| Loan Modification Guidelines |
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Loan Modification guidelines could differ from lender to lender. The most common factors are the following:
Every individual case is special. Different lenders are using a variety of considerations in determining the qualification for a loan modification. The most important is to prove a hardship. Hardship could be permanent or temporary, depending on individual circumstances. With a temporary hardship (like temporary loss of job, with new job already started; unpaid leave of absence, etc.) banks usually will consider a special forbearance, forgiving full or partial delinquent payments, fees and late charges. Permanent hardship will shift the banks attention to prove that borrower will have enough income to be able to make payments with the new modified rate and term. Like in any negotiations, opposite parties are always trying to get the best deal possible for themselves. Banks are interested in keeping their portfolio in good standing, and minimizing the risk of delinquencies. Our negotiators are well equipped with an abundance of various guidelines from the Lenders, which enables them to act in your behalf to achieve a positive resolution.
The urgency of your situation and a positive result is extremely time sensitive. If you are already delinquent, it is absolutely critical to engage in the loan modification process. It is in your best interest to engage in the loan modification process prior to a Notice Of Default being issued by your lender. Although it is possible to get help at almost any phase of foreclosure (before sale), allowable options will become limited, complicated, and expensive. It is imperative that you repair the problem before it escalates to point of no return.
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