| Remembering the Important Things about a Loan Modification Hardship Letter |
Don't be worried about writing a hardship letter when you are applying for a loan modification application. Read this article and follow the tips and you will move closer to having your home loan modification approved.
Writing a loan modification hardship letter is not as difficult as it seems. This letter is a chance to tell your story so your lender knows why you can't afford our payment, what interest rate would help you and how you plan to recover financially and pay your loan. This seems like a lot to include in one letter, but it really isn't. You, and several homeowners like you, just need a tutorial on writing these letters.
First of all, there are some circumstances lenders accept as reasons for financial hardship and there are circumstances that they will not. Here are some acceptable hardship reasons:
* Loss of a job
* Imprisonment
* Death in the family
* Theft of your identity
* Medical bills
* A decrease in income
* Divorce
* An increase in interest rates
* Failure in your business
Your financial difficulties could be due to one of these reasons, but you might have other reasons that are more complicated or unusual. Whatever the reason, you need to let your lender know why you are experiencing hard times.
There are some things your letter should include. These are:
* How did it happen that you slipped behind in your payments
* How well did you manage your payments before you experienced hardship
* The biggest problem paying your mortgage has caused you
* How you will pay your mortgage after the modification
* Your desire to work with your lender so you can keep your home
It is very important that you include all these points in your hardship letter. This article has been written so you will know what to include in your letter and what you should avoid.
It is very important that you structure you letter in a way that makes your situation very clear and states what you need and your action plan. Do not go on and on about any one of these areas. This might be a very emotional situation for you, but for your lender, this is strictly business. They do not want to know every detail of your life. They just want the overall picture and to know the bottom line which is how they will get their money.
Watch the tone you are sending. Do not whine or complain. The truth of the matter is that your sad story is not going to help you get a loan modification. Being truthful is very important, be has honest as you can be when you are writing your hardship letter. Your lender will check your claims. If it turns out your have lied, even in a small way, your application will be rejected.
Use this basic outline to get started and go from there:
Begin with your personal information such as your loan number, your lender's name and your address and phone number.
In the first paragraph, explain why you are sending the letter. Mention the interest rate you are paying right now and request the rate you need.
In the second paragraph, refer to any special or extenuating circumstances that explain how and why you got behind on your payments.
In the third paragraph outline exactly what you want for the lender and how you plan to get back on track financially. Make sure your lender knows you are willing to work with them.
This article was intended to help you get started writing your loan modification letter. Know what you want to say, say in concisely and stick to the facts.
For essential tips and facts about how to get approved for a Loan Modification, Visit our simple, no nonsense loan modification guide and resource: http://MortgageModificationLoan.net/
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