Bad Reason not to seek foreclosure assistance

Some of us need to seek foreclosure assistance. But not all foreclosure assistance is worthy to seek. Read this tips :-

Fear of fraud
Many people are afraid of getting scammed. With all the news reports and government warnings about rip-off artists who charge huge fees for “foreclosure rescue” or loan modification services, it’s no wonder that many at-risk borrowers are leery of seeking help. However, there are many nonprofit agencies, certified by the Department of Housing and Urban Development (HUD), with trained credit counselors who know the ins and outs of the mortgage business and loan renegotiation, whose services are available for minimal fees.

Toughing it out
Some borrowers think they’re better off doing every possible to manage the situation themselves before seeking assistance. Often, homeowners in financial trouble may end up draining their savings account, selling stock they inherited or tapping into their IRA or 401(k) account before they even think of contacting a credit counselor or applying for a loan modification. But once their financial reserves are drained, they have far less room to maneuver, making it that much harder for them to work out a successful modification or repayment program.

Sometimes, they think nothing can be done. Many homeowners believe that once you can’t keep up with your mortgage payments, that’s it. End of the story. What they don’t realize, however, is that there may be options that never occurred to them and that they won’t know about unless they seek help, either from their lender or a certified credit counselor.

At-risk homeowners may be embarrassed to admit they’re in financial difficulty and need help. However, in the current economy, lots of people are struggling to get by. Most people already have multiple friends and family members who are either unemployed or facing foreclosure themselves. It’s not an uncommon situation these days or one that carries much of a stigma right now.

Accelerated foreclosure
Some borrowers are concerned that if they let their mortgage company know they’re having financial problems, the lender will simply act faster to put them in foreclosure. But in reality, lenders don’t want to foreclose unless they have to – it costs them money. Letting your lender know as soon as possible that you’re in financial difficulty can provide them more time to help you work out a solution, as well as allowing you to work out a repayment plan or loan modification before you’ve fallen too far behind on your loan.

It’s too late
One they’ve already been rejected by their lender for a loan modification, homeoweners may think there’s nothing more they can do. However, there may still be other options available or the application could be modified to help the borrower to qualify for a loan modification under the standards of the government’s program.

Reference :- Mortgageloan


What is Foreclosure? Foreclosure is a specific legal process in which a lender attempts to
This is an old article but I found good to share as I’ve received an

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.