Washington Mutual Loan Modification

Washington Mutual is part of JPMorgan Chase, one of the biggest financial institutions in the United States. The company specializes in sub-prime mortgages and middle-market consumer loans. It has also started offering loss mitigation programs for defaulting borrowers, allowing them to stay in their homes and get their mortgages current.

Among its most attractive offers is loan modification, an agreement between the bank and the borrower that permanently changes the mortgage terms. One key feature of Washington Mutual loan modification is that it stops the foreclosure process, making it ideal for homeowners who are already in foreclosure. In fact, the bank is more likely to grant a mortgage modification to seriously delinquent borrowers than those who pay on time.

The first requirement for a Washington Mutual mortgage modification is a hardship letter, wherein the borrower explains how he or she fell behind. The reason must be a temporary hardship such as medical expenses or an unexpected increase in living costs. Borrowers must also have at least one source of income to prove that they can stay current when the loan modification is approved.

A Washington Mutual loan modification can take several months to process, as the bank deals with a large number of applications. To get faster results, borrowers can consult a loan modification attorney who can negotiate directly with the loan modification agents. Besides speeding up the process, a lawyer can also use legal violations as leverage to get more reasonable offers, and discuss alternatives in case the mortgage modification doesn’t push through.