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Foreclosure - Tips On Increasing Your Chances Of Help From The Lender

While you may know your situation inside and out, your lender does not. And you probably do not know too much about how the collection department and the loss mitigation department work and think. If you could get inside their minds or at least sit in on their trainings and office meetings then you would have the upper advantage.

You would know what it is that the lender is looking for when they are evaluating an account and borrower. Even though there are standards that the mortgage company has in place, not everything is black and white. There is always a little room for gray.

Realize Who Is In Control

Even though the agent in the collection department or the loss mitigation department is not the absolute final say in everything, he or she has some pull. Decisions on whether or not you should be approved for such help as a repayment plan is often times based on what they think about you, if they believe you, and if they believe that you are really going to be able to keep up with the account.

If you upset the wrong agent, you could be looking at being denied for a repayment plan. You could take it to a manager but most of the time, as long as the agent did not do anything legally wrong they will back up the agent. This is because it is the agent on the front lines and it is the agent that you are speaking on the phone with that is used to determine who should and who should not receive assistance.

Remember, not everyone is going to be approved so if you are, you are lucky. Also, keep your attitude in check. Even though this is a rough time for you, you are not entitled to assistance. Any programs the lender offers is strictly a bonus and a bonus that can be kept from being offered to you.

Pull The Heart Strings

During your conversations with the agents of the loss mitigation department or the collections department, you may find that you are picking up a little bit of the personality of the agent. If you have children or if someone in your home is very ill, make sure that you are letting it be known.

There is nothing wrong with fully explaining your situation since it is going to be something that can help get you approved for assistance. Do not overdo it, though, as the agent could pick up on the fact that you are trying to get one over on him or her.

Go Over Your Own Financial Information First

This is probably the biggest piece of advice out there. It is something that very few people do and they generally suffer for it. If you are talking to the collection department for a repayment plan, they want you to tell them the truth about your financial situation.

The thing is though, if you sit down and really give some time to the lender, they may find that you are either breaking even with your income or you are in the red.

This will mean that they most likely will not approve you for a repayment plan. In order to make sure that they do not deny you your chance of bringing your account current, you will want to make sure that you are giving them the information that they want to hear.

Some people make the mistake of pretending like they have an incredible amount of money left over each month, thinking that this will be in their favor. What happens though is that the mortgage company will wonder why it was that you actually had trouble and fell behind if you did have all of that extra money.

Then again, they could start to believe that you are lying to them, which will not make your case very good. Your odds of getting their full attention and any help from them could be limited at that point.

Go over your income and your expenses. When it is all calculated, you want to have enough left over every month that equals at least a third of a mortgage payment. If you do not naturally have that much money left over at the end of every month, you need to figure out how you can make it happen.

Once you have all of that figured out you can then call your lender and go over your financial information with them. Even though it may seem like a lot of extra work, it is precautions such as this that will ensure that you get the help that you need in order to save your home.

The Condition Of The Property

Many people find it shocking that the collection agents or the loss mitigation department of their mortgage department ask what the condition of the house is in. There are two main reasons why this question is asked. The first is simply to update the account in case the information is ever needed for foreclosure purposes.

The second reason would be to intimidate someone. Many people fear that the bank is looking at taking their house very soon when they are asking these questions. Do not let this fear get to you.

Be honest about the condition of the house. If you tell them the property is vacant and it is falling apart, you may be in for a surprise when a company shows up to put locks on your door.

When mortgage companies are led to believe that the house is vacant and in danger of being broken into or damaged, they will try to secure their interest in the property by placing locks on it. This is something that is legally allowed when a home is in the middle of a foreclosure.

Tell the truth. Do not lie about how bad the property is thinking that this will prevent the mortgage company from foreclosing on the home. What you need to remember is that the bank does not want your home they want your money. The want repaid the money that they allowed you to borrow along with the interest that you have to pay back to them.

Don't Threaten To Hire An Attorney

While it is well within your legal right to contact and hire an attorney, it will not do you any good if you are in foreclosure for legit reasons. All you would be doing is wasting money that could have otherwise been spent on the mortgage payments to bring you up to date or to at least start you on a repayment plan.

The threats of calling an attorney are not going to scare the mortgage company that has not done anything wrong. The last thing you want to do is to be the enemy when you are going to need them for assistance to pull out of foreclosure.

You want to make sure that you are working with the mortgage company as much as you want them to work with you. Getting angry with the loss mitigation department or the collections department is not going to do you any good.

No matter what it was that happened, it was not them personally that allowed your payments to go past due. They are simply trying to do their job and if you go along with them, they may be the key in getting you out of foreclosure.

Do Not Ignore The Phone Calls

Many people find that they simply cannot bear to hear their mortgage company calling anymore. The thing is though they would not call a couple times a day if you would just pick up the phone. Even if you do not know what you are going to say or when you will ever be able to pay the amount you owe, keep the communication open.

By doing this, you are showing the mortgage company that you are not running away from your responsibility. Also, when the time comes that you are prepared to take part of a repayment plan or some other way to bring the mortgage account out of foreclosure, you will not face resistance.

Lenders look poorly upon those who ignore their endless efforts of trying to communicate. The lender will place phone call after phone call and send letters advising that they need to speak with the borrower but everything is left ignored.

Then suddenly, when the borrower has some money, they call in and demand a repayment plan that they have come up with. If you truly want help from your lender and you want to save your home from foreclosure then you do not want to do any of that.

Just make sure that you are following the rules of the game and you should have no problem getting yourself and your mortgage account back on track.