If you have a foreclosure looming you need to find out if a loan modification is a solution to stay in your home.  When you work with your lender to modify the terms of your loan so that you can afford the payments, a foreclosure can be avoided.  The federal plan, Home Affordable modification, is available to qualified homeowners and features aggressive options that result in a low affordable payment.  Could you qualify for help under this program?  If the foreclosure clock is ticking, you need to find out about your options now.  Here is some information to help you.

Even if you have applied previously or been turned down for a loan modification, you may be eligible for Obama’s plan.  You are entitled to apply and must be considered for eligibility if your lender is participating.  How do you find out if your bank offers this program?  You can either visit their website or call the Loss Mitigation department.  If you qualify, the foreclosure will be stopped and get to stay in your home with a new affordable payment.  Here are the basic requirements for loan modification approval:

• You must live in the home as your primary residence
• Your loan must have been taken out prior to January 1, 2009
• The loan balance must be less than $729,750
• Your current house payment (including taxes, insurance and homeowners association dues) must equal more than 31% of your gross monthly income

If you can meet those requirements, you may be able to stop foreclosure with a loan modification.  Your interest rate could be reduced to as low as 2%, and your missed payments could be included in the new loan.  The first step is to contact  your lender and ask to be considered for the Home Affordable Plan.  Be sure that you are prepared to complete the application forms correctly and can provide the required documents to your lender so that your answer is not delayed.  When you prepare a correct and complete loan modification application you are giving yourself the best chance of success. 

For more information please visit: http://www.floridalawattorney.com

ankruptcy is a state in which an individual is declared financially distressed and not in a position to pay off debts as they fall due. Its important for one to know when to file a petition for bankruptcy. One has to look for a financial adviser who will help him weigh the various options available.

For one to file for bankruptcy, in case it is done voluntarily, you must also submit a copy of your financial statement to show how you are fairing financially. Under the liquidation chapter the assets of the debtor can be sold off to cover the debt. This will be done with the help of an appointed trustee who auctions the assets of the debtor.

He then divides the proceeds amongst creditors who have genuine claims against the debtor. It is important to note that however much the debtor may be willing to have the property auctioned, not all property is treated as assets. Some property such as domestic property or items that help one to make a living may not be treated as assets for auction.

Your house may not be sold off if it is under mortgage but other assets such as land or a house that has been fully paid. Vehicles are also considered as assets as long as they are fully paid for. It is however important to find out from a financial adviser whether certain items can be considered as assets. Unlike in the past, pensions are no longer considered as assets. 

For more information please visit: http://www.floridalawattorney.com