Eight Ways to Avoid Foreclosure
This year, you can expect more Americans foreclosing on their home.
This will make the recession tougher to handle, but you can avoid becoming another victim in the foreclosure crisis.
Just be sure to make your payments on time and remember these eight tips if you fall behind: 1.
Stay away from foreclosure prevention companies.
You don't need to consult a third party and have them communicate with your bank.
It is better to speak with your bank yourself, if you are behind in payments.
Consulting a third party would cost you money that you could you to pay your home mortgage.
2.
Stay active When you are in debt, never ignore it.
Ignoring it would increase the chances of you going into foreclosure.
You can negotiate a smaller payment with your lender, if need be.
3.
Sacrifice and Liquidate If you need cash fast to pay your mortgage, remember that your personal assets, such as automobiles, jewelry, antiques and electronics all have monetary value.
Although it may be personally difficult to sell them, your lender may see this as a willingness to pay off your debt.
4.
Never ignore your lender You should always keep communication open with your lender.
This can be done by telephone, mail, or email to prevent sudden surprises from popping up.
5.
Choose what is more important and budget wisely In a case of foreclosure, having a home is very important.
Therefore, it should have the highest priority over things you can do without for awhile, such as dining out, buying jewelry or cable.
Be sure to budget yourself as well.
The best way to do that is to arrange your highest priority by cost and importance.
6.
Study the laws of foreclosure yourself As you are paying your bank or lender, be aware of the laws that protect you, your privacy and your finances.
Each state has different laws about foreclosure, so do your research to avoid foreclosure.
7.
Contact HUD for assistance If you can't seem to keep up with your payments, ask the U.
S.
Department of Housing and Urban Development for assistance.
Their counseling extends to all areas of home ownership, and they can teach you about foreclosure laws in your area.
8.
Beware of impostors One of the worse ways you can lose your home is to fraud.
There are numerous reports of swindlers who claim to help families avoid foreclosure but take their money instead, putting their unsuspecting victims in more of a financial crisis.
If you suspect something not right, contact your local authorities, the better business bureau or your state's attorney general office.
This will make the recession tougher to handle, but you can avoid becoming another victim in the foreclosure crisis.
Just be sure to make your payments on time and remember these eight tips if you fall behind: 1.
Stay away from foreclosure prevention companies.
You don't need to consult a third party and have them communicate with your bank.
It is better to speak with your bank yourself, if you are behind in payments.
Consulting a third party would cost you money that you could you to pay your home mortgage.
2.
Stay active When you are in debt, never ignore it.
Ignoring it would increase the chances of you going into foreclosure.
You can negotiate a smaller payment with your lender, if need be.
3.
Sacrifice and Liquidate If you need cash fast to pay your mortgage, remember that your personal assets, such as automobiles, jewelry, antiques and electronics all have monetary value.
Although it may be personally difficult to sell them, your lender may see this as a willingness to pay off your debt.
4.
Never ignore your lender You should always keep communication open with your lender.
This can be done by telephone, mail, or email to prevent sudden surprises from popping up.
5.
Choose what is more important and budget wisely In a case of foreclosure, having a home is very important.
Therefore, it should have the highest priority over things you can do without for awhile, such as dining out, buying jewelry or cable.
Be sure to budget yourself as well.
The best way to do that is to arrange your highest priority by cost and importance.
6.
Study the laws of foreclosure yourself As you are paying your bank or lender, be aware of the laws that protect you, your privacy and your finances.
Each state has different laws about foreclosure, so do your research to avoid foreclosure.
7.
Contact HUD for assistance If you can't seem to keep up with your payments, ask the U.
S.
Department of Housing and Urban Development for assistance.
Their counseling extends to all areas of home ownership, and they can teach you about foreclosure laws in your area.
8.
Beware of impostors One of the worse ways you can lose your home is to fraud.
There are numerous reports of swindlers who claim to help families avoid foreclosure but take their money instead, putting their unsuspecting victims in more of a financial crisis.
If you suspect something not right, contact your local authorities, the better business bureau or your state's attorney general office.
