Millions of Loans Modifications Coming

Hundreds of thousands, if not millions, of loan modifications may be soon under way. The government is considering a plan that would help 3 million homeowners avoid foreclosure. The plan would include loan modifications that would lower their interest rate for five years.

According to the Mortgage Bankers Association, more than 4 million homeowners were at least a month behind on their mortgage in June and 500,000 had started the foreclosure process so some type of plan is desperately needed.

Some banks have already started allowing borrowers to modify their existing loan. JP Morgan announced last week that they are starting a new program to stem the number of foreclosures and they will not put any homes in foreclose for the next 90 days while they implement the plan.

JP Morgan's progam will also include Washington Mutual and EMC clients, which they acquired earlier this year.

Bank of America will start loan modifications Dec. 1 that are expected to cover about 400,000 loans previously held by Countrywide.

I look forward to the help borrowers will receive under these loan modifications.


The Document Diva can easily handle the notarization of your loan modification. The cost, including travel and notarization, is $50 for an individual and $60 for a couple.

Credible Witnesses - The Human ID

Picture ID is required in order to have a document notarized. And this is not just any ID, it must be government issued, such as a passport, driver's license or identification card.

On rare occasions, I have been asked to notarize a document for someone that is unable to produce ID. CA notary law allows a way around this problem.

If the client does not have ID then they must produce two credible witnesses that can vouch for their identity. The credible witnesses must have identification and they must affirm under oath the following:

1. The individual appearing before the notary public as the signer of the document is the
   person named in the document;
2. The credible witnesses personally knows the signer;
3. The credible witnesses reasonably believe that the circumstances of the signer are such that it would be very difficult or impossible for the signer to obtain another form of identification;
4. The signer does not possess any of the identification documents authorized by law to establish the signer’s identity;
5. The credible witnesses do not have a financial interest and are not named in the document signed.

They both must sign the notary journal and their ID must be input in the journal.