I want to negotiate a payoff settlement with my second mortgage holder (now Real Time Resolutions). The loan amount is about $40,000, and a payment on it has not been made since 2008. The house is completely underwater with the first mortgage at about $160,000, and the current value of the house, according to comps, has plummetted to about only $100,000. I am currently trying to work out a load mod with my first mortgage holder, and I want to stay in the house.
About a year ago, Real Time out of the blue (unsolicited by me) offered me a payoff settlement of about 40% of the loan amount. I did not take that offer, but a few months ago, I sent them a counter-offer CMRRR to pay in full (with removal from all major CRAs) for $4,000.
Real Time sent me some paperwork, mostly financal disclosures. I thought I may have read here somewhere that it is not a good idea to send financial information to the second mortgage company when trying to get a payoff settlement.
How should I handle this? Your feedback is greatly appreciated.