Who’s that looking at your bank account? No it’s not the Feds, nor some confidence man. Rather it’s your bank, especially if you’re attempting a short sale, loan mod or the like.
According to some of the negotiators who we talk with on a regular basis, banks have become ever more watchful when it comes to the expenses that homeowners include on their financial worksheets.
One negotiator told us that they questioned one homeowner because he listed $800 on his monthly food expenses and the bank negotiator asked why his amount came in higher than the national average of $450 per month. The banks will look at your bank account statements closely.
Don’t head off to Tiffany’s to buy your sweetie a necklace and not expect the bank to question your purchase and hardship.
Just a word of warning, when attempting a short sale, loan mod or any other hardship program be sure to monitor your expenses because the bank will.