We received a letter from Beneficial on our second mortgage today. We have not made a payment in 2 years and this is the 3 rd time they have sent an offer. The first 2 were $3000.
It says
"Beneficial has authorized a tax time settlement offer of 1.97% on qualifying accounts. Your outstanding balance on the above referenced account is $25355.79 as of today.
As part of the special tax time settlement offer, Beneficial will accept a one time payment of $500 as settlement in full on your above referenced account. In order to take advantage of this offer, the one time payment must be received in this office no later than March 31, 2010."
I do have the $500 to pay this but I am sKeptical about doing so. Is there anyway I can assure this is legitimate........ and if I do pay they will not come after me for the rest of the money.
JB
$500 settlement offer on 2nd mortgage. Need advice please
Started by
kaliryan
, Mar 10 2010 07:35 PM
14 replies to this topic
#1
Posted 10 March 2010 - 07:35 PM
#2
Posted 10 March 2010 - 09:19 PM
Let me be the first to say kaliryan, that is one heck of an offer to clear of 25K of previous debt. yippee.
What I would do is contact Beneficial and veryify the info. Let them know that you are trying to scrap together the $$$ and if you can do so you would like to take advantage of this offer... But you need some verification that it is a valid offer...? As long as you can get someone else there to confirm the offer, then I would go with it. You might also nail down how you get the release, or if they file that at the court house themselves. If so, just how long will that be before the release is filed...?
Heck, for that price I would risk the 500 clams.
What I would do is contact Beneficial and veryify the info. Let them know that you are trying to scrap together the $$$ and if you can do so you would like to take advantage of this offer... But you need some verification that it is a valid offer...? As long as you can get someone else there to confirm the offer, then I would go with it. You might also nail down how you get the release, or if they file that at the court house themselves. If so, just how long will that be before the release is filed...?
Heck, for that price I would risk the 500 clams.
#3
Posted 11 March 2010 - 01:27 PM
DH called this morning and lady at Beneficial said yes if you pay the $500 they will consider it settled in FULL and will send infortmation to the CB's and release any leins.
Still nervous but I think I will give it a try.
Still nervous but I think I will give it a try.
#4
Posted 11 March 2010 - 01:31 PM
Wow, you're lucky!
I'm going to have a 36K mortgage debt to settle. I would dance a jig if they offered me that kind of settlement. Heck, I probably would have paid the $3K.
I'm going to have a 36K mortgage debt to settle. I would dance a jig if they offered me that kind of settlement. Heck, I probably would have paid the $3K.
#5
Posted 11 March 2010 - 02:31 PM
Can the amount that is being written off count against you as untaxed income?
#6
Posted 13 March 2010 - 02:41 PM
Congrats Karilryan.....keep us posted on how things go!!! Very interested!! WOW 1.97% of debt settlement!! I also received a similar offer from Benefical the other day for a Tax Time Settlement offer on our 2nd Mortgage saying if we paid 10% of balance which is 160,000 they would take 16,000 as payment in full but only until March 31,2010. Have not been able to pay the 2nd mtg payment since Nov 2008 after one of us lost a job. It also said that if I needed an extension on this time frame I could call and get one and also could work out something else. I'm wondering if I could offer them 5% which would be 8,000?? I would love to come up with the 16,000 but cant do so before March 31, 2010. Maybe I could call them and ask?? 
#7
LKH
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Posted 13 March 2010 - 02:47 PM
Congrats Karilryan.....keep us posted on how things go!!! Very interested!! WOW 1.97% of debt settlement!! I also received a similar offer from Benefical the other day for a Tax Time Settlement offer on our 2nd Mortgage saying if we paid 10% of balance which is 160,000 they would take 16,000 as payment in full but only until March 31,2010. Have not been able to pay the 2nd mtg payment since Nov 2008 after one of us lost a job. It also said that if I needed an extension on this time frame I could call and get one and also could work out something else. I'm wondering if I could offer them 5% which would be 8,000?? I would love to come up with the 16,000 but cant do so before March 31, 2010. Maybe I could call them and ask??
Why the rolling eyes?
#8
Posted 13 March 2010 - 03:06 PM
Rolling eyes..... just wondering if anyone else has any thoughts or has called to ask if Beneficial will take less than there proposed offer. If so, would love to here what happened. I guess I will call Beneficial Monday and confirm this offer is legit and then ask them if I could come up with 5% if they would except that amount?? I guess if you dont ASK you cant GET. If they say no, then I will go from there.
#9
Posted 24 March 2010 - 10:17 AM
I have done some research and the gov passed a bill in 2007 that allows the homeowner to not have to pay taxes on any loan that has been waved or on any amount that has been written off. So they will probably send you a 1099 on income of the difference, but because of this tax law you will not have to pay taxes on the amount they wrote off - you wont have to count it as income gained!!
#10
Posted 25 March 2010 - 10:04 AM
I have done some research and the gov passed a bill in 2007 that allows the homeowner to not have to pay taxes on any loan that has been waved or on any amount that has been written off. So they will probably send you a 1099 on income of the difference, but because of this tax law you will not have to pay taxes on the amount they wrote off - you wont have to count it as income gained!!
The Mortgage Debt Relief Act of 2007
#11
Posted 23 March 2011 - 05:42 PM
DH called this morning and lady at Beneficial said yes if you pay the $500 they will consider it settled in FULL and will send infortmation to the CB's and release any leins.
Still nervous but I think I will give it a try.
Did they honor their agreement?
Or was it a bait and switch?
#12
Posted 29 December 2011 - 01:46 PM
DH called this morning and lady at Beneficial said yes if you pay the $500 they will consider it settled in FULL and will send infortmation to the CB's and release any leins.
Still nervous but I think I will give it a try.
Did they honor their agreement?
Or was it a bait and switch?
****UPDATE*****
Yes agreement was honored. IT shows on my credit report as paid as settlement. I did receive a 1099 and as previous poster stated it did not count as income. Woohoo!!!!
#13
Posted 22 March 2012 - 11:38 AM
Nice!!!
I'm working with GMAC on a 2nd right now... They started out asking for 25% and after one round of offers I have them at 19%.. My goal is 10% but will probably take the next offer if they are willing to do a Pay for delete.
I'm working with GMAC on a 2nd right now... They started out asking for 25% and after one round of offers I have them at 19%.. My goal is 10% but will probably take the next offer if they are willing to do a Pay for delete.
#14
Posted 22 March 2012 - 12:29 PM
Nice!!!
I'm working with GMAC on a 2nd right now... They started out asking for 25% and after one round of offers I have them at 19%.. My goal is 10% but will probably take the next offer if they are willing to do a Pay for delete.
I would be shocked if they delete it. Did they agree to do that with the 19% offer? Keep us updated, good luck!
And OP, CONGRATULATIONS!
#15
Posted 23 March 2012 - 09:46 AM
WOW OP! That's one heck of an offer! Congrats!!
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