What is loan modification exactly?
This is when your lender agrees to a permanent revision of the original terms of your loan to enable you to easily make your monthly payments. It may include longer terms, a reduction in your principal
Why will my lender agree to modify my loan terms?
Foreclosures can be costly and with the decline of real estate in the country, banks have become more accommodating in offering repayment options to mitigate losses.
Can it stop foreclosure?
Keeping you in your home is one of the goals of loan modification. As soon as you contact your lender to discuss a loan workout, the process of foreclosure is brought to a halt and your loan may be brought fully current.
What situations are accepted as signs of hardship?
While it can vary from case to case, lenders generally consider the following in offering loan workouts: divorce, death of a spouse or co-borrower, medical bills, job relocation, and military service.
How do I know if I’m qualified for the program?
Your qualification depends mainly on your payment history, the number of payments you’ve missed, and your total outstanding balance. For a more thorough analysis, get in touch with our specialists to find out what your options are.
Can I still apply for loan modification even if I’m not delinquent?
Yes, if you’re at risk of missing payments in the future.
What happens to my missed payments?
Missed payments and other fees can be added to your new loan balance and spread out through the agreed term to make it more affordable for you.
Do I need someone to represent me?
Not necessarily. You may choose to hire the services of a debt reduction law firm, however, to aid your communications with your creditor.
Do you have more information on this?
Yes, we do. We regularly update our articles section to include budgeting tips and debt management information.
How do I avail of my free consultation?
Simply call us toll-free at 1-888-370-2468 or email us, our debt analysts will then get in touch with you within a day.
