Conventional Loans

If you’re having difficulty making your mortgage payments on a conventional home loan, you have several options available.*

Repayment plans

If your loan is past due for one, two or three payments because of a temporary financial setback, you may qualify for a repayment plan. You must be able to make the monthly loan payment and pay an additional amount toward the past due amount each month until the loan is brought current.

Forbearance agreement

If you can’t make a loan payment or you’re more than four payments behind on your loan, you may qualify for a forbearance agreement. This formal repayment plan may extend more than three months. You’ll need to complete a Financial Analysis Form and send us copies of your last two pay stubs to verify your income.

HomeSaver Advance

If your loan is past due for two or more months due to a temporary hardship that has been resolved, you may qualify for a HomeSaver Advance. This is a monetary advance to cure the delinquency resulting in a separate unsecured loan for the arrearage amount. You will need to send us copies of your last two pay stubs to verify your current income.

Loan modification

If you can’t pay your past due loan payments, but you can meet your monthly obligations, we may be able to modify your loan by adding the delinquent interest and delinquent escrow payments to your loan balance to bring your loan current. Your current mortgage interest rate must be within market guidelines. If you have any additional liens against your property, the lien holders must be willing to subordinate their interest to the new loan amount. You’ll need to complete a Financial Analysis Form and send us copies of your last two pay stubs to verify your income.

Home affordable modification program (HMP)

This alternative is similar to the loan modification mentioned above. The delinquent interest and escrow payments will be added to the loan balance to bring your loan current. With the HMP, the terms of your loan are modified to make your mortgage payment more affordable. You will need to complete a financial analysis form and send us copies of the last two pay stubs for all borrowers on the loan to verify income.

Short sale

If you wish to sell your property, but the net proceeds from the sale won’t pay off your loan and you can’t afford to pay the shortage, the investor may allow you to sell your home without paying the entire amount due You will need to complete a Financial Analysis Form and send us a letter requesting a short sale.

Deed in lieu (DIL) of foreclosure

If you don’t qualify for any of the previous alternatives and you don’t have any additional liens against your property, you may be able to deed the property directly to the investor to avoid foreclosure. You’ll need to complete a Financial Analysis Form and send us a letter requesting a DIL.

*Important: There may be additional qualifications not mentioned here due to space limitations. Please contact our Default Department at 1-866-350-8884 for more details.