting the Best Bank CD Rates

Here are a few suggestions that should help you get the best bank CD rates available. First, shop around. Start by checking your newspaper, mail, and banners on local institutions. Check on our CD Interest Rate Scorecard for insight on what competitive institutions are up to.

Another idea is to check any credit unions that you may have a relationship with. Ask how their rates compare to bank CD rates. You’ll often find a great deal.

You should also use the two main factors I mentioned above to your advantage. If you really won’t need the money for a while, lock it up for a longer term (within reason — a bank CD rate may not be the best return if your time horizon is greater than 5 years or so). Also, see what interest rates are doing. If you think they’re headed up, you may benefit by using a shorter term because bank CD rates will be more attractive in the future. Of course, it is very hard to predict interest rates and markets — so don’t knock yourself out trying to time it just right.

Finally, buy in bulk. If you want to get the best rates, sometimes you have to meet certain minimums. If you have your assets spread out at various institutions, you may be missing out on “preferred customer” rates. Find out if there is any advantage to consolidating your assets at a given institution.

Source

If you are in serious debt, you may be in need of credit counseling as opposed to applying for a loan that you know you won’t be able to repay anyway. There are national financial lenders directory that allow consumers to find services in your local area (city and state). A Payday Loan does provide some type of leniency on some type of loans and restriction on others. You should check your local laws prior to getting into any type of loan. These types of loans may be applied for online withot having to leave your home. Everyone can use a little help sometimes and if you are finding yourself in a bind and do not know where to seek for help, try using this type of loan. It is meant to help you and it is available nationwide. You can be anywhere in the US and still be eligible to apply.

It is imperative that a person applying for a loan, understands the type of loan that they are applying for. You wouldn’t want to end up hurting financially with a loan that should have helped you in the first place. Read up and pay up.

Adopting a fortress mentality in times of danger seems to be programmed into our DNA – pull up the drawbridge, circle the wagons, Buy American.  While it may give us a sense of good intent and even social justice, just Buying American is not the response called for if the US hopes to lead the world out of this deep recession.

That a financial crisis caused by imprudent lending here spread across the globe like a pandemic underscores the extent to which we have become interconnected and interdependent. There’s no getting the genie back in the bottle. Globalization is a reality, a reality that has greatly improved the lives of millions of people nearly everywhere.  The “Buy American” provision in the US economic stimulus plan is well meaning but fails to take this into account.

Not only will it increase costs and disrupt the supply chains of companies that rely on international suppliers, but it also runs the risk of retaliation and, ultimately, trade wars. Even the head of a major US construction equipment manufacturer that stands to benefit substantially from the plan doesn’t like the “Buy American” caveat, noting it could backfire in the company’s export markets. And it could for exporters of other products as well.

Three weeks ago, the G-7 finance ministers met in Rome to discuss the global crisis. They may have had differences of opinion on a host of issues, but there was unanimity on the importance of keeping the world economy free of protectionism. The head of the World Bank concurred, calling the “Buy American” provision “very dangerous.”

He was alluding to the disastrous protectionist measures that helped plunge the world into the Great Depression. That was 1929 and this is 2009; protectionism didn’t work then, and it won’t work now. If anything, it’s likely to make a bad situation worse, just as it did 80 odd years ago.

So let’s lower the drawbridge, un-circle the wagons, be pragmatic with the “Buy American” provision in the Stimulus Plan, and start working with the rest of the world on resuscitating a global economy that has benefitted so many people in so many countries, including my own.  By virtue of the very business in which we operate – managing the movement of goods around the world – we at BDP are all facilitators and the beneficiaries of international trade.  When import and export activities flourish, BDP flourishes.  Our jobs flourish.

It is not too late to reach out and engage with Congress, the Administration, and others involved in the process,  By doing so you can help send a clear message, both to our government and to our global trading partners, that the U.S. remains committed to free trade.

Don’t lose hope. There are ways to tighten our belts up and still continue with our financial goals even through this crisis. Most of us are reviewing our 401K contribution, cutting expenses and saving more just to compensate for what is going on. Did you know that there are people in the financial industry that could assist you while you’re re-thinking your financial situation? Do you have kids going to college soon or are you planning to retire at a certain age? How are you able to accomplish this without getting confused about the financial jargon and complicacies.

World Financial Group is a leading financial company dedicated to helping you do just that. They are in the business to help families and businesses stay with their financial goals and get them on their way to financial freedom. If you are reviewing your 401K, do you know how to re-allocate your contribution? How about how much you should contribute at your age? Are you saving up for your children’s education? When should you start doing that?

