The threat of foreclosure can be challenging and stressful. Economic hardships and unexpected events can destroy your financial stability and place you in situations you never would have expected. Before your home is foreclosed, it would be a good idea to speak with a representative about the FDIC Foreclosure Prevention Programs.
Foreclosure Counseling
The Federal Deposit Insurance Corporation (FDIC) provides financial backing to many foreclosure-prevention programs. The first step is to speak with a foreclosure counselor regarding your situation. There are many foreclosure counseling resources, including the Homeownership Preservation Foundation, HUD Counseling Services, NeighborWorks America, Fannie Mae Counselor Search and the National Foundation for Credit Counseling.
Program counselors are well-informed mortgage counselors who can analyze your budget and situation to help bring you current. The services are free and come with no obligation.
Modifications and Refinancing
Several FDIC programs help foreclosure-threatened homeowners by assisting them in completing loan modifications and refinances. HOPE for Homeowners is designed to help those who are at risk of default refinance their mortgages into better-suited loans that provide more affordable monthly payments.
The Making Home Affordable Program is designed to stabilize the housing market by reducing mortgage payments to affordable levels. The program handles both loan modifications and refinancing for individuals who have purchased their homes through a Fannie Mae or Freddie Mac program.
The FDIC also offers the Loan Modification Program for Distressed IndyMac Mortgage Loans. This program is designed for homeowners who have a first mortgage through IndyMac Federal, a bridge bank created to manage assets and liabilities of the failed IndyMac Bank. The program helps make loan payments affordable and increase the value of distressed homes.
Military Relief
The FDIC offers a special program for military homeowners facing mortgage distress called the Military Personnel Mortgage Payment Relief and Protection Program. The program falls under the Foreclosure Provisions of the Servicemembers Civil Relief Ac, which provides foreclosure protection to active military personnel who acquired mortgage obligations before enlistment or before being ordered to active duty.
The act provides protection for members of the Army, Navy, Marine Corps, Air Force and Coast Guard, as well as officers of the Public Health Service and National Oceanic and Atmospheric Administration, military reservists ordered to active duty, inductees under the Military Selective Service Act and National Guardsmen called to active duty for more than 30 consecutive days.
Tags: active duty, loan modifications, ordered active, ordered active duty, payments affordable
