This Is Old News from last year, however I thought its important to remind everyone the type of deal that many of these banks truly have with the FDIC. If you ever wondered why your loan modification went absolutely no where, ask yourself if your bank may have gotten one of these sweet heart "Stop Loss Agreements" with the Fed. Personally I think that this is an outrage, but that being said you should be aware of these things anytime you enter into a short sale negotiation. Ever wonder why some lenders take so long to process and negotiate a short sale? Maybe, its that they dont move forward until they have confirmation from the Fed of the total dollar amount they will be awarded on that particular loan with regard to the net loss amount? Do some things make a little more sense with regard to how lenders act and behave? Of course I doubt they will ever share this information with you, since it's obviously not something that any lender wants to talk about. Afterall openly discussing this in an open negotiation with any borrower or agent would have serious negative impacts on the total dollar amount a borrower would be willing to settle on. Besides, we would not expect the Big Bad Bank to actually admit that they just made a profit on your short sale would we? Naaah, of course not, never gonna happen!