We all don’t want to make a mistake in making decisions, most specially with the current financial scenario. We want our steps to be positive regardless of how everything around us seems to be negative. We should be thankful that there are companies like World Financial Group to help us make this critical financial decisions. Besides, everyone is hopeful and should the economy turn around – we want to be in the best position we could possibly be. So, get your thoughts together now and think. Do you want experts as your teacher as you thread through this crisis? I do.
This is a sponsored post.

SETTING THE RECORD STRAIGHT(Publ. 01/09/09)
An article about the difficulty some consumers are having getting a home loan incorrectly quoted Cathy Warshawsky. She did not say that all people taking cash out as part of a refinance are required to have mortgage insurance, only those with less than 20 percent equity.

Mortgage rates are at their lowest level in decades, but thousands of Silicon Valley residents are discovering that qualifying for a loan is tougher than it has been in years.

Banks are reluctant to lend at favorable rates to all but the most bulletproof of borrowers, according to area mortgage brokers. Unless you have a gold-plated credit score, low credit-card debt and a big down payment or a lot of equity, those rates of 5 percent or less on a 30-year fixed-rate mortgage may be out of reach.

Adding to the difficulty for many people hoping to refinance loans taken out in the past few years is that the collapse in home values has eroded their equity so much that they don’t qualify for a new loan.

“It’s like cable TV — there’s 200 options and nothing worth watching,” said Andy DelGesso, a hospital department manager who failed to qualify to refinance his loan on his San Ramon home because his equity had declined to less than 20 percent of its value.

“We were all spoiled the last few years when it was so easy to qualify,” said Patrick Dudum, area sales manager for Equitas Capital in Los

Gatos. “Relative to 2004 it is difficult, but if you have followed the market for any length of time, this is a normal market.”A couple of years ago, you wouldn’t have needed much of a down payment. These days, to get the absolute lowest rate, it’s likely you will need a big down payment and a credit score of 720 or above, and be able to document your income. Banks don’t want to see much credit-card debt, either. They say much depends on individual circumstances, with no two borrowers exactly alike.

In any case, government actions to revive the housing market appear to be bearing fruit, even as the lending industry has returned to the tighter standards that prevailed before the housing bubble.

There are still loans for those who don’t meet those requirements, but they cost more and carry higher interest rates.

“The credit is available, it’s just not as favorable,” said Keith Gumbinger of HSH Associates, a New Jersey firm that tracks loan rates. A person with a 620 credit score putting less than 20 percent down “could be looking at 6.5 percent or more,” he said. (Credit is rated on a scale of about 300 to 850 in a system known as FICO.)

“It’s more back to the basics,” said Cathy Warshawsky, president of the Silicon Valley chapter of the California Association of Mortgage Brokers.

Warshawsky said people who have less than 20 percent equity are being told they need to buy mortgage insurance. Also, loans above $417,000 but below $625,500 — Fannie Mae’s limit on so-called “jumbo” loans that meet its standards — still cost half to three-quarters of a percent more in interest.

“Standards across the country absolutely have tightened,” said Arlene Allert, a Wells Fargo Home Mortgage retail regional sales manager responsible for the Bay Area. She said Wells already had tight standards, so it hasn’t had to change them as much as others have.

But the biggest hang-up for refinancing is the decline in home values, Warshawsky said.

Jerry McClain of S&L Home Loans in San Jose, who is hospital department manager DelGesso’s broker, said he’s seeing lots of people who have perfect payment histories, good credit scores, stable income and low credit-card debt being turned down because their equity isn’t enough to satisfy lenders.

“In the Bay Area, we not only have microclimates, we have micro-neighborhoods,” McClain said. Some areas have lost value dramatically, while others are at least holding their own. If you aren’t in one of those areas, unless you have a great deal of equity, you’re having a rough time getting a loan.

The banks are demanding tougher appraisals, too.

“Everything has to be explained in greater detail,” said appraiser Greg Walker of San Jose. “Every appraisal I do, we look at what’s happened in that neighborhood over the past year, and everything’s declined over the past year with the exception of a few neighborhoods.”

Among the stable areas, Walker said, are Los Gatos, Cupertino (within the Cupertino school district), Sunnyvale and the Almaden area of San Jose. East San Jose is down 38 percent to 50 percent, depending on the neighborhood, he said.

But if you qualify for a loan, the rates are truly great, the best in a generation.

So, despite the stricter standards, first-time buyers are beginning to snap up homes — still mainly foreclosures and short sales — tempted by the unique combination of lower prices and low interest rates. They’re the people who sat on the sideline during the boom, saving money for a first home.

“I’ve been stoked about this market for the last three months,” said Dudum of Equitas. “The government is going to throw everything in their power at this problem to fix it. We’re going reap the benefits. We’re going see a boom in the next 24 months, and the last one will pale in comparison.”

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