The business news is full of tales of woe. Foreclosures are looming for over-stretched borrowers. This invites the question: Is there anything that can be done to stop foreclosure?
The answer is yes, quite a few things. Here's a quick list:
1. Take legal advice from a qualified lawyer or counsellor, preferably someone with extensive experience in foreclosures.
He should be able to point to work he's done in the past. With the upsurge in foreclosures, we can be sure that a lot of barely-qualified people will be trying to horn in on making money from other people's distress.
2. Keep all correspondence and relevant documents in an organised file.
If you have to go to court, or consult with your lawyer, this will save time. You'll have the facts at your fingertips.
3. You may consider filing a lawsuit to enjoin or stop the foreclosure.
This might work if procedural errors were made in the foreclosure or in the loan origination.
4. A reinstatement.
You promise to pay a lump sum to the lender to make your payments current (up to date) by a specified date.
5. A repayment plan.
The lender adds a portion of the past due amount, to a specified number of payments, in order for the borrower to make up his arrears. This is instead of paying one lump sum covering all the arrears in one go to the lender.
6. A 'special forbearance'.
The homeowner receives a payment schedule adjustment. They may also receive a suspension of payments for a certain period of time. This can be arrived at by discussion with the lender.
No comments:
Post a Comment