CCO Mortgage Review

I have been attempting to work out a modification on my current CCO Mortgage due to a divorce and now have a single income.  I would be able to afford lower payments if they would switch the loan back to a 30 year instead of the 15 we had as a couple.  They did not approve me for a modification; but threatened to foreclose unless I signed a re-payment plan.  I have been struggling with the higher payments for 5 months and called to work out another re-payment plan and was told I could not qualify for a modification while on this repayment plan.  So if I stop the repayment plan...then I will be eligible??  OK..so I asked the same day that my payment was due (which I did not have enought to pay) if they would send me the paperwork for the modification stating a hardship....(this was the 3rd time I had filled out this paperwork....and 2 weeks later I did not receive any documents.  So i called back to have them send out paperwork and they did not know why I didn't receive the others....and I was told that their process could take 30-60 days to process...but I had to have my paperwork back to them in 7 days...I am so frustrated with this process and cannot understand why they will not work with people who are willing to make an attempt to pay and are willing and able to make decent payments.  They have repeatly  raised my escrow as well and I do not know where the extra money is going.  My repayment plan was $450 higher than the 15  year monthly payment (which I was having trouble making)....why would they put me on this type of plan if I requested a modification.  I am currently in the process of filling out another set of papers to claim a hardship and request a TRUE modification.  In the meantime...my credit is being trashed and will find it difficult to re-finance with another company due to their lack of assitance int eh first place.  CCO is not performing in the interest of the customer.  Have owned my home for 19 years, and now they are threatening to take it back....I am disgusted enought to say ...here you go......very disturbed about the state of the banking industry...