What You Need to Know About the Indymac Bank Loan Modification Program

The loan modification program under IndyMac Federal Bank (FSB) is implemented to modify troubled mortgages under IndyMac. This program has been created as a result of millions of defaulted mortgage agreements. Indymac Bank is suffering financially as well as their customers. As a result, Indymac has put together a comprehensive mortgage modification program to assist struggling homeowners.

The mission of the program is:

  • To provide borrowers cheap monthly mortgage rates.
  • To improve diminishing property value.
  • To restore mortgages into performing loans maximizing their value for the FDIC (Federal Deposit Insurance Corporation)
  • To help creditors and investors of the former IndyMac Bank
  • To work on improving IndyMac’s Federal mortgage portfolio

Who Is Eligible for The Indymac mortgage Modification Program?

  • Borrowers with first mortgage loan serviced by IndyMac Federal Bank
  • Must be a primary residence
  • Seriously delinquent or in default due to a financial hardship

What Are The Features of The Indymac Loan Modification Program?

  • Borrowers will get fixed interest rate capped with the current Freddie Mac survey rate
  • Manageable mortgage payments at a 38% debt-to-income ratio (DTI) of PITIA, which can be achieved by combining interest rate reductions, extended amortization and principal forbearance.
  • After program term of 5 years, interest rate will increase by no more than 1% yearly until it capped the current Freddie Mac survey rate, which will be the new interest rate of the remaining loan term.
  • No fees or other charges when applying for the Indymac mortgage modification program.
  • All unpaid late charges will be waived!

What Do I Need To Apply For The Indymac Loan Modification Program?

  • Income tax return to validate your financial hardships
  • Account balances on all monthly payments and monthly housing expenses, such as, credit cards, student loans, second mortgage, insurance and taxes, etc.

How To Apply For The Mortgage Modification Program?

  • Contact IndyMac Federal customer service specialist at 1-800-781-7399
  • You can also log on to the official websites: http://www.fdic.gov or [http://www.imb.com]
  • Present them essential proof of financial information

If you qualify you will receive proposed mortgage modification offer. You will be required to:

  • Sign and return the loan Modification Agreement along with a check for their modified monthly mortgage payment and
  • Provide verification of income to confirm that they qualify for the proposed mortgage modification.

Note: Make sure that you continue paying on time after getting modified and comply with all other terms of their mortgage agreements.

This modification program does not guarantee an approved mortgage modification offer for IndyMac Federal borrowers.

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