Mortgage Modification: How I Beat the Bank Teleconference

“How I Beat The Bank!”
Recorded Live Teleconference with Mike & Ryan Rockwood of www.60MinuteLoanModification.com

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Ryan: Hi and welcome to the call. This is the 60 minute loan modification insider secrets teleconference series. It’s time to begin. And I thank you all for joining us. We’re just going to get started, jump right into it right now. This is the first in our new series of calls where we’re going to have shorter calls, more often, try to take more questions and basically help more people. We’re here the beat the bank, save your home and help you escape bad debt forever. My name is Ryan Rockwood. And as usual I’m joined by my father and business partner, Mike Rockwood, on today’s call. Before we get started today couple of quick announcements.

Announcement number one. Our website is under construction right now so please excuse any errors that come up on the site. Everything will be back to 100 percent within a day or two. Announcement number two. If you’re a client with 60 Minute Loan Modification, if you purchased one of the kits, remember that you can get email support from our team anytime by emailing help@60minuteloanmodification.com. If you’re not a client please go to our website, 60minuteloanmodification.com, and click on products to see our new and improved offerings. Maybe don’t do it till tomorrow. For $275 this is by far the greatest value you’ll ever find and of course it’s backed with our killer 100 percent guarantee.

Announcement number three. We are now doing these teleconference calls every Tuesday and Thursday. We want you to join us as much as possible until your loan gets fixed. That’s why we’re here. So every Tuesday and Thursday we’ll deliver about 20 to 30 minutes of insider tips and strategies and we’ll take questions from you to help you fix your mortgage fast. You can email your questions to help@60minuteloanmodification.com or just speak up at times throughout the call. But thank you so much for joining us. The real winners these days are people who are not hesitating to take swift action right now. So I encourage you to flip off the TV, shut down your computer, unless you’re listening on the computer, get down and dirty with us, talking about loan mods here for the next 45 minutes or so. Okay? Let’s get on with today’s call, How I Beat the Bank. And of course I’m here with my father, Mike Rockwood.

Mike: Hi, everybody. Hey, Ryan, I just wanted to comment, before we get started that I’m really pleased with our email response rates and I’m disgusted with our phone response rates and we haven’t got a fix for our phone response rates yet so I really encourage everybody to continue to email us with questions. We’re really getting good at getting back to you fast and when I say good, we’re just starting to dial it into where it’s just two or three hours before we get a response to you. We want to get very, very responsive because I know it’s frustrating when you are working on your modification you want an answer right now so that you don’t have to put it aside and finish it up later. So we’re working to be really responsive to you and right now email is working quite well.

Well, the banks are getting better and better and more and more organized. I tell you, since the Obama plan was put into effect on April 4, I don’t know if it’s the money they’re throwing at it or what but honestly the banks are getting more and more organized. They’re overwhelmed, of course, and periodically all of the large banks have had to go to temporary services just answering their phone because they’re so overwhelmed but they are getting very organized and very disciplined and they’re starting to cut corners like crazy so let’s take advantage of that. They’re starting to use a lot of statistics in their evaluation of your qualifications so it moves much faster and so to the extent that we can understand what those statistics are, of course, we can use those to our advantage. We’re always looking for ways, unabashedly, to be on your side. We’re the ones that give you the inside tips to get the good loan mods. We are not working with the banks. We are not compensated by the banks. We work for you.

Ryan: Here’s the thing. A lot of people call us and say well, I’m concerned I don’t qualify for a loan mod. And I mean, we understand that but the bottom line is if you come to us we will qualify you for a loan mod. That’s just the stance we take. Now, if you don’t want to do a loan mod that’s your business. But the bottom line is we’ll torture the numbers, we’ll do whatever it takes to demonstrate that you get a loan mod and so that’s just the way that we encourage people to adopt our attitude.

Mike: Here’s a good example. About half an hour ago, Ryan and I got off of a one hour conversation with a client, a new client, who is grossly overspending, living way beyond their means and has just come to realize it and was seeking our help to see if they could get a loan modification. Well, as we went through the budget it was clear. I mean these guys weren’t even close. I mean, they were like, was it $6,000 a month they were overspending their budget, Ryan?

Ryan: Well, I think you should back up a little because most people will think well this means that they have too much money to qualify for a loan mod and can’t get a loan mod.

Mike: Okay, so the situation is if they had to put together their own budget, called the lender and read off to them the things they read off to us they not only would not qualify for the loan modification — not only would have been no, it would have been hell, no. And we’re sending a vice squad out to figure you guys out. You’re in real trouble. So we counsel them about discretionary items. You know, your $500 golf membership. The bank will disallow it. They consider that discretionary.

So if you want to share that with them that’s your thing but we gotta explain to you that they consider that discretionary. And they need to see on your budget how you make it every month. And whether in fact you make it by using your credit cards or spending money that you borrowed from your 401k or spending down your inheritance, whatever it is, what they’re interested in how do you make ends meet with the income that you’ve got?

Ryan: What I want to stress, though, is that, and I don’t think that you’ve been clear enough just now. Most people come to us and think they don’t have a hardship and make too much money to get a loan modification.

Mike: Very true.

