Being in the position where your home is at risk due to mortgage default can be frightening. The bank is likely to prove unhelpful as they can make more money out of you by adding legal charges and default fees, and it’s often difficult to know where you can turn to for help.
Although you may be tempted to enlist the services of a good attorney to get a loan modification agreement from your lender, your lender is likely to tell you that this is throwing good money after bad and you’d be better-placed putting that money towards your overdue repayments. That’s confusing and conflicting information at a difficult time for you, so who is right?
It is true that a lawyer can be of help as well as comfort to you. They will help you understand your legal rights and wade through what may seem like deliberate obfuscation from your lender. They can also negotiate with your lender on your behalf, and being one step removed from the emotional side of the default, can complete paperwork on your behalf with a clear head and hopefully stop any foreclosure action. Even if they’re unsuccessful in obtaining a loan modification for you, there’s a good chance they can negotiate extra time for you to catch up with repayments.
However, there are other avenues to go down to obtain loan modification services. Even if you are unwilling to negotiate with your lender, there are independent housing counseling services, who will work on your behalf. The thousands of dollars that you would have spent on an attorney could be put towards payments you are already finding it difficult to keep up with. Even if you feel you need independent help, there are other services out there.