Moving is always a fresh start, a new beginning and overall wiping the slate clean for many. However when we are forced to moved, such as in the case with a foreclosure, life can not only be dauntingly emotional, but quite plainly pretty ugly. Avoid foreclosure with the tips provided below:
Make up those payments. If you are one of the many Americans that is behind in their payments, talk to your lending institution and asking for forbearance, or working out an affordable payment plan.
Missed payments spread out over long term Lenders may let you add a divided amount on top of the monthly payment that you already owe to pay back a behind amount. This is called a repayment plan.
Forgiving a payment If you can agree on a way that you will be current after missing payments (and don’t have the means to pay it back) your lender may give you a break and waive your obligation, or also known as debt forgiveness.
Back payments added to your loan balance. If you have good or acceptable equity and meet the lenders lending guidelines, the lender may increase your loan balance to include the back payments. This is called refinance.
Change the terms of your loan. If your mortgage is an adjustable loan, the lender might freeze the interest rate before it increases or change the interest rate to a more manageable rate for you. This is called a note modification.
Make a separate loan to you Government loans sometimes contain provisions that let borrowers who meet the criteria apply for another loan—which will pay back the missed payments. This is called a partial claim.