Rants and Ramblings

Loan Modification - Two Difficulties Charter and don'ts


The loan modification process is often difficult and emotional. This is particularly true when it comes to writing the hardship letter constitutes an essential part of the application. Fortunately, these two simple and does not help you file a letter to be compelling, accurate and effective.

Do not put some thought into it. Your loan modification is probably the only thing standing between you and the bankruptcy or foreclosure, so not just something off script. Writing carefully, look, and make the hardship letter as best you can.

Do not ramble. You have to be clear and concise. If you need more than a few pages, consider whether you will too. A couple of pages outlining things in order, will be easier to understand, and more convincing than a dozen unplanned.

Is being emotional, but only to a point. A touch of detail about the circumstances that affect things will be more convincing. Too much, just do not change things in a tirade to be taken into account.

Do not make threats. In particular, they threaten to declare bankruptcy if they do not get what he wants. It will not help convince the bank to do nothing but accelerate the process of foreclosure and debt recovery.

It includes a budget. Show the bank that you have thought about your situation changes and it is expected that in areas beyond a loan modification. Make it clear that reason can not make payments because you are simply spending money you do not have.

Do not lie. It may be tempting to exaggerate their circumstances, but do not. The bank will soon discover, and can seriously damage your chances of getting a loan modification you need. Be honest, and you'll soon find your debt much more manageable.