Quote:
Originally Posted by EarlyPorsche
That is wonderful.
In terms of principle reduction - what was your argument? I feel like a bank will just say "hey you made the choice now be responsible for it."
In terms of your credit - did they ding your credit at all? How much was the jumbo loan for?
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Remember it wasn't a principle reduction. The principle is the same, just some of it is deferred without interest. The argument was simple "I can buy the same house for less and you don't want this house". The deferred principle was their idea. I wanted a principle reduction and we compromised.
There was no credit damage at all. Never missed a payment. I will say that I don't really care about FICO scores and some arbitrary judgment about my credit worthiness. I think that is all a scam. If I can't get what I want without the approval of some $12/hr bonehead, I will just forgo that purchase. I will tell you that rarely happens.
Quote:
Originally Posted by Cdnone1
I guess I'm missing how the bank was screwing you by not volunteering to rework (in your favor) a contract you, I assume, legally signed.
I can understand you wanting to reduce your costs. I can understand how you bought at the peak of the housing market and wanted your taxes re assessed, but I can't understand what the bank was doing to screw you.
I've made a couple of bad investments, but I always figured it was me that made them and was responsible for my own decisions.
Steve
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The bank wasn't screwing me on this loan. That's not what I said. I said bank will screw you if they can. I have one credit card that arbitrarily went from just over 9% to something over 20% for no apparent reason. When I called the bank they said their criteria had changed. I paid it off and don't use that card.
It was a simple business transaction. I convinced them that they loose if they foreclose.
I convinced them that I was willing to walk, where in actuality I was not.
They did the math and negotiated a deal that works for both of us.
Remember that the contract was set with requirements that we both agreed to. One of the agreements was if I stop paying, they get the house. My $200k down payment is of course gone but even with that the bank wins if I stay.