I would like to know more about “Cap-to-Reinstate”.
Since I was initially denied for a loan modification, my MAP counselor plans to submit for this.
How do I know whether the qualifications for this type of modification are met so I may increase my chances of success this time around?
“Cap to Reinstate” simply means taking your past due balance and re-capitaliziing it back into the loan balance to bring you current. This is typically not a preferred method as it does not change the terms of the loan and leaves the loan with the same unaffordable terms it had before. It’s not so much whether you qualify for it but whether the investor on the loan will allow it.
I’ve contacted Citi along with my counselor in order to find out who the investor of the loan is w/o reply as of yet. I used the Fannie & Freddie website, it says they are not serving my loan. Is there another way to get this info?
I’m afraid not. You can submit a Qualified Written Request to your servicer for information on the investor and their modification guidelines. Do some quick research on the QWR on the web and here in the Forum.