Ain't our government great....NOT

Discussion in 'The Watercooler' started by TeDo, Mar 4, 2012.

  1. TeDo

    TeDo Guest

    I have a subsidized mortgage through the USDA. My payments are based on my income.

    I am on Social Security disability. I used to work part-time but haven't since May because my position was cut due to budget cuts to schools. There are no other part-time jobs here. Our town is in pretty rough shape so people are snatching up any job they can get (some with 3-4 jobs even with kids at home). I would gladly work if there was a job to work at.

    Because of our decreased income I haven't been able to make my house payment for the past 6 months since my unemployment ran out (I did NOT get any extensions). I filled out all the paperwork to get approved for a moratorium (THEY told me about this option because they "want people to keep their homes") and sent it back in November. I called in January to see if a decision had been made and was told it could take another month or two. In the meantime, I have been getting the usual computer-generated "threats" in the mail.

    Yesterday, I got a letter from the IRS. They will be withholding 15% of my monthly Social Security starting in May to cover the debt owed to the USDA unless I make arrangements with the USDA. I have been waiting for 3 months for THEM to get back to me. If THEY don't give me the moratorium, not only will we lose our home, we will have to give up other basics so the government can pay itself at my expense.
  2. AnnieO

    AnnieO Shooting from the Hip

    I hate the way they arbitrarily decide this koi. It's like they don't even bother to see if you've made an effort. GRRRRRRR!
    :hugs: sweetie... And pretzeling for you that it all works out.
  3. HaoZi

    HaoZi Guest

    I'm lost as to how all that works, but I hope something works out for you soon.
  4. Star*

    Star* call 911

    I'm so sorry Tedo.....are you sure there isn't another assistance program through unemployment that can help you??? Our SC unemployment has one that I'm asking for help now. I signed up for it months ago - and when I got a job - I told them I didn't need their help - but now have contacted them - asking for help.

    HUGE HUGS. :sorrysmiley:
  5. buddy

    buddy New Member

    OH my, sorry. I just heard again about the newest (this past month) relief packages they have out....How come we hear about it but it does not ever trickle down to the real people???
  6. TeDo

    TeDo Guest

    There is nothing our state office can do, they go strictly with federal guidelines. The timing hoovered for in my case. If I had become unemployed 3 months earlier, I could have gotten the federal extensions.

    What I don't understand is that NO other mortgage company can garnish government income (except tax refunds) but the government can? That makes no sense. Like cutting our income is going to help in any way. I can't even sell my house because under this program if I sell it I have to pay back the entire balance of the subsidy I've received....11 years worth. With the value of houses here going WAY down here (mine has gone down 20,000) and there being soooo many houses for sale already, there is no way I could sell it for what the mortgage balance is much less enough to cover the subsidy. And since they apparently are exempt from the garnishment laws, I will be paying them back for the rest of my natural life.

    My ONLY hope is that they FINALLY make a decision to approve the moratorium and decide soon!
  7. klmno

    klmno Active Member

    Ouch! Given this, maybe you shouldn't read the "Huh" thread I started yesterday.
  8. witzend

    witzend Well-Known Member

    Any other mortgage company would just foreclose.

    I would hand write a letter to your congressional representatives first, and then to the president. If they didn't answer me, I'd call my local news station's consumer reports investigator and tell them my story. It's an election year, and you may have to pander to them, but you'll get results.
  9. timer lady

    timer lady Queen of Hearts

    TeDo, start making a big public stink. You're in a very depressed area of the state. Write all the letters to our representatives; Betty McCollum, Senator's Al Franken & Amy Klobuchar are excellent in responding to issues.
  10. witzend

    witzend Well-Known Member

    TL's right. Al Franken would be an excellent advocate for you.
  11. buddy

    buddy New Member

    and dont hold back on the single mom with twins who have special needs plea too.....
  12. Hound dog

    Hound dog Nana's are Beautiful

    I'd make a stink. in my opinion that is ridiculous. They knew you were low income or you couldn't qualify for the loan in the first place. Without the job they know you're on a very fixed income, while prices are shooting up left and right. Yup, I'd be making me a big stink.

  13. Lothlorien

    Lothlorien Active Member Staff Member

    Check with a loan officer. I don't know if you will qualify, but there are a lot of new programs for people in your situation. I can't think of the term for it, but they can rework your loan if it goes into default. Someone here will probably know what I'm talking about.

    One of my customers is working as an auditor for my state that is checking into banks that should have offered this option to customers before foreclosing on the loan. Check into it before it goes any further.
  14. TeDo

    TeDo Guest

    Loth, it's a government loan not through a bank or other institution. It is 1% fixed interest AND subsidized payments are based on my income TO A POINT. There IS a maximum subsidy and apparently I was already at it even with the part-ime job. I just want the payments postponed for up to two years to try to find a job. That is what their moratorium option is. After the time is up, they rewrite the loan and my payments resume.
  15. SearchingForRainbows

    SearchingForRainbows Active Member


    No words of advice, just want you to know I'm thinking of you... Hugs, SFR
  16. buddy

    buddy New Member

    Still praying the moratorium comes through.....this whole thing with them being able to take as much time as they want on things and having people's lives fall apart while waiting is just so wrong.
  17. Lothlorien

    Lothlorien Active Member Staff Member

    Well that is definitely a better option than the one I was talking about. I hope it works out for you. A two year reprieve would be awesome.