Knowing What to Say And Who To say It To Can Make Or Break A Loan Modification
The icing on the cake is that when your lender finally does contact you. It may be the collection department again offering you a payment plan instead of a modification. If you do not know the difference you may resign yourself to higher payments, higher rates, or even a sizable balloon payment. All of this time you may still be receiving collection calls.
Most Lenders Are Backed Up For Months Issuing Loan Modifications
With understaffed departments because of budget constraints, loss mitigation departments are on overload trying to keep up. When they have to deal with educating customers on top of assisting them it only compounds the problem.
Waiting Too Long May Cost You Your Home
Many of our clients come to us after they have attempted a DIY loan modification. Under the best circumstances they have not signed off on a payment plan that includes higher payments, rates, or impossible terms just to keep their home another few months. In the worst circumstances they have waited until only a day or two before their foreclosure sale date and we can do nothing for them but watch them lose their home.
Credit Counseling Agencies To The Rescue?
Much of the news media has been touting the fact that you can use non-profit credit counseling agency to help you with your loan modification. Recent legislation that bears the standard of helping homeowners avoid foreclosure sends the homeowner to "approved housing counselors" to receive help in obtaining a home loan modification.
Who Are "Approved Housing Counselors"?
In your search for an "approved housing counselor" you may find such names as Consumer Credit Counseling Services, Acorn Housing,
or Hope Now. Many of these organizations are funded by the same banks and lenders that precipitated the housing and credit crisis. In some cases the contributions form the lenders to these organizations are predicated on the amount that consumers pay the lenders under a suggested payment plan. |
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How Effective Are These"Approved Housing Counselors"?
In the case of the Hope Now Alliance which includes many of the "approved housing counselors" they released information that said they they had been responsible for over one million "loan workouts". Unfortunately for the homeowners the majority of the "loan workouts" were payment plans which are NOT loan modifications but the type of agreement that typically favors the lender with little or no reduction in payment or interest rate.
Is it a coincidence that a " lender funded" organization would negotiate the vast majority of it's "loan workouts" in the favor of the lender. You decide. For a more in depth look at what is really going on with these "approved housing counselors" you may want to read the following April 2, 2008 Article in Mortgage News Daily.
The Old Adage That You Get What You Pay For Still Holds True.
Hiring A Professional Loss Mitigation Service
At Heartland Loss Mitigation we work for our clients' interests not those of the lenders. Our staff consists of professionals that have years of experience in the mortgage industry and real estate. We know how to get our clients real loan modifications NOT payment plans. We know how to get into the loss mitigation department of a lender and are experienced at stopping foreclosure sale dates. We have experience, knowledge and work on loan modifications for our clients all day, every day, and we get paid for it. The reason that we get paid for helping our clients save their homes is because;
We Have A Track Record Of Success
If you need professional help in reducing your payments, interest, or principle, we can help. Our fees are reasonable and our staff is experienced and professional. Contact us to see if you qualify for one of our loan modification programs.We will be happy to give you ALL of the details about our services and let you decide which route to go.
