Phoenix, Arizona
Not resolved

I submitted paperwork/ hardship package to Loss Mitigation (Flagstar bank) back in Nov 08' when my fiance lost his job and moved out of state... forcing me to pay the mortgage alone.

It is now 5/09 and I'm still waiting for a phone call. I sit on the phone apx an hour a day twice a week to talk to someone with no luck! I've been told I qualify for a workout but again, no one will call me back.

I found out a month ago I'm getting RIFFED from my teaching job. I found a tenant/ buyer to purchase my house as a shortsale but I really doubt at this point I can do anything but just stop paying and walk away. I'm stressed and tired and just want to mail the keys in to Flagstar!

Product or Service Mentioned: Flagstar Bank Mortgage.

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My name is Mary and I'm sorry to hear about your situation.

We are working with top-notch attorneys and credit folks to put together a class action lawsuit against Flagstar.


You can be totally anonymous, and we will give you legal protection from retaliation.

You could be entitled to substantial monetary compensation,especially if you are one of the early people to join our lawsuit.

There is zero expenses to you, we will pick up all costs. And our skilled lawyers will work with you for FREE, to prepare your case. Get the justice and the money you deserve.

Please send your email and phone to, or call/text 415.494.6987. Take care, Mary


I tried the Loss Mitigation route myself. I was going thru a divorce, raising 5 kids. After telling me he would take care of them, My soon to be Ex, held the Loss Mit papers for so long, I got papers in the mail telling me I had 48 hrs to get them in. So I literally faxed 120 pgs to Flagstar, called to be sure they got them, which they did.

A cpl weeks later I get a ltr stating that I didn't send everything they needed & my Loss Mit was CLOSED/DENIED.

Well, I called & was crying and asked the lady to go over what I'd faxed, which she did. She said, well yes, I did in fact send everything they needed in several different forms (bank statements, court papers, proof of income & pay stubs). She said someone overlooked a lot BUT once a LM is closed it cannot be reopened and that I would have to resubmit ANOTHER APPLICATION, and several more pieces of information. WHAT A CROCK.

Since then, I found and agency - through internet searches that is Government Funded via grants... I live in Ohio, so ours is Save the Dream and there are others... They are doing all the coordination or paperwork and fields calls and bank requests, so the bank cannot pull any garbage on consumers. Its recorded. Do not pay anyone to help you.


First of all, if YOU'RE applying for help with loss mitigation. YOU need to be proactive and call the bank.

NOT wait 8 months. Just because you can't pay your mortgage payments anymore does not mean you're ENTITLED to a short sale just because you want one. If you actually did your research, you'd know it's almost always better for everyone including the lender to approve your short sale. However, with a very large amount of homeowners applying, it is all going to take awhile.

Not to mention, the bank DOESN'T make the guidelines on whether or not you get a modification or a short sale. The investor does...i.e. FHA, Fannie Mae, VA, etc.

Yes, good/great customer service should still be given...however, if you call in and act like how your tone seems to be in your comment...that's not cool Give respect to those on the other line. You get what you give.

to Anonymous #808930

Give me a break.....toolbag. Flagstar treats you like ***.Don't defend them!

Can't wait until your in a bind and need some help.

Your're probably a banker yourself! I think you're entitled go *** yourself!

to Anonymous Fort Myers, Florida, United States #849191

Relax! Even if you're on top of everything (which I was) Flagstar is notorious for just dropping the ball.

I automatically sent my stubs, bank statements, tax returns etc.

to my single point of calls 3 to 5 times a week, emails galore to my "single point of contact".... And still my file was closed several times with out ever receiving a return phone call or email....last month I finally got an approval after a 21 month ordeal.....Flagstar sucks, that does not mean everyone in the business sucks.

to Anonymous #1034796

Hello?! The person said they wait on hold twice a day (on the phone) to be connected to someone. Obviously they are trying daily/weekly/monthly to contact Loss Mitigation.


I just had the most amazing experience with Flagstar's loss mitigation. It was a little daunting to submit all the stuff they needed, but understandable, I mean we are asking them to re enter a new risk with us. My husband was forced to sell his business a year ago and we lost about 23k of our income. We were living below our means, so even with the decrease, we were close to making it work. We exhausted our savings and eventually realized that we needed to file loss mitigation. We continued to be current on our loan...barely. I thought the bank would never pay any attention to us because of being current. By current, I mean that we were paying before being thirty days between the fifteenth and the thirtieth...still late, but not credit affecting late. So I sumitted everything on Tuesday and I called on Wednesday morning and after a fourty minute review of our submission, Shawna said she'd do a work up and get back to me. Just in case it woudl be the same day, I forwarded my home phone to my cell and THIRTY MINUTES later I got a call from her telling me that our interest only 6% ARM that is expiring in 2 years was being changed to an interest and principle loan fixed at 4% for the duration of the loan. This saved us $505 per month. This doesn't save us from the pinch of the lost income, but it does get us back to affording our home with a few sacrifices. We are very satisfied. We still need to closely review the loan agreement for any scary things that may have been written in, but I think it is going to be a good thing for us.

