MDF Financial Services Did not secure me a Loan Modification as promised on both our 1st and 2nd mortgages Deerfield Beach, Florida

I filed a complaint with the Florida Attorney General's office against MDF Financial Services.  They sent me a response back with a copy of a law that was created in 2008 (before I hired MDF Financial Services) 501.1377 which prohibits businesses or individuals from collecting up-front fees from the homeowner prior to completing all services contained in the contract.  This includes foreclosures rescue services or loan modification services related to foreclosures.  This law can be found under F.S. 501.1377 titled Violations involving homeowners during the course of residential foreclosure proceedings.  The Florida Attorney General's office has created a Mortgage Fraud Task Force which is reviewing my letter and charges against MDF Financial Services.  They have also given me attorney's in the area to file a law suit against this company.  To date MDF Financial Services has not responded or refunded my funds for a failed/denied loan modification.

Marc:

Wow you are very good at twisting the truth with words. The first modification you presented to us was not a modification at all - it was a copy of the same repayment plan we already had from IndyMac Bank proposing a new loan with higher terms and an additional $400 per month. I already had that before I called your company. I specifically called your company to work with our lender on a "loan modification" because we could not afford to keep paying the original terms of the loan @ 7.5% and wanted it modified down to stay in our home. The 2nd Trial Modification has been denied and I have a copy of that letter from IndyMac Bank and will be sending it to you certified. The funny part, they say they are denying the "Trial Loan Modification" based on the numbers your people put together and submitted to them. Regardless, the bigger picture is we lost 5 months of valuable time investing our trust with your organization and in the end everything was denied and we are losing our home.

My husband and I contacted MDF Financial Services back in January 2009 - at that time we were only 2 months behind on our mortgage payments due to my husband being layed off. Prior to hiring them we attempted to work directly with our mortgage company Indy Mac Bank but they would not work with us and would not return our calls so we hired MDF Financial Services and paid them $3700. Matt Lahn was the original person I spoke to - he told us not worry they were very successful in dealing with mortgage companies and since we were only a few months behind we had time for them to work out a good loan modification for us. He hinted that it would be a good idea for us not to make additional payments but to use the money to pay off existing debt instead while they worked with our lender.

After 2 months of waiting we received a loan modification packet in the mail via Federal Express from Indy Mac Bank. To our surprise the loan terms were "higher" then what we were previously paying - $700 a month higher. I called MDF Financial Services and asked them if they were crazy? I told them they were moving in the wrong direction. Kim Williams and Wendy Bolling were the account reps at the time - they profusely apologized and told us not to worry they would call the mortgage company and make it right. On June 28th I received a letter from Indy Mac Bank saying they wanted to make us a trial (3) month loan modification offer - we said yes and signed a letter (no loan documents were provided) and sent back via federal express the information they requested. MDF Financial Services never informed me however that the funds needed to be sent via Western Union or Cashiers Check nor was it stated on the letter we received - which I found out after I called the mortgage company numerous times directly. Indy Mac Bank informed me they did not know anything about MDF Financial services and had no record of them trying to contact them on my behalf. Even though we are suppose to be in a "trial" modification with Indy Mac Bank - this morning we woke up with a Notice of Trustee Sale tapped to our front door informing us that they will be selling our home on October 23, 2009. I called Indy Mac and they said they denied the loan modification request - I notified MDF Financial Services and they still have not refunded according to their money back guaranty. Kathy everett, Washington
U.S.A.

The allegations of Mrs. Ali are not comprehensive or accurate. On 7.26.2009, Mrs. Ali conveniently emailed our office asking us for additional assistance following her report above. She has demonstrated a pattern of complaining, demanding a refund and then coming back to us asking for help. Below you will find an accurate account of how we performed.

We were engaged by the client to negotiate a loan modification on 12.02.08. Our company has worked diligently to help the Ali's retain their home and provide them with a fresh start. The client file is heavily documented with emails, phone call logs, and documentation to support the labor put into this specific case. Through our efforts we obtained two modifications that would cure the default:

The first modification we received from Indymac was issued on April 6th, 2009. The terms offered was a new Principal and Interest payment of $2492.73 + Impounds (taxes and insurance - $366.50) bringing the mortgage account, including the past due arrearage of 6 months (11/1/2008 - 05/01/09) the late fees and foreclosure costs incurred.

The second Modification was obtained on June 17th, 2009. The lender provided a workout based on the Presidents new Home Affordable Plan. Each plan is a direct function of your income and the initial part of the plan is termed a Trial Mod. This is a 3 payment plan and then transitions to final modification. This allows the investor to see if you are committed to making the new payment and retaining your home. Based on the client's income they offered you a new payment of $1660.05 for the 3 months. Following 3 timely payments the existing modified terms would have been finalized and set in place. This new format is the design for the majority of modifications moving forward.

We were engaged to negotiate a loan modification and our effort helped the client receive not one but two different offers from their current lender so they could retain their home. We will not engage in any further discussion with this party. We wish her the best.

Sincerely, Marc Felice - President

Here is the email the client sent on the 26th, requesting further guidance from us.

-----Original Message-----
From: Kathy Ali [mailto:Kathy.Ali@noetix.com]
Sent: Sunday, July 26, 2009 11:34 AM
To: Marc Felice
Cc: wendy@mdffinancialservices.com; Kim Williams; Thomas Barber
Subject: RE: Loan Modification for Kathy Ali

Marc:

I wanted to give you an update on where this "Trial Loan Modification" is with IndyMac Mortgage Services.

IndyMac Bank was acquired by the FDIC and then again acquired by OneWest Bank. It appears our loan has been lost in the process. OneWest Bank is trying to foreclose on our property and IndyMac Mortgage Services is leading us on with a (3) month trial loan modification offer. They sent me a notice that I was elligible under a new federal program for a trial loan modification starting July 1 - September 1st - I am to pay $1,660.05 every month while they work on my loan modification. So we are one month into this "trial modification" sent the funds (1,660.05) on June 29, 2009 Western Union and now we wake up this morning (7/26/09) with a Notice of Trustee's Sale tapped to our front door from a Seattle firm called Regional Trustee Services Corporation telling us on October 23, 2009 they will be taking posession of our home. IndyMac Mortgage Services is obviously leading us on attempting to collect extra funds via this "Trial Modification" but behind our back they are having OneWest Bank foreclose on our property. We don't know what to do - do we keep paying the $1,660.05 on this trial modification that has a payment due August 1, 2009 or do we start packing and keep our money to get into a new place?

Kathy Ali

Indy Mac Bank isnt an actual bank. It is a government bailout program for people who made dumd choices.

With my husbands medical issues, I would like a bail out but cant get one because we were dumb and have a fixed rate mortgage.

You said you were only two months behind on your mortgage. Then sent these people $3700. If you had that kind of money why didn't you spend it making mortgage payments?