If you are having trouble keeping up with your mortgage payments, here are some tips to protect yourself.
- First, contact your mortgage lender as soon as possible to discuss your circumstances. Don’t ignore the problem. The further behind you become, the harder it will be to reinstate your loan.
- Lenders don’t want to own your house and many can offer options to help you. Be prepared to provide financial information, such as your monthly income and expenses.
- Open and respond to all mail received from your lender.
- Review your original loan documents and know what your mortgage right are.
- Prioritize your spending. After healthcare, keeping your home should be a high priority.
- Use your assets, consider selling a second car, jewelry or a whole life insurance policy to generate cash to reinstate your loan.
Avoid foreclosure prevention companies and consult an attorney instead – or use counseling services offered by your lender or get free counseling from the U.S. Department of Housing and Urban Development.
