PNC Heloc settlement?

I am in the same boat with PNC, though not as far along. I am 45 days late as of today. My conversation today was pretty hard core. The rep went so far as to say that health insurance is a luxury item and asked why I was paying for that, but not paying my HELOC. It took all of my will power not to laugh at him.
Interestingly enough, he mentioned that they do offer settlements. No numbers were thrown out there, but the door was opened. I am applying of a loan mod on my first and want to get that in order before I negotiate with PNC. Please keep me informed of your experience and I will do the same. Good luck.

By the way, this has been a wild year for me. Back in March, I completed a settlement with Wells Fargo - $130k for $40k. I am hoping that my negotiations with PNC go as well. Using the same coach!

All the best.
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I am in negotiation with heloc for 58k..... been working on it for about a year. Lowest yet is 20% to settle. I have spoken with managers and writen letters.
hope that helps

Thanks, how did you first contact PNC about a settlement? Did they threaten to foreclose? I would take 20% settlement in a heartbeat on mine. Just want the thing to GO AWAY.

Well I haven't paid them in a while. I am under the table on the first mortgage.

They actually can't foreclose as the second mortgage holder unless they wanted to pay off the first. Lol.

I still haven't settled. They dropped to 15%.

Quote:

I am in the same boat with PNC. I was able to modify my 1st that took over a year. my house is worth 50% of what i owe. I owe $200,000 on my second. I have not paid a payment for over a month. They call all of our phone number at least 3 times a day I have even received calls before 8:00AM. I told them a month ago that I do not have the money to pay the second because I just modified my 1st. The 1st is managed by PNC too. The second is managed by PNC but Citi Corp is the investor.

I am looking for direction. I would love to settle this, I have been told that they have settled for less than 5%.

You should contact PNC and try to modify your second mortgage. If you get good terms and conditions regarding modification of the loan, then you can go ahead with it. If your lender is not offering affordable terms and conditions for the loan modification, then you can always apply for a settlement with the lender. You should let your lender know as to what type of settlement you will like to go for. It will be the lender's discretion as to whether or not he'll agree to that settlement.

I have a HELOC for 170K, which is under. I am seeking advise on how to get the process started to negotiation with the lender for settlement. I seeked legal advise and they are asking for 10% of what is settled. Is a lawyer needed for settlement negotiaitons? Would it help decrease settlement percentage, or am I better off just trying to do it on my own.

It is not mandatory for you to take the help of a lawyer for a HELOC settlement. You can negotiate with your lender on your own. You should let the lender know about your financial hardship and request him to consider you for settlement. If you're able to convince your lender about your financial hardship, you'll be able to get the loan settled.

PNC is the worst to negotiate with, my advice is to never get into a loan with them in the first place. My situation is owing $290K on a HELOC. Their SS team will offer to settle no less than 60% regardless of seller available funds and push the house into either a lien release with deficency or let it go foreclosure. Also, I figured out their first line negotiators are very low level entry people with no negotiating power. You can make counteroffers but they will not.

Update - Finally settled with their SS team on the PNC HELOC at 47% of loan for full settlement with balance charged-off on 1099 at the end of the year. I still dont recommend dealing with them in the first place, go get your loan somewhere else.

Thats great! I put in an offer six months ago to settle without a return counter or a call for a min payment. Its like they just went away.

We are in a similar situation in CA and are looking for more advice. Our PNC Heloc is underwater but our 1rst is not. We cannot afford our current PNC payment and initially sought a loan mod. PNC bounced us around and then said we didn't qualify for financial hardship, which is untrue but we couldn't convince them. We've always been current with them, but stopped paying PNC last month. We continue to pay our 1rst. Is it likely PNC will 1) send a letter offering the 1%, 2 year 1/2 payment option, then 2) charge off after 6 months if we don't accept, then 3) offer to settle for possibly 30% and release? What's the likelihood that they'll attempt foreclosure?

It will be the discretion of the lender whether or not he will go for a foreclosure or a charge off. However, as there is a first mortgage on the property, there are high chances that the lender will charge off the loan. If he forecloses the property, then he will have to satisfy the first lender before recovering his own dues.

Thanks for the response. Does anyone happen to know how PNC is handling these situations, besides being obstinate and unccoperative?

It's really difficult to know how PNC deals with such situation. Each and every situation is different and thus it might be concluded that each and every situation is dealt in a different way by PNC.

As stated, I was in a very similar situation, PNC holding the second with a HELOC but the first was fully covered by the home equity. If you can bond a bit, there are a few on the PNC Loss Mitigation team that will give you the straight answers which I ran through all the senarios with one of them. Short answer, PNC is smart enough not to foreclose while in second position, they will eventually internally convert the HELOC from an active account to write-off status. At that point, they will agressively come after you to settle. Dont expect them to settle below 20%, they will start at 60% most likely. I settled with the SS team at 47% of loan, but I was able to leverage the buyers money, take away the offer and I was at 18% of my money against the balance. Whether you settle or end up in court, they still have the lien against the property so if you ever do sell, they still have rights to proceeds from the sale.

Thank you for sharing your experience about PNC in the forums! :-)

I have a PNC Heloc of 287k. They wont even review it unless I came in with 40% (115k). Property would be at 100% LTV, should I take if it's offered.

The discretion will be solely yours. If you can afford the payments, you can go for it.

PNC inheritted my boat loan from National City. I lost my primary job last year and literally began working three part time jobs to support my family.

One of which is a charter Captain. My boat/the collateral is how I've been making some money for the past 6 months. The boat is not worth anything close to the balance but I need to figure something out and soon.

I am not 30 days late (yet) but the boat is sitting on a borrowed trailer at the repair shop with an estimate I cannot afford.

Basically if they want to repo, they will get an empty hull sitting on the ground with no engines and no trailer.

The problem is both engines need major overhauls. Add to this, I cannot afford the loan payment given previous repair bills, but desperately need the income the charter business will give me.

Can someone please tell me what is the likelihood PNC will take say a 30% payoff? I could probably ask my Dad for help to just settle the loan if PNC will take that as a reduced payoff.

It is difficult to say whether or not PNC will accept a 30% pay off. It will depend upon your negotiation power whether or not you can convince them to accept the payment.