Regions Bank

[LoanModMan]

Has Regions given you a hard time?

[NotGreekToMe]

I have a past client who is trying to work out a loan mod with a Regions 2nd.  The loan was originally a prime based, interest only loan (I think Prime +0 or close to it) and a couple of years ago  they arbitrarily triggered a clause that allowed them to increase the minimum payment to 1.5% of the balance.  This resulted in payments literally going up from about $775 per month to over $4200 per month.  When business was good they were able to survive, barely.  Now, they haven't been able to make their payments for months now and just recently were served with a notice of foreclosure.  Any suggestions?

Steve Greek

[LoanModMan]

They should get the specific information regarding the so called clause that "triggered" the payment hike.

A review of their note would help. Once you review the note you will be able to see what condition allowed for the payment change.

Is this 2nd mortgage on their primary residence?

This a link to the Financial assistance form for Regions.

http://www.regions.com/virtualDocuments/Home_Equity_Hardship.pdf

This form can be emailed or faxed to the following:
Fax to:
 205-560-7118
 
Email to:
 equitycounselor@regions.com
 

I have seen them do many loan modifications.