Posted on: 07th Sep, 2006 04:33 pm
I purchased a home in November 2005 with a 1st and 2nd mortage (minus property tax and insurance). My income decreased significantly by 2/3. I have not made the August or September payments. I have been in contact with both mortages and do not know what to do from here. What do you recommend?
Hi,
You should talk to the lender and discuss if it would be possible to reschedule your loan payments by spreading it over a greater number of years, a type of loan modification.
You can not be sure that the lender will agree to such a scheme but you should ask and take lender's opinion.
You should talk to the lender and discuss if it would be possible to reschedule your loan payments by spreading it over a greater number of years, a type of loan modification.
You can not be sure that the lender will agree to such a scheme but you should ask and take lender's opinion.
Hi,
A better option can be what is called an forebearance agreement. In this type of agreement the lender can suspend or reduce the payments for a specified number of months, say for 6 months.
At the end of that period a new repayment plan will start wherein you will have to make the usual regular payments and in addition an agreed extra amount will have to be paid to cover the previous payments.
You can utilize the six months gap to improve your financial situation and get back to the normal payment schedule.
Thanks
James
A better option can be what is called an forebearance agreement. In this type of agreement the lender can suspend or reduce the payments for a specified number of months, say for 6 months.
At the end of that period a new repayment plan will start wherein you will have to make the usual regular payments and in addition an agreed extra amount will have to be paid to cover the previous payments.
You can utilize the six months gap to improve your financial situation and get back to the normal payment schedule.
Thanks
James