Eligibility for Chase Bank Home Loan Modification

Every homeowner facing financial crisis is constantly wondering, "What else can I do, other than have my home taken away?" Fortunately, modifying you mortgage loan is a viable alternative to foreclosure. It depends on your bank and who insures your loan, so before you learn about modification in general your first stop should be your mortgage lender. Here are some general requirements for Chase Bank home loan modification.

Your first step is to find out who insures your loan. Lots of loan holders have mortgages and never have needed to know who their insurer is, so don’t feel stupid if you don’t know. A quick phone call to Chase bank will tell you who backs your loan. If the answer is Freddie Mac or Fannie Mae, then you’re in luck. A new $75 billion government loan modification program to help homeowners with Fannie and Freddie loans will help you get back on your feet with modified monthly payments of 31% of your gross monthly income.

Naturally there are some general requirements that homeowners must meet before participating in the Making Home Affordable plan. They must be the owner-occupant of the home, owe less than $729,750 and have a loan that was taken out before January 1, 2009. You must currently pay above 31% of your gross monthly income and each loan can only be modified once. The plan is highly beneficial and if you suspect that you qualify then find a HUD-approved financial counselor to tell you more. Through incentive payments to lenders and borrowers, the government encourages successful modifications that benefit everybody.

If you don’t have a Fannie or Freddie loan, however, don’t worry. There are still Chase Bank modifications available. The deal you get is not going to be quite as good because of the absence of government funding, but it’s certainly better for you and your credit rating than foreclosure. Chase asks applicants to be occupants of the house in question, holders of a first mortgage (no prior refinances or modifications), and the ability to pay between 31% and 40% of their gross monthly income. (Again, $75 billion in tax dollars makes the government loan modification program such a steal, but that is not applicable here.) If you qualify for Chase home loan modification, you will need to submit several financial documents to the bank to request your modification. These include a hardship letter, financial documents and statements, pay stubs, and tax returns.

For more information about loan modifications.