Help! I Might Miss a Mortgage Payment!

Are you in danger of missing a mortgage payment? Or are you afraid that a small change in your circumstances may put you in the position of forfeiting a payment?

 

You're not alone. Usually it is a life change that forces a borrower in the position of not being able to meet a payment. Whether it's a serious illness, the loss of a job, a divorce, or an increase in the mortgage payment in the event that the interest is not fixed, or even an increase in taxes, it can really throw your well-set program into whack.

 

The first sign you are in financial trouble is the increased use of your credit card. Once you cannot pay your credit card bill in full, or have to resort to using the card to buy your groceries, or especially if you cannot settle your regular monthly bills on the due date, you know you are in trouble.

 

Inform your lending institution once you run into these problems, because the mortgage payment may not be far behind. It must be done as soon as possible, because you actually don't have much time before the lenders can react,

 

When you miss the first payment, you will surely receive a letter or a phone call from the lender. It's wise to explain your situation at this point, making sure that the phone call is being recorded, and ask for a revised payment scheme. The second month is a repeat of the first, although you may want to try to make a payment so you don't fall another month behind.

 

Missing the third month means that your mortgage must be made current or the courts will take charge. What you can do at this point is to ask for an arrangement of payments to b made so you can meet your obligations. At any point in these negotiations, you can ask for the help of a housing counselor.

 

When your accounts require legal intervention, you will be responsible for settling all attorney's fees and any other fees that will come up in the proceedings. Once this happens, you may either pay the dept in full or have your home put up for auction.