Ryan: And we have problems proving they have enough money to get a loan modification. So does that make sense to you? In other words, the problem is not showing they don’t have enough money to get a loan modification. The problem is making sure that we show enough income. So in this situation what we’re doing is helping our clients refine their budget to the sweet spot and the sweet spot we’ve talked about earlier is you want — when everything’s said and done and you know, in the books and on the kits we go through this very clearly for you. But when everything’s said and done, the amount that you earn every month and the amount that you spend every month has to be within $500 of positive and negative. Is there a clear way to say that?

Mike: No, that’s a perfect way to say it. That’s the cash flow measurement. It needs to be plus or minus $500 every month and then of course your debt-to-income ratio needs to be within the guidelines of the bank which are certainly less than 75 percent of your monthly income should be going to debt support and the bank is most comfortable if it’s right around 55 percent.

Ryan: I say forget about worrying about debt to income ratio. At least until you’re really fine tuning your budget. Mostly worry about what’s coming in and what’s going out every single month and you need it to be around negative $500 to positive $500. That’s counterintuitive to most people. I know it was to me. I mean, I think that if I’m going to qualify for a loan modification I should be $3,000, $2,000 negative, however much I’m going to need the loan modification. Okay.

Mike: That’s right. That’s what most people think, yeah.

Ryan: And I don’t know, logic doesn’t quite play into it here. This is just the requirement, okay.

Mike: The underwriting criteria.

Ryan: Yeah, so don’t try to make too much sense of it. The other thing is we sat down with some people recently and why wouldn’t they do this, why this, this doesn’t make sense. Man, you got me, but we can’t re-evaluate or psychoanalyze the entire U.S. banking system. You know, all we can do is really try to manipulate it for our benefit right here in a good way because those are the requirements. Kind of like a driver’s test. You can’t pick.

Mike: I also wanted to draw everyone’s attention to that experience we had last night, Ryan, where we were interviewing that one client who was — you know, there can be a great deal of pride or a great deal of, I guess it’s pride, kind of wrapped up on how much you earn and how much your FICO score and all that stuff and sometimes, particularly guys, I got to admit, have a hard time admitting that they have a hardship.

And so it’s kind of a cat and mouse game and so a lot of times with clients we’ll have to say listen, do you want us to help you look for your hardship or not? Because some guys will say, I’m earning pretty darn well, can you help me look for, see if I qualify for a loan modification. Yet they don’t’ want to really be open to figuring out if they have a hardship because they have some kind of a pride thing about that. So, just another tidbit.

Ryan: Yeah, I don’t know, the entire economy is in the toilet. Come on. You know what I mean.

Mike: Yeah, get real.

Ryan: What can you do? But anyway, thank you all for joining us here. What we’re going to do is back up a little bit. We have people joining us at all different stages in the loan modification process and so what we’re going to try and do on each of these calls is cover something a little bit different so that you can join us for, let’s say, I don’t know, two or three weeks before you hear stuff repeated.

Mike: Here’s the design of these calls goes like this. What we would like to do is cover all the chapters of the workbook in about three sessions. So we’ll cover a couple chapters tonight and a couple chapters on Thursday and a couple more next Tuesday so that someone receiving the kit, like today, can tune in and get off to a really fast start. And the questions that we take from you need not be related to those two chapters but we want to be sure that routinely we’re going over the basics of the workbook because it’s really, you know, the paint by numbers simple, do it yourself guide for loan modifications so we want to keep, you know, kind of preaching form the Bible.

Ryan: Okay, and if you don’t have the workbook or something like that don’t worry about it if you can’t afford it or you’re not going to buy it or you’re having us do it for you. You don’t have the workbook for you. We’re doing your loan modification, you don’t have the workbook. Don’t worry about it. It’s general interest stuff. It’s pretty logical and you take some notes and if you have any questions you can always email help@60minuteloanmodification.com. Okay, Dad, chapter one of the book is I did it and you can too. It’s your own personal story. Why don’t you tell us your story about how you got into this personally with your own loan modifications in ten minutes or something.

Mike: I won’t belabor it because I know many of you have heard it or you got the 60 Minute Loan Modification Secrets CD but let me just quickly run through my experience and I hope it’s helpful to you and encouraging to you. Last summer my, working as a realtor, my income took a pretty significant dip and I had at that time owned five rental properties as well as my own home here in Torrance, California. And so on all of them, really, I was, because my own income was so hosed up I was in, you know, in danger of defaulting on the mortgages and losing them. And so what I plotted to do was to approach IndyMac, who was the holder of the mortgage on my own home, and ask them simply if I could take a month off without getting a ding on my credit. And I thought it was a simple enough request and innocent enough and would have only cost them one month’s worth of interest. Would have cost them a few thousand dollars, but no, they wouldn’t allow that.

Never heard of such a thing. Made me feel like a total loser. And told me that they didn’t have any programs for a guy like me and I said, well, wait a minute. I’ve been, you guys are on the ropes. In fact the federal government just took you over. What are you talking about, there’s no programs for me and they said well, you’ve never been late on your mortgage. So I said, okay, I’ll call you next month and when I called them next month I said okay, now I qualify for your programs, right. And they said right. So I went on to negotiate with them a pretty dramatic reduction on my first mortgage on my own primary residence and I always recommend to people that that’s the best place to start.

Teleconference continues here:
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