Is 401k Considered Liquid Asset for Modification?
Moe and others Can you please confirm that a 401k account is not considered a liquid asset by banks considering a modification? My situation is this. By late August 2009, I was struggling with my payments and had made a couple of late payments. I got a letter from CitiMortgage advising me to call a number to see what options I have. I’m a conscientious borrower, so I did not call until November when I started feeling desperate. I was told that I was eligible for the HAM program and that my payments can decrease by about 50%. I jumped at the offer and completed all the paperwork by end of December. After that, I have been in touch with Mortgage Outreach Svcs and then with the Loss Mit Dept in CitiMortgage on a weekly basis. Checking on the paperwork, filling in the gaps etc. My principal balance is greater than the HAMP limit of $730k, so CitiMortgage changed my application from HAMP to a supplemental mod in early February. I was not notified at all and first heard about it when collect