People who have lost their jobs and don't have a means to pay their mortgage can't expect private institutions to rescue them entirely from thier situation. Not their problem, frankly. I know it sucks, believe me, my husband never thought he'd sell his prosperous business overnight with no other options than to liquidate and close doors (the FDIC took over our commercial lender and closed the commercial lending dept and had the right to literally liquidate us to pay off the amount we owed on our line of credit and for a small business, we didn't have $600k to take to the bank it was either auction off and let the bank take the amount paid for the business by a third party and keep people employed or close doors and liquidate for pennies on the dollar ten years of a business built from the ground up) and we never thought we'd be employees again working for way less money and just as hard...this is a hard time economically, but it isn't all everyone else's problem to solve.

Anyway, YAY for Flagstar! We have heard of HARP programs for government owned loans that were serviced by Flagstar, but our loan was owned by Flagstar.

We were able to prove that we still have income to justify them taking a new risk on us, so they did. Why would they want to enter into new agreements wtih people who can't pay them. Houses aren't free!


Are you bunch of losers seriously writing all this stuff above? Think about it you haven't made your mortgage payments in the middle of all this going back and forth and you have the audacity to say you're stressed out?!


Are you bunch of losers seriously writing all this stuff above? Think about it you haven't made your mortgage payments in the middle of all this going back and forth and you have the audacity to say you're stressed out?!


I applied in March of 2010 and got a Forbearance December 2010 making $400 less than my monthly payments. This was to be 4 months and it would be final.

Well, it turned into 8 months then when I contacted Tampa Bay CDC for help. I found out I am 15 months behind and with FHA you have to be under 12 months. The thing is I have been working with Flagstar for 21 months in Forbearance 12 months.

There should be a law against this. Did you know if you got PIP the bank still get paid?


Try the Office of the Comptroller of the Currency. They deal with fraudulent and bad faith business practices. Worked for us, in just 10 days.


I have had a short sale pending with Flagstar since April 2010. We have been through all of their processes, an outside company called MOS and now back to Flagstar.

The most recent was that they did turn us down for modification, we have NEVER wanted modification, we left the state when my husband lost his job of 15 years. Then they told me it was mis routed and we have to start all over again. In the mean time the house has had 4 different agents from Flagstar, remove items from the home, drain the pool, padlock the doors, pour liquid nails in the key holes and now my AC units were stolen.

I filed complaints to the government but Flagstar said we did not follow their procedures (which I explained we have over 100 emails with dates and times of everything we sent). No wonder our banking industry is a SHAM - if I worked this way I would have NO business!

Tome, New Mexico, United States #357715

Nobleman are you in California? Please e-mail me at for class action information for California against Flagstar


Hello Nobleman and MarkB San Diego,

Please Email me with your contact info. We have a class action filing for State of California, my email is


We called in 09, we called in 10 we called in 2011. We finally called the Making Home Affordable Program via government means.

We have sent in every single item requested month after month after month. We still make some of our payments every month just to show them that we are trying. All of this to wait for 45 minutes to an hour for a person to get on the phone only to say that they do not know when we will be modified. We are two working professionals who got downsized and lost jobs with two small kids(one with medical problems).

We each work two part time jobs. I wish we could say that we were living beyond our means but that was not the case. We are well educated people with professional careers who lost jobs and had an immense amount of medical bills. But flagstar doesn't care.

As long as they take your money and your home they are satisfied.

They don't care that they leave children out on the streets. They just don't care.


We've started the process in 11/09, when my husband lost his job for the first time and I was 9 months pregnant in a very high risk pregnancy. Veeeeery long story short, we FINALLY got our APPROVAL package in JUNE 2011!!! Unfortunately, a few weeks later, hubby lost his new job :( (He's now going back to school and getting out of outside to b-to-b sales.) Anyway, our "great" modification only lowered our payment by less than 10% per month, and definitely wasn't worth the almost 2 year wait). (BTW, we've only paid about 8 payments in the past 20 months, 4 of which were the 4 "temporarily modified" payments required for the modification approval.)

Soo, hubby lost his job, our new modified agreement was due back in their office on August 1, so we called their office and told them we can't do it since hubby lost his job again and we'd just like to let the house go. Uh, we "can't" do that. What?? We'd like to do a Short Sale. First we were told to get a RE agent and then call back; then we were put on hold; then we were told we can't do ANYTHING - because we have to start over. UGH.

We have to write DECLINED on the modification agreement, sign, mail back to them with a letter explaining the situation, include a copy of hubby's separation letter from his ex-employer. Then, since our loan is apparently FHA, we have to START OVER!!! So, back to the online loan modification request system and ALLLLLL those hoops to jump through. And I'm guessing another year or two. And more fees racking up; and real estate taxes; and insurance; all translating into more escrow. Needless to say we stopped making payments as soon as we heard that hubby might be losing his job several months ago.

The WORST thing is that, during this process, we were told SO many DIFFERENT things by DIFFERENT people :upset - from how long it would take to what our options are, everyone we spoke with told us a different story. I did keep pretty good records, but the file is so thick it's just depressing to look through. And this whole time we have to keep paying utilities, taxes, etc etc - and we canNOT afford that this time around :sigh


How many "Loan Modification's" are Granted out of #100 Application's submitted at FlagStar Bank?




We have been through nearly the same thing you all have talked about with loss mitigation dept of flagstar. I would like to take our story to the major news broadcasting companys and get our story told.

There should be a law against what they are doing. If anything they should exposed for what they have done and held accountable in some way.

please email me at if you are interested in doing this with me. There is strength in numbers.


Got Milk but do not have a Modification, did you think you were really going to get a Modification you have to be kidding me! This same game is Played with all "flagSHAFT Customers"!

Story is the same but the names are different. I guess there is a $ucker born every day.

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