Have you fallen behind on your mortgage loan payments? If so, there are several options you might want info viagra to discuss with your lender before you consider filing for bankruptcy. Although bankruptcy may be the step that you ultimately take, it should be considered your final resort. Here’s a look at a few other options that are certainly worth exploring.

Reinstatement

With the reinstatement process, you work with your loan servicer to determine a date by which you will pay off the entire past-due amount as well as any penalties and late fees that may have been applied. This is a good option to consider if you expect your difficulties to only be temporary.

Repayment Plan

Once you are back on your feet, the loan servicer adds a fixed amount of what you owe onto each of your future payment until you have paid off the amount that is past due. This is a good option for those who have only missed a few payments and are now ready to start making payments Kamagra Gold again on a regular basis.

Forbearance

Your mortgage prescription cialis online payments are either reduced or suspended for a period of time that you and the loan servicer agree to. Once this period is over, you start making regular payments once more and you either make a lump sum payment of the past due payments or you make larger monthly payments of an agreed upon amount until the past due payments are caught up. This is a good option for people whose income is temporarily reduced, such as those who are on disability leave and intend to go back to their full time position and pay.

Loan Modification

With a loan modification, you and your loan servicer agree to make a permanent change to your mortgage contract. Loan modifications may include any of the following:

* Reducing the interest rate
* Extending the term of the loan
* Adding missed payments to the loan balance

In some cases, a lender may also be willing to reduce the amount you owe on the property. According to the Mortgage Forgiveness Debt Relief Act of 2007, the amount of debt that is reduced does not have to be included in your income when calculating your taxes, but you do have to report it on your federal taxes.

Making a loan modification is a good option for those who are facing a long-term reduction to their income. In order to pursued a loan servicer to provide you with a loan modification, you should be prepared to demonstrate that you have reduced other expenses and that you are making a good-faith effort to repay your mortgage loan.

If you are unable to work out an arrangement with your lender, you may want to consider selling your home. Of course, depending upon how much you owe on the home and its current market value, you might not be able to recover the full amount of the loan. In this case, filing bankruptcy may be the only option you have left. Just be aware that a bankruptcy stays on your credit report for ten years and that it can make it difficult to obtain credit, to purchase another home, to get life insurance and even to get a job in some cases.

Therefore, you should be sure to exhaust all of your other options before deciding to take this route.

Author Bio: Jim Olenbush is the owner of Cantera Real Estate in Austin, Texas. His team sells property in Lake Travis, Texas, and they are very experienced with Condos on Lake Travis. Jim and his team would love to answer any questions you may have about the area.

Category: Finance/Mortgage
Keywords: loan modification,mortgage payments,foreclosures