Mortgage Questions
What happens when I miss my mortgage payments?
Foreclosure may occur. This means your lender can legally repossess (take
over) your home. When this happens, you must move out of your house. If your
property is worth less than the total amount you owe on your mortgage loan,
a deficiency judgment could be pursued, meaning you would not only lose your
home, you also would owe HUD money.
Both foreclosures and deficiency judgments could seriously affect your ability
to qualify for credit in the future. So you should avoid foreclosure if at
all possible.
What should I do? -
Do not ignore letters from your lender. If you are having problems making
your payments, call or write to your lender's loss mitigation department
immediately. Explain your situation. Be prepared to provide financial information,
such as you-r monthly income and expenses. Without this information, they
may not be able to help.
Stay in your home for now. You may not qualify for assistance if you
abandon your property.
Contact a HUD-approved foreclosure housing counseling agency. Call
toll free 1-800-569-4287 or TDD (800) 877-8339 for the housing counseling
agency nearest you. These agencies are valuable resources. They have information
on services and programs offered by government agencies and private and community
organizations that might be able to help you. The housing counseling agency
may also offer credit counseling. These services are usually free of charge.
Who is my lender? How do I make contact?
Look at your monthly mortgage coupons or billing statements for the lender's
name and contact information.
I don't remember what type of mortgage I have. How can I find this information?
Look on the original mortgage documents or call your mortgage lender.
Do I need to keep living in my house to qualify for assistance?
Usually yes, but call your lender to discuss your specific circumstances
and get advice on options that may be available.
My employer has already announced layoffs in the coming month. What can
I do now?
You have started learning about available options here. Now, figure out
if a layoff will make it hard for your family to make your mortgage payments.
If so, consider other resources you have to pay your mortgage. Review your
spending habits and see where you can reduce spending. If you have a lot
of other debt, consider contacting a nonprofit, consumer credit counseling
agency. Take advantage of any help your employer offers. If you still believe
you will have trouble making your mortgage payments, contact your lender
right away.
What are the key points to remember?
Don't lose your home and damage your credit history
Call or write your mortgage lender immediately and be honest about
your financial situation
Stay in your home to make sure you qualify for assistance
Arrange an appointment with a HUD-approved housing counselor to explore
your options toll free at (800) 569-4287 or TDD (800) 877-8339
Cooperate with the counselor or lender trying to help you
Explore every alternative to keep your home
Beware of scams
Never sign anything you don't understand. And remember that signing
over the deed to someone else does not necessarily relieve you of your loan
obligation
Act now. Delaying can't help. If you do nothing, you will lose your
home and your good credit rating!
What precautions can I take? -
These precautions can help you avoid being "taken" by
a scam artist:
Don't sign any papers you don't fully understand.
Make sure you get all "promises" in writing.
Beware of any sales contract that assumes the loan where you are not
formally released from liability (responsibility) for your mortgage debt.
Check with a lawyer or your mortgage company before entering into any
deal involving your home.
If you're selling the house yourself to avoid foreclosure, check to
see if there are any complaints against the prospective buyer. You can contact
your state's Attorney General, the State Real Estate Commission, or the local
District Attorney's Consumer Fraud Unit for this type of information.
Will I be responsible for any out-of-pocket expenses if I am approved for
a workout option?
You may have to pay expenses such as recording fees for a loan modification.
Because every situation is different, contact your lender for more information.
But, if a lender has no contact with you and has to start foreclosure, you
may have to pay very high legal fees. To avoid this, call your lender as
soon as you realize you might have trouble.
Mortgage lenders
The mortgage lenders listed below have voluntarily joined the federal government
to assist homeowners who are concerned about the future or have suffered
due to recent changes in the economy. If your lender is listed here, you
can help protect your home by contacting them immediately!
Lender Phone #1 Phone #2
Bank of America (800) 846-2222 (716) 635-2264
Chase Home Finance (800) 848-9136
Chase Home Finance (800) 526-0072
ext. 533 (800) 527-3040
CitiMortgage (800) 926-9783
Countrywide (800) 763-1255 (800) 669-4576
HSBC Mortgage Corporation (800) 338-6441 (888) 648-3124
Irwin Mortgage Corporation (888) 444-6446
James B. Nutter & Company (800) 315-7334
Midland Mortgage (800) 552-3000 (800) 654-4566
Mortgage Service (800) 449-8767
National City Mortgage (800) 367-9305
Principal Residential Mortgage, Inc. (800) 367-6448 (800) 962-4450
Wells Fargo Mortgage (800) 766-0987
Wendover Financial Services Corporation (888) 934-1081 (800) 436-1022
Washington Mutual Home Loans, Inc. (866) 926-8937 (800) 254-3677
Click here to go to Mortgage resources for more information that might help
you in regards to mortgage refinancing or mortgage help in general.
