I’m in THAT exact situation. Lost my job in June of 08, been making all my payments on time and have good credit. Being as times are tough (and getting tougher day by day) I contacted Countrywide Mortgage to see about having my interest rate adjusted so I could continue paying them for a few months longer (I’m hoping to be employed soon!). I was told by them and I quote “when you’re hardship is resolved then contact us and we’ll help you”.
Hell, I even asked them if they were hiring!
Well, when my hardship is resolved I’ll be leaving their asses and not looking back!! THANKS Countrywide for your help in my time of need…me and my 2 children appreciate it!!!

I would like to add that I agree that the current situation is a lot like a homerun (I was a pitcher back in my golden years). I do believe that when we sign on the dotted line we seal our own fate and it’s up to each individual to negotiate their situation. We cannot place the blame entirely on the banks. We must exercise common sense and judgement with regards to budgets. We must not let greed get in the way of reality. We must anticipate that there will be bad times and consider all worst case scenarios. These are the things that some of the most successful people in the world do on a daily basis.

If you walk into a bank and believe everything they put in front of you and don’t ask questions, then you’d might as well just watch every pitch go buy abd pray that you get 4 called balls before you get 3 called strikes!!!

My current interest rate is 6.5%. My current payments are about $960 a month. I have them taken directly out of my checking account in weekly installments. This allows me to make one extra mortgage payment over the course of a year that goes directly to my principle. I also add on ten extra dollars per week. I know that doesn’t soun like much, but with 52 weeks in a year, it adds up to an extra $500 going straight to the principle.

In my opinion, I think that the banks should be willing to work with people like me, not just people that are defaulting on their loans and facing foreclosure. I may be paying my bills on time, but I still could benefit greatly from a lower interest rate. I mean, just because paying my mortgage is top on my priority, and it will always get paid first, that doesn’t mean that I don’t struggle just to buy groceries.

I don’t know if I would qualify for a lower interest rate. I have no credit card debt (just paid them all off), but I still have some medical debts that are weighing me down. I may call and check with Wells Fargo and see what they have to say. I guess it coudn’t hurt!

I’m not saying it’s fair or right, but it seems like a practical matter matter to me.

Keep in mind the topic here is simply asking my mortgage company a question. I will answer any questions they have truthfully. Is there harm by asking? I don’t see how there’s a line between right and wrong there.

If it’s not fair, the mortgage company can simply say no. We both hang up the phone amicably and move on.

I hope that’s not truly the case.

The reaction to the hard economy is a moving target. Companies are adjusting their practices all the time. I’d say go for it.

I’m in a similar situation and my wife and I are holding out till the market gets better. It could be a lot worse, at that interest rate your inflation adjusted interest is probably closer to 1-2%, not all that bad if you think about it. I know it is rough right now, but the market will come back and at that time you can decide if you want to bail out or ride the next bubble and make some cash.

Let us know how it works out (if you can)!

There is a Promissory Note that is signed – if we waive certain parts of that (including the rate) – then borrowers could argue in court that we essentially waived other provisions. From a liability standpoint this would never be considered.