Aurora Loan Services LLC
AURORA has received $459.6 Million in Troubled Asset Relief Program (“TARP”) Funds and is therefore required to have a loan modification program in place in place for borrowers such as Plaintiffs. A homeowner is eligible for a modification under the Making Home Affordable Program if the borrower meets certain criteria. For example, the borrower’s home must be an owner occupied single family 1-4 unit property; the home must be your primary residence; it cannot be investor-owned, vacant, or condemned. Moreover, your loan amount must be equal to or less than $729,750 and your loan could not have previously been modified under the Making Home Affordable Program.
Despite the fact that many borrowers qualify for a modification under the Making Home Affordable Program, AURORA has failed to make reasonable efforts to contact many of its borrowers to determine their eligibility for the Making Home Affordable Program. If you have tried to obtain a loan modification with AURORA have been ignored or denied, call us now at 1-800-872-5925 as we may be able to help you.
AURORA Has Signed A Contract With The US Government Agreeing To Perform Modifications
AURORA is one of many Residential Mortgage Servicers committed to the Home Affordable Modification program through a formal Participation Agreement with the United States of America. The Participation Agreement can be found here
As a recipient of TARP funds, and pursuant to the Participation Agreements, AURORA is subject to the U.S. Treasury’s modification program guidelines for the Making Home Affordable Program. Said guidelines, promulgated on March 4, 2009 clearly require "[A]ny foreclosure action…be temporarily suspended during the trial period, or while borrowers are considered for alternative foreclosure prevention options. In the event that the Home Affordable Modification or alternative foreclosure options fail, the foreclosure action may be resumed.”
The Servicer Participation Agreement also requires that AURORA review the eligibility of any borrower who asks to be considered for the Making Home Affordable Program. The plan requires, in pertinent part, the following steps:
- Request the monthly gross income of the mortgagee
- Capitalize the arrearage
- Target a front-end DTI (debt-to-income) of 31%
- Reduce the interest rate to a minimum of 2% reach the DTI target.
- Extend the term of the loan up to 40 years to reach the DTI
- Forbear principal to reach the DTI
As a result, if you have been wrongfully denied a loan modification, Howard Law can represent you as we have been successful at obtaining many loan modifications for borrowers who have tried unsuccessfully on their own. If AURORA does not respond favorably to our negotiations, we can seek an order from the Court that your foreclosure sale should be postponed indefinitely until AURORA determines your eligibility for the Making Home Affordable Program.