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Why You Shouldn’t Trust Your Mortgage Company If You Are In Foreclosure

When you are in a foreclosure, it’s anyone’s bet what you’ll hear from your lenders.  When their money is on the line, rest assured that lenders will do anything and everything they can do to protect it.  Consequently, there is one simple reality that will rear its ugly head in almost every circumstance: when it comes to keeping their financial interests protected, your lenders will not always tell you the truth. 

Many people facing foreclosure make the mistake of trusting their lenders on a host of lies that end up being detrimental to homeowners when everything is said and done.  These lies cost homeowners valuable opportunities to fight the foreclosure or buy some extra time to catch up on payments.  Some common lies that homeowners hear are “we can only help you if you’re 90 days late” or “if you are in a loan re-modification plan, we won’t foreclose.”  Others might hear, “we don’t want your home and want to keep you in it.” 

The fact is that although you should stay in contact with your mortgage company, you shouldn’t believe anything they tell you unless it is in writing first.  And while you should be as up front as possible with your lenders concerning your situation, know that anything you say or do could be used by them to facilitate the process of taking your home.  This is why it is important to speak with a foreclosure defense attorney when you are facing the threat of foreclosure.  It might be the best defense you have in a situation when big corporations and lenders are only looking out for their best interests and bottom lines.   

Three Mistakes To Avoid if you are Facing Foreclosure

The foreclosure process can be a frightening one.  When a family is faced with potentially losing their home and having their lives uprooted, it is often a devastating time.  During foreclosure – more than any other time – it is crucial to keep a level head and realize that “this, too, shall pass.”  But while the process is happening, there are at least three mistakes you should avoid to increase your chances of coming out on the other side of the chaos with your health and wellbeing (and your home!). 

1. Handling it alone

The laws relating to foreclosure are complex and constantly changing.  If you try to handle the process on your own, you will certainly be at a disadvantage—unless you are a foreclosure defense attorney.  If you aren’t, then you should hire one.  Foreclosure defense attorneys know the process, can easily navigate it, and will be your most powerful asset when facing foreclosure. 

2. Moving out

You will find that in a foreclosure, a bank or mortgage company will tell you anything and everything to make sure that they come out on top in the situation—and this includes lies.  People falsely assume that just because a bank tells them that a sale date is scheduled, that that’s it—there’s nothing to do but move out.  This is far from the truth.  If you move out, you may give up your right to apply for a loan modification or short sell, or one of the many other options available to you.

3. Ignoring your summons

When banks and lenders sue for foreclosure, the homeowner usually only has 20 calendar days in which to respond.  Ignoring the summons doesn’t make the problem go away; it just means that you will lose your available recourses to save your home.