subject: Stop Foreclosure Now - Using Loan Modification [print this page] Stop Foreclosure Now - Using Loan Modification
If you are suffering under financial distress and therefore are being threatened with looming foreclosure, you may be able to request financing modification out of your bank. Loan modifications are alterations to the conditions and terms of your loan that may often lead to reduced repayments. Lower payments can often mean you have more time to obtain your finances back on course and begin making up ground any overdue payments you may have.
Banks don't wish to confiscate your home. They actually make more profit from keeping you as a paying customer - after all, they create their profits from charging you more interest. Therefore it is only logical they would like you in which to stay your house and keep paying your loan. If this means they have to reduce your loan repayments that will help you get caught up, then they'll think about this when they really think it will help you.
Your bank is only going to consider approving a loan modification if they think that making the alterations on your loan will actively help your circumstances. This means you need to show them clearly that which you plan to do to put your finances back in order. Your plan needs to be logical, feasible and realistic. If the bank feels you are not likely to achieve any kind of progress based on your plan, then they're likely to not approve your modification request. Whenever you submit your modification request, make sure you incorporate a detailed plan of exactly how receiving modifications to lessen your instalments will help your situation.
You'll be able to have payments lowered, interest rates reduced or overdue payments rescheduled, for instance, and a good consultant can be useful in assisting you discern the very best action that you should take. They're betting that the bank wants you to keep the home around you need to do!
