Until a few months ago, the situation looked very bleak for homeowners who had problems with paying the monthly mortgage payment. There were no provisions for them which were provided by the bank. But recently, due to agreements with the government, the bank has come up with fresh loan modification programs which is enough to get you a more comfy monthly plan and thus, helping to stay in your home.
Citibank has a financial ambition of reaching out to around 50000 people with their loan modification program. There are a number of banks which provide these programs only to people who are down and out and are very close to foreclosure, but Citibank is providing the same to every homeowner who has been witnessing some problems on the financial front in the latest past.
The broad assimilation of services rendered by Citibank ensures that you do not have to go around looking for a loan modification from a thousand different lenders. There are hot lines which get you directly in touch with the mortgage department of Citibank and thus, eliminating the presence of getting shoved around.
The loan modification program of Citibank is very advantageous for the homeowner. There are a number of modifications which totally work in the favor of the borrower. Apart from the routine aspects like a diminished interest rate and higher mortgage period of up to 30 years, Citibank also provides its clients with a switch in the principle amount. This factor especially bodes well for the homeowners.
Before applying for a loan modification, it is necessary that you do an intensive examine on the requirements for the same. This will help you in getting all the documents ready before the actual process starts so that there is no potential delay. Tho’ they have comparatively lenient, Citibank is still a bank which has stringent guidelines to go after.
There are a lot of factors which Citibank is going to have a look into. Some of them include credit rating, bankruptcy, debt to income ratio, mortgage payments till date and property value. All of these help the bank to determine the payment capability of the homeowner. But you might get fortunate because Citibank is targeting the homeowners who are stuck with a bad credit rating and a financial crisis.
Anyone who wants to apply to Citibank for a loan modification needs to write a Hardship letter stating the reason for the application. A decent representation of the problems experienced should be done so that the officer gets an idea. Tho’ this bank may not be stringent as the others, but there are still a few rounds through which you have to pass to be approved.