Organize Your Mortgage Information

Pull together some basic information. This includes:

• loan account number

• itemized household expenses

• short explanation about why you can’t pay your mortgage

• tax returns

• last two monthly bank statements

• homeowner’s insurance policy

• any recent documents that show your income (pay stubs; statements for Social Security, unemployment, disability, or retirement benefits; if you’re self-employed, your tax returns or current profit and loss statements)

Lenders are required to look at options that can help you keep your home and may be able to offer you special programs to make that happen. It begins with your phone call. Be honest with your mortgage company.

They’ll want to know:

• why you fell behind and what you’ve tried to do to solve the problem

• whether the problem is temporary, long term, or permanent

• how you think your financial situation will change in the short term or long term

• if any other financial issues could interfere with a solution

• if you will commit to a plan that lets you stay in your home

• what kind of payment arrangement you could handle

• if you’ll return phone calls and provide the necessary forms and documentation to the lender on time

Then, your lender will send you a loan workout package. It has good information about alternatives to foreclosure, and several forms for you to complete. Fill out the forms and return them promptly if you want to be considered for loan assistance.