If you are having a hard time making your current mortgage payment, then a Wells Fargo Loan Modification may be right for you.
In a loan modification, your mortgage company, in this case Wells Fargo, renegotiates the terms of your loan, generally by either lowering your interest rate or extending the life of your loan to make the payments more affordable. Once your loan is modified, both you and your lender are bound by the terms of the new agreement, and they cannot change, unless you further modify you loan. Loan modifications can be beneficial to both the bank and the homeowner. If you have insufficient funds to make your monthly mortgage payments, the bank can do a number of things including send you to collections and attempt to foreclose on your home. This however is not beneficial to your lender, as either way, they run the risk of not getting their money, or in the current housing market, taking a loss on the sale of your home. Modifying the terms of a borrowers loan is mutually beneficial as it allows the bank to get their money and the homeowner to stay in their home. Additionally, if you contact your lender as soon as you realize you may have difficulty making your monthly payment, they may be willing to modify your loan before you ever miss a payment, ensuring that you do not hurt your credit score. Continue reading ‘Mortgage Modification Tips – Wells Fargo Loan Modification’ »