Before a Foreclosure Loan, Talk to Your Bank
If you are considering a foreclosure loan or reaching out to a Chicago bankruptcy attorney, remember that the earlier you go for assistance, the greater chances you have of saving your credit. Think of treating your financial problems like treating cancer- the sooner you catch and treat the problem, the greater your chances of surviving.
I know it sounds like a pretty strong analogy, because a foreclosure is not a life and death state of affairs. But it can mean the difference between life and death for your credit report. Ignoring your lender’s phone calls and pretending your financial situations don’t exist is the worst possible move you can take. The sooner you suck it up and address your problems, the better off you will be.
If it’s young in the game, then it’s not too late to save your credit. If it’s late in the game, the sooner you act, the better off you will be.
If you have recently experienced a job loss or unexpected medical bills and you know that you are to miss a mortgage payment, contact your lender immediately. If you contact the lender before you miss the payment and ask for advice about what to do next, they might be willing to give you extended terms to meet your payment or work out some other deal. Bottom line, you never know until you ask.
Don’t ignore your lender. Instead, keep the lender updated with what is occurring in your life. When you don’t talk to your lender and you omit a payment, anxiety will start to grow on both ends and the lender-mortgagor relationship will be tense.
Remember, the longer you stall, the more challenging the process is of bringing you out of debt. If you are headed towards foreclosure, there are fees and costs that are involved and that will only add to your debt.