Is time running out for you?
You don’t have an endless amount of time before the foreclosure procedure is complete and you lose your home (see our Foreclosure Timeline article). Every case is different, though. Depending on what state you live in (see our State Laws article), who your lender is, and how proactive you have been will determine whether you have days, weeks, or possibly months before you lose your home. The question you have to answer for yourself is: Do you have time to learn and apply all of the information on this site before your home goes on the auction block?
Negotiating with your lender isn’t hard…we’ve been doing it for a combined 50 years. But it does take persistence and a willingness to spend a lot of time on the phone. But no one is more motivated to save your home than you are…right?
But can you do it yourself?
The Fair Credit Reporting Act limits what lenders can disclose to borrowers about their accounts. The law was put in place to protect consumers. Unfortunately, it has also made it so banks have to be very careful about what they say to borrowers because the borrower can take them to court based on any conversation they have. This is not to say that your lender won’t discuss your loan with you or that you shouldn’t call them as early in the process as possible. If you’ve tried contacting your lender and they won’t talk to you or you don’t feel they’re dealing completely on the level with you, you may need a professional to guide you or take over for you. Your family has to decide for itself when enough is enough, though.
The bottom line is: the bank has to talk to you and try to work something out with you. So just keep pressing through the difficult times.
Where to go from here
When it comes to lenders negotiations, we’ve found three basic types of homeowners in our experience.
- Highly motivated and confident…willing to take on any obstacle and make any sacrifice necessary to keep their home.
- Highly motivated but unconfident. These homeowners want to take on the world; they simply don’t know where to start.
- Just want the problem to go away and are willing to pay someone to make it go away.
If you’re in group one, you’ve probably already contacted your lender and are progressing toward a workout solution. More than likely, you’re just researching to make sure you know what you’re getting into and trying to learn what you should expect in the future. My advice is to keep researching and keep moving forward…you are your own best advocate. If you need help or have a question, just find an appropriate article on the site and post a comment. I’d also recommend signing up for our e-mail updates so you know when something new has been added to the site.
For those in group two, I recommend getting more information by reading everything you can on our site and others. Then you should research self-help courses that will walk you, step-by-step through the process of negotiating your own loan. There are many out there and the choices can be overwhelming. We recommend the program below because the person that put the course together, Dave Dinkel, has been on the front lines of helping homeowners save their own homes or 33 years. Plus, he writes clearly so you’re never left guessing what to do next. Finally, it’s in the mid-range cost of the available products of its kind we’ve reviewed.
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November 12th, 2008 at 1:46 pm
Will the morgage company contact me?
Todd Reply:
November 12th, 2008 at 7:42 pm
They may, but it’s best to be proactive and contact them. I’d recommend you start at their wesbite and see if they have anything on there for people that are having trouble making payments. Don’t wait for them…they have thousands of people they’re dealing with every day.
January 18th, 2010 at 3:48 pm
I have been working with my loan company service provider for almost two years now. I am the primary signer on the loan, the co-signer on the loan packed up his belongings and moved out in April of 2009, leaving me to deal with the foreclosure. I was given a HAMP trial workout and met all of the criteria they asked for. I made all of the trial payments on time. Now they are telling me that unless the co-signer signs the workout papers that my house will go into foreclosure. I have no idea where the co-signer is and have told the loan servicer this from the very beginning. What can I do now?
Todd Reply:
January 22nd, 2010 at 10:55 am
I’d recommend contacting a lawyer. Things like this can typically be taken care of with a phone call from your lawyer to their legal department. If you don’t know of a local lawyer, I’d recommend checking out the National Assoc of Consumer Advocates website or see if there’s some public aid lawyers in your area that can help. Or call the nearest HUD office or Hope Now or (888) 995-HOPE. Often their counselors can make deals you can’t…trouble is getting one of the that’s knowledgeable and available to work with you.
Best of luck to you and thanks for writing.