GMAC ResCap Loan Modification

GMAC ResCap is based in Minneapolis and is one of the best-known mortgage originators in the area. It is part of GMAC Financial Services, an arm of General Motors dedicated to financial services. ResCap mainly provides sub-prime mortgages and has recently began working on mortgage assistance services, allowing troubled borrowers to get current and stay in their homes.

ResCap has put in place a loan modification program for current borrowers and those in ResCap-backed transactions. The program will process mortgage modification applications for a limited number of borrowers, with top priority given to those who are already in foreclosure. Mortgages dated between 2005 and 2007 are the most likely to be approved for a GMAC ResCap mortgage modification.

The GMAC ResCap loan modification scheme works through pooling, wherein delinquent mortgages are pooled together and sold to investors at a discount. Borrowers can then pay them off at much lower rates, so that they can stay current and avoid further financial trouble.

Standard requirements apply to the GMAC ResCap loan modification plan. To qualify, a borrower must present a hardship letter explaining the circumstances of hardship. Valid reasons include job loss or change, military service, and medical emergencies. To improve one’s chances, it’s best to hire a loan modification attorney who can negotiate on their behalf and ensure faster response from the bank.