Posted on: 24th Jun, 2010 03:52 am
Hello!!!
My Friend is having a Mortgage loan. He is doing a job in Sales-Marketing, His salary is being paid as a Mortgage Loan Installments. Still He has to pay Installments for 7 years. But now he is not getting good salary.
Now the problem is that what will happen if he couldn't pay any of the installments. What should he do now? Is there any way that can save his home, Is there any predefine time duration is given to the borrower to pay installment. How much time will be given him to pay the installment ? What kind of legal Action might be taken if he couldn't pay the installment within the given time duration ?
What he should do to make his Mortgage Loan secure ? Is Refinancing way to reduce the risk of Mortgage Loan?
My Friend is having a Mortgage loan. He is doing a job in Sales-Marketing, His salary is being paid as a Mortgage Loan Installments. Still He has to pay Installments for 7 years. But now he is not getting good salary.
Now the problem is that what will happen if he couldn't pay any of the installments. What should he do now? Is there any way that can save his home, Is there any predefine time duration is given to the borrower to pay installment. How much time will be given him to pay the installment ? What kind of legal Action might be taken if he couldn't pay the installment within the given time duration ?
What he should do to make his Mortgage Loan secure ? Is Refinancing way to reduce the risk of Mortgage Loan?
Hi hardikvagadiya,
If your friend is unable to pay the mortgage dues on time, then the lender will foreclose the property in order to recover the dues. If your friend is facing severe financial hardship, then he can contact his lender and apply for a loan modification. If the lender accepts his request, then he will be able to lower his mortgage payments. However, in case of a mortgage modification, the loan term can get increased.
Thanks,
Jerry
If your friend is unable to pay the mortgage dues on time, then the lender will foreclose the property in order to recover the dues. If your friend is facing severe financial hardship, then he can contact his lender and apply for a loan modification. If the lender accepts his request, then he will be able to lower his mortgage payments. However, in case of a mortgage modification, the loan term can get increased.
Thanks,
Jerry
Thanks for your reply,
but can you tell me what the Loan Modification actually is?
What actually process will be followed to Modify the loan?
and what will it impact on Mortgage Loan?
Thanks!!!
but can you tell me what the Loan Modification actually is?
What actually process will be followed to Modify the loan?
and what will it impact on Mortgage Loan?
Thanks!!!
You can check out the link given in Jerry's post. It will give you a detailed information about loan modification. Depending upon your financial situation, the lender will modify the rates and terms of your loan so that it becomes affordable for you to pay off the mortgage dues.