Q: I am really angry about what’s going on with my loan modification – or I should say, my non-loan modification. I have been going back and forth with my big box lender and first they say I can get a loan modification and then I can’t.

I know you’ve been encouraging people to tell their loan modification hell stories. Mine is too long to go into in an email. But I want to do something to get my lender to pay attention to me. What do you recommend?

A: I’m sorry to hear that you’ve had so much trouble getting a loan modification from your lender. Perhaps it will help to know that there are literally hundreds of thousands of folks having the same confusing and frustrating experience you are.

After consulting with some sources at the Treasury Dept., someone suggested that if you’re in loan modification hell, you should write a concise letter that clearly details what has happened to you. Organize your thoughts into a timeline of events. And, be sure to include any information you have that identifies which employee you spoke with (the employee’s identification number, office or location would be helpful), the date of the contact and even the time of the call. If you’ve received a letter or emails, include a copy of them with your letter.

You’ll want to address your letter to the president or chief executive officer of the bank. If you don’t know who that is, go to Yahoo.com finance page. Under the “investing” tag, use the search box to type in the name of your lender. A bunch of company names will pop up. Choose the company you’re interested it. On the company page, choose the “profile” tab on the left navigation bar. That will take you to a page with the company headquarters and the names (and salaries) of key employees, including the CEO.

Once you have the CEOs name and address, you’ll want to write a letter that roughly follows this format:

Dear [name of bank president or CEO]:

I am writing to tell you how confused and unhappy I am because [fill in reason why]. Here is what happened:

On [fill in date], [fill in what happened, with whom you spoke with, contact information for that person and any other information.]

(Repeat until you have finished the time line.)

My question is: [fill in the questions you want to ask].

What I want you to do: [if you want the company to look into your situation, approve your loan modification, or do something else, write it here.]

I’ve attached supporting documentation, including:

I’ve copied the Treasury Dept., the OCC and the FDIC on this letter.

I look forward to hearing from you or your team quickly.


[Your Name]

You should then overnight the letter, or send it return receipt requested so you know that your letter was received by the company. Be sure to send a copy to the Treasury, OCC and FDIC so there is a record of your complaint.

According to the latest figures, some 650,000 loans have been put into temporary loan modifications under the MakingHomeAffordable.gov program. Big banks say they are putting thousands of others into their own loan modifications.

Some people will slip through the cracks, or wind up on the phone with someone who isn’t trained well or isn’t knowledgeable enough to help you.

I hope that by elevating your concerns to the executive suite, your loan modification will get the attention it deserves.

Good luck. Let me know what happens.

Read more about loan modification help and why some lenders are slower than you’d like