Chevy Chase was famous in 2007 for making option ARM loans. It got in big trouble. It had to go to the Feds and take the TARP money to survive.
However, Capital One (yes, the rich credit card company) bought out Chevy Chase and paid off Chevy’s loan to the Feds. This means that Chevy Chase is no longer subject to the Obama Plan and is pretty much a law unto itself. Unless you can find some serious legal violations under RESPA and are willing to file suit, you have to deal with Chevy Chase/Capital One differently.
Nevertheless, Chevy Chase/Capital One has been reasonable for me to deal with. They use e-mail. They appoint a negotiator right away, and they will let you communicate directly with him or her. The negotiator will give you his phone number and extension. This saves a lot of time.
In October I settled a modification with Chevy Chase/Capital One. This was a rental property encumbered with an option ARM loan. Chevy Chase/Capital One gave the Borrower a 4.0% rate fixed for five years, followed by a 4.875% rate fixed for the balance of the loan. This was a great victory for the client who was paying less than interest only under a variable option ARM loan.
Note: Bear in mind that when you transition from a negative amortization loan to a 40-year amortizing loan, even with a 4.0% rate, your payments will still go up.