With your first missed mortgage payment, you tell yourself it won't happen again. You just had a tough month with some unexpected expenses, and you'll get back on track. With the second and third, you start to realize that this is a serious issue. Eventually, that foreclosure notice arrives in the mail. It's a tough spot, but these tips can help.
1. Don't ignore it. People often feel overwhelmed and don't respond. You need to take quick action. Respond right away. Look into your rights. This isn't going to go away if you ignore it, and you could miss important deadlines.
2. Consider your options. Is there any possible way to pay off those back payments and get caught up? Maybe you were saving for vacation and you really don't want to use that money, but it may be time to break into that fund. If there is no way to do it, are you interested in filing for bankruptcy? Maybe it's time to get a fresh start. Whatever the case, look into every option so that you know what will be best for you.
3. Understand that fraud does happen. Be very careful and make sure that the foreclosure notice is real. Companies may even contact you, offering to help. Be wary of companies that ask for payment before doing anything or say you need to transfer the deed to them. It may even be wise to get in touch with your lender if you feel like something isn't quite right.
Remember, foreclosure isn't the end of the world. You can get through it. You just need to know all of your legal options for the best possible outcome.
Source: Credit, "Understanding Your Foreclosure Rights: A Consumer Law Review," Jeanine Skowronski, accessed March 10, 2017