As a common US individual, we all have welcomed the year 2015 in a very pleasant manner. We have cherished the moment of it's arrival, made new commitments & resolutions which we will maintain throughout the year. But are you one of the most distressed people who are still suffering from the foreclosure problem? Have a look at the ideas given below...you'll surely have some comfort.
Face your home loan problems without hesitation
If you have any financial obligation & can not able to make monthly mortgage payments, the first thing you should do is to communicate with your lender. Sometimes on behalf of the lender some company agrees to collect your payments, you can directly inform them also. Lenders prefer to know the situation earlier, so if you reach to them late, there is a big chance for rejection. If this happens, contact him through phone which must be mentioned in monthly statements or payment book.
Talk to your lender & explain briefly about your bad financial situation. If the lender does not entertain your request , better you should forward your query to FHA (Federal housing counseling) agency.
Prepare yourself before the face-off with your housing counselor or the lender
Collect your original loan document & review it yourself properly. Collect data regarding your monthly income & allocated budget per month. Sort out your expenses,which may include food cost, monthly payments on car or other, insurance premiums, utility bills like phone/water/gas etc. If you feel uncomfortable to explain your problem to the lender, you may assign a credit counseling agency. They will surely provide a helpful hand to you after reviewing your current financial situation & select the right choice of action for you. The agency will also help you to contact your lender & or they will negotiate with him on behalf of you.
Recognize the path
By maintaining US federal property laws, you'll find two basic options. One will be permanent & the other is short-term help. You should try out to prepare a plan so that you can arrange funds to pay the missed amount. The longterm solution would be modifying the loan term. you may ask your lender to shift your current interest rate to another rate. Sometimes, both the above plan wouldn't work as planned. In that case, the best option you can have is to sell your home.
Hold your ground
Be very alert & try to make monthly payments on time, it will keep your credit score safe from being hurt. Pay the most necessary debts on a priority basis. This will include utility bills, auto loans, new home loan payment, credit card bills etc. You must think of saving money to pay off the monthly payments, so stop regular shopping or outdoor eating. Start frugal living to save every extra penny towards your home installments. Stop yourself from taking huge debts at this time, like – new car purchase or going for a expensive trip.
Do not surrender to the foreclosure scams
It is very easy for a con artist to trap those homeowners who are currently facing foreclosure & can not pay their monthly payments. The scammers portray themselves as a rescuer from foreclosure & manipulate finances as well as emotions of the homeowners. Disguised as a “counsellor” they will suggest you the wrong approach to the lender & you will end up loosing a huge amount along with your dream home. So, be very careful & always consult your lender or a legitimate lawyer or counselor before taking any action. To know more about those scam artists, you can check Federal Trade Commission's website.