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Mortgage delinquency

Posted on: 08th Oct, 2008 10:48 am
I was wondering what happens if I miss one mortgage payment and just act normal for the next.. 3 months.. pay is i never missed anything? Do they start foreclosure or what exactly happens?
you will probably get a continuing series of phone calls asking about your payment status. the lender wants your loan to be current and will seek out an explanation and ask for a date on which you'll be able to pay.

foreclosure will not take place in this sort of situation.
Posted on: 08th Oct, 2008 10:52 am
I would not at all suggest you just skip a payment. It will be a missed payment, then the next payment you make will go towards the one you missed, you will be concurrently late and late fees will compound.

George is correct when he says they will call you non stop.
You don't want your credit ruined. Once you get into that hole, it is really hard to get out of. Call your lender, try to work something out.
Call your other creditors too, see if you can work something out with them.
Posted on: 08th Oct, 2008 11:18 am
Thanks! You're Great.

What happends if I miss 2 payments? Does the foreclosure start? How many missed payments before foreclosure?
Posted on: 08th Oct, 2008 11:32 am
Normally proceedings take 90 days to begin or 3 consecutive missed payments, it depends on the aggressiveness of your lender and the foreclosure laws in your state.

But that doesn't mean you can miss 3 payments and then just start making payments on time. The bank has a right to collect. I would call your lender and try to work something out with them.
Posted on: 08th Oct, 2008 11:40 am
your mortgage lender will be in touch with you as soon as your account goes over 30 days late, but it would be in your best interest to contact them first. be proactive and reach out to touch loss mitigation to see if you can work out a plan to catch up on payments.
Posted on: 08th Oct, 2008 11:42 am
but I have to be 30 days behind for them to discuss it with me. so, i'm considering missing a payment on purpose so I can get my rate lowered or pay back the loan over a longer period of time. it's a pre-emptive strike. not something i really want to do, but i'm seriously considering it...
Posted on: 14th Dec, 2008 09:27 pm
Welcome,

You should remember that short sale or deed in lieu foreclosure resulting from the non-payment of the dues will hurt your credit badly. A short sale can lower your credit by 75-100 points whereas a DIL will lower your credit score by 250 points. So follow George Akerley's suggestion and contact the loss mitigation department of the lender.
Posted on: 15th Dec, 2008 12:11 am
i do not suggest becoming late on a mortgage as a strike method, the only person you would be hurting in that situation is yourself.

the beginning of your email is a bit vague as to the situation you are facing.
i know that right now mortgage rates are the lowest they have been in 4 years. if your payment is that awful, contact a lender, possibly one of the ones on this sight, to help guide you through a refinance. it could possibly lower your rate. and a bonus is, if you close in january, your first payment wouldn't be until march.
that could be the relief you seek.

i know we were all talking about how the foreclosure process is and all, but lets try to move you towards the more positive, saving your home and your credit.

with all of us here, we might be able to help you do this, especially if your not late yet.
Posted on: 15th Dec, 2008 06:33 am
I have had great credit my whole life-nobody seems to care. Countrywide has REFUSED to work with me because I was not late...now I am and quite frankly I don't care anymore. I work 3 jobs and have been taking money out of my retirement to pay my mortgage. Can't refi because in less than 3 yrs my house is underwater to the tune of $130,000
Posted on: 29th Dec, 2008 01:08 pm
Hey Julie,

I guess, you want to go for a loan modification or a deed in lieu. Is that correct? Well, in case of options like deed in lieu, short sale and loan modification, the borrowers should have defaulted on their payments for at least a month. Otherwise the lenders do not offer these options. I guess this is the reason why your lender was not ready to work with you.
Posted on: 29th Dec, 2008 10:54 pm
this is just a general commentary, but i'm directed by your comments, julie.

there seems to be an epidemic of people crying "nobody seems to care." what many do not understand is that when a property's value has dropped below the balance owed on a mortgage, the only lender who would have a reasonable opportunity to "care" would be the existing mortgagee. in this case, i gather, it is countrywide.

as to why countrywide would "refuse" with someone, it's hard to say, but there is the possibility that they're overwhelmed with borrowers who are already late and simply hadn't figured out how to handle those who are paying on a timely basis yet need assistance. that's just speculation, mind you.

it's tiresome, though, to have people bleating and whining about there not being any help; to hear many say "i'll just stop paying;" or "since my house is worth less, i'll just pack it in and leave."

there's a malaise in this country, and i pray that what will take place in the coming months will give new hope to folk. i believe that there are many hard-working elected officials trying to rectify the mistakes of the past and come up with real solutions to the issues facing us now, and some good will come of it (after awhile).

we cannot expect instant results, nor can we predict the future at all, but i do feel strongly that there's light at the end of the tunnel (wow - didn't we criticize those who used that phraseology back in the vietnam ware days?).

no matter what else one might take from these remarks, it is certain that perseverance is needed in all our lives. and that being said, let me end this post by expressing my heartfelt desire that all who may read this will enjoy a healthy and prosperous 2009, with more to come.
Posted on: 30th Dec, 2008 06:54 am
to me it doesnt seem that the mortgage companies/lenders do care. they all got bailed out so where is the money that they were suppose to help everyone with. if it is going to take me 15 years to break even why would i ever stay in a house like that. i really dont care if you think i had an obligation to pay, the mortgage company told me they would help me out and they have not. if i foreclose in 7 years i get a new house at an lower rate and a nicer house. then in another 8 years, the total of 15 to break even, i have equity and am way ahead of where i would be if i did the " right thing". I believe that all the mortgages should be reset at current value, the mortgage companies are losing more money by having all these forclosures than if they just reset all the loans. Also with the money the government is giving them would make up for the money it loses by the resetting of loans. then Americans wouldnt feel like prisoners in their houses and be free to move when needed and actually have more money to put into the economy. Greedy mortgage lenders and banks are what started this whole downward spiral, and if you think they didnt because you are one, you are completely disalusioned
Posted on: 05th Sep, 2009 10:29 pm
well, guest, i hope you realize that i wrote my post in december of last year. a lot of things have happened in the past 8-plus months, some of them pretty ugly - as you mentioned, banks have been bailed out and don't seem to show much concern for us citizens.

quite frankly, it wasn't only the greedy mortgage lenders and banks who started the spiral, but it was also many greedy borrowers who took advantage of what was offered them. but i don't want to get into pointing fingers - it's a little late for that anyway.

and i know it's hard to feel much pity for the lenders, and i can sort of semi-understand that you "really don't care" if i think you had an obligation to pay. yeah...it's none of my business, except that i was simply pointing out a fact: when you sign a promissory note, you are giving your word that you will pay back the money that you've borrowed.
i'm not enthused about paying my bills either, but i've given my word, so unless i am under even more extreme duress than at present, i'll continue to live up to my obligation.

not only is it my obligation, but it's true that we all pay more (interest, penalties, etc.) when some neglect to pay. it is in our best interest to continue to make payments, overall.
Posted on: 08th Sep, 2009 07:51 am
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