subject: Qualify For A Citibank Loan Modification [print this page] Many people know that till recent past Citibank borrowers had no hope if they needed a loan modification. But with the efforts of the present government, Citibank loan modification has become feasible for their customers. However it is only before a year or two that the borrowers who could not repay their Citibank home mortgage loan had no other option left than face foreclosure. The government has changed the way lender and borrowers look at loan modification and it has offered incentives to the lenders who participate and approve home loan modification applications.
Citibank is now helping those homeowners that are facing problem due to the present financial crisis and their credit score is falling. It is expected that about half million homeowners will be benefited alone by Citibank. This is possible because the process of application and approval of loan modification has been eased and simplified. Now the homeowners need not waste time calling up other lenders who are not willing to help them. There are lenders who don't say a direct 'no' but postpone every meeting or dates of other formalities. You should be careful and avoid such lenders.
The mortgage modification enables the homeowner to get a reduced rate of interest on the monthly installments of their home mortgage loan, longer tenure for repayments that can go up to 30 years and a deferred principal amount as well. Those homeowners whose house value has dropped down a lot are sure of getting their loan modification application approved. And for this it is important for the borrower to find out the exact requirements of Citibank so that their loan modification application is approved.
However Citibank is one of the easiest and simplest in giving home mortgage modification to their borrowers but their guidelines and requirements are very strictly governed. For this you can call the loan department and talk to the relevant personnel or you can get them if you search for these guidelines on Internet also. The main things that Citibank wants to look at are your credit, the value of your property, any late payments, bankruptcies and the debt income ratio.
They verify these documents and facts so that they can decide whether the borrower is eligible for the modification of loan or not. After this the homeowner will have to fill an application form and write a hardship letter that deals with his financial condition and the reason behind it.
