Remember back when you first got your mortgage. You had to sign paper after paper after paper. You signed so many your eyes were probably blurry and your wrist was sore.
We all know that when ever you make a deal, you’d better get it in writing, obviously your lender thinks it’s wise when it’s their money involved.
So I wonder why so many homeowners think it’s ok to talk to their lender on the phone when they are having trouble making their payments? I hear this same story over and over from homeowners facing a foreclosure, they talked to someone at the mortgage company and they promised to work with them on their payments. Sometimes, the lender even gets them to make a payment or multiple payments with the promise of a future loan modification.
Then what you’d expect to happen happens, nothing.
Very often, the homeowner is talking to the collections department (though they won’t call themselves that) and thinks they have done something positive to save their home, only to find the money they sent in only went to the back-payments, there is no loan modification and they are no better off, in fact they are worse off, than they were before.
And they have no recourse because those promises weren’t in writing.
The truth is that if your lender is truly offering you a real payment solution to help you save your home, even if it’s only a temporary payment plan, they will have no problem putting it in writing. In most, cases they will do this automatically when making the offer.
This is why the banks love it when you just call in, instead of submitting your requests in writing. They have an opportunity to collect on the debt and unless you recorded the conversation, you have no proof of any promises made.
This is why it’s so important to document all communications with your lender, save all correspondence and emails they may send you. And never send them a payment without an agreement in writing, after all they made you sign when you got the loan, they obviously realize the importance of a written agreement.
If you are having trouble dealing with your lender, there are many websites offering free mortgage reviews to help you form a game plan so that you can go head to head with your lender with confidence and knowledge.