What You Should Know First Before You Modify Your Home Mortgage
Mortgage modifications in the United States have been occurring at a snail's pace. The Obama Administration were taken back by the unexpected low number of modifications, particularly so, when you take into consideration the high number of homes in foreclosure status. Why? The first thought is that it must be the banks slowing the process, after all, banks are known to be slow and deliberate at times. No, it's not the banks that are at fault. It's the cumbersome process that's partly to blame in obtaining a mortgage modification. The other part of the problem are the high fees charged by many Mortgage Modification companies, but that's changing.
There were many companies offering modifications making false promises, and charging thousands of dollars for nothing. That's usually what many of the victims received. Worse yet, because they paid the high fees they were left on a perch in the worst recession this country has ever experienced. Most victims lost their homes because they paid the fees instead of the mortgage payments. Some were even told not to pay their payments because being delinquent was part of the justification for a mortgage modification. Of course the mortgage payments went, instead, to the mortgage mortification company. These are the stories that have now turned into cases for many Attorney General's throughout the country.
The Industry has been cleaned-up considerably by legal actions. The mortgage modification companies that are still around today are for the most part legitimate, and they are all headed by Attorney's at Law. In fact, many attorneys today are adding to their general practice mortgage modification departments. So, if you have an Attorney you should check first with his/her Law Office for your assistance in getting your mortgage modified. The fee just might be considerably less than the fees charged by a modification company with an expensive high-powered marketing program that has to be accounted for in their fee schedule. Whatever your decision, check first with the Better Business Bureau, and/or the Attorney General's office.
There is another alternative, a much less expensive way, to getting your mortgage modified that has been rapidly gaining popularity. You can download software provided by a software company and do it yourself. It's really no different than the Attorney sending you the forms to fill out and the same questions that must be answered. Some say the software is even more comprehensive than the process many modification companies employ. And the feed back is that the banks actually prefer the software method because it puts the borrower directly into the process of the loan modification. It can be easier and faster. The process, really, when you think about it, amounts to getting a new mortgage, and you've already done that without spending thousands for assistance. Getting your mortgage modified amounts to more paper work, and the thousands saved with a mortgage modification is time and effort well spent. You may qualify for a mortgage modification without even knowing it, check it out. For information about finding the software try contacting C.A.P.P., Citizens Against Predatory Practices. CAPP is a political action group that is also a referral agency, and recently they've been directing people seeking modifications to Mortgagemodwizard.com.