Foreclosure – Dodging the Sword

Like “the Sword of Damocles,” the threat of foreclosure hangs over any mortgaged home until the mortgage is paid off. Fall behind on a few mortgage payments and your mortgage lender could foreclose.

Foreclosure is the process by which a lender or mortgage company vastly accelerates the monthly payments into one lump sum; declaring the mortgage immediately due in full. If you can’t pay the entire cost of the mortgage at the time of foreclosure the lender can seize your home and resell it.

If your former home is resold for less than the cost of your mortgage at foreclosure you’ll be responsible for the remaining unpaid balance. You could end up homeless, in further debt and have your credit destroyed – all in one fell swoop.

Despite the grim possibilities surrounding a potential foreclosure, don’t panic if you think you may miss a mortgage payment. Even if you’re in a financial slump there are many things you can do to avoid foreclosure.

The first thing you should do is consult with an attorney to find out what your legal rights are. You may need legal representation to ensure your rights are upheld. You should also contact the U.S. Department of Housing and Urban Development (HUD) at 1-800-569-4287. HUD can provide you with the phone numbers of many reputable housing counseling agencies. The agencies can give you vital information on housing assistance programs offered by the government, private institutions and community organizations.

Luckily for borrowers, most mortgage lenders don’t like to foreclose on homes. If your home is repossessed the lender takes the risk of not recouping the full mortgaged value of the home at resale; a prospect no lender looks forward to.

Before you ever acquire a mortgage you should find out if any of your potential lenders will be flexible with you if you ever end up in a financial crisis. The best lenders will work with you to help you get back on track and start making regular mortgage payments again.

If you end up having difficulties making your regularly scheduled mortgage payments you need to reply to any and all letters the lender may send you regarding the status of your loan. Ideally, you should contact your lender as soon as possible if you have any problems making your mortgage payments. Request the contact information for the lender’s loss mitigation or foreclosure department for further assistance.

If you can provide documentation to support your claim of financial hardship your lender may be able to provide you with some alternatives to help you get back on track in paying off your mortgage.

Some of these alternatives include:

Repayment Plans

If you qualify for a repayment plan, your lender may allow you to add a percentage of your missed payments to your monthly payment once you resume making your regularly scheduled mortgage payments.

Mortgage Modification

If you qualify for a mortgage modification you can refinance your mortgage, extend the term of your loan or both. This will allow you to pay lower monthly payments.

Special Forbearances

If you qualify for a special forbearance you may be able to reduce or even suspend your mortgage payments for a few months. You may qualify if you lost your job, have your income cut or your living expenses drastically increase.

Partial Claims

If you have a mortgage insured by the Federal Housing Administration (FHA) or Veterans Administration (VA) and your loan is between 4 months and 1 year overdue, your lender may file a partial claim with HUD. You may qualify for an interest free loan to pay off your late payments if you can afford to resume regular payments. HUD will place a lien on your home for the amount of the loan, payable when you either pay off your mortgage or sell your home.

Whatever you do, don’t move out of your home if you’re having problems paying off your mortgage. You may be disqualified for payment assistance if your home is considered abandoned.

If you end up way over your head financially and won’t be able to save your home, even with assistance, you can minimize the financial damage of foreclosure proceedings by doing one of the following:

Holding a Pre-Foreclosure Sale

If you qualify for a pre-foreclosure sale you can try to sell your home for fair market value and your lender may forgive any remaining mortgage balance if your home sells for less than you paid for it. HUD may reimburse the lender if you qualify for a pre-foreclosure from the agency. To qualify, your mortgage must be at least 2 months overdue and your income must be cut or your expenses increase due to no fault of your own. Under a pre-foreclosure agreement, you may have anywhere from 3 to 5 months to sell your home before foreclosure takes place.

Giving Back Your Home

If all your available options have failed you may qualify for giving back your “deed-in-lieu of foreclosure.” You will lose your home but your credit won’t be as negatively impacted as it would if a foreclosure took place.

Whatever you do, you should explore every available option to avoid foreclosure on your home. If you can’t “dodge the sword” of foreclosure, the consequences may negatively impact your life for years to come.

The Lemon Laws And Your Dodge 6.7L Cummins Diesel Vehicle

A number of Dodge truck owners are aggravated with frequent mechanical problems that are related to the new technology used in these vehicles. Those vehicles affected include Dodge Ram 2500 Cummins 6.7 diesel trucks for the years 2007 through 2010 and the Dodge Ram 3500 Cummins 6.7 diesel trucks for the same years. A number of product defect law firms have received requests from owners of these vehicles, asking for legal representation and assistance. The problems experienced include stalling, a check engine light that stays on, and many other issues reported by the owners of these vehicles.

Dodge RAM trucks which come equipped with the 6.7 Liter Cummins turbo diesel engine have been causing big headaches for Chrysler, because of defects and needed repairs in the model years 2007 through 2010. A frequent complaint is that the check engine light comes on without any cause and the owner ends up taking the vehicle to the dealership for repairs under the vehicle warranty. Common issues seen by dealers include transmission problems, fire hazards in the engine bay area, faulty computer controls for the engine, problems with the emission systems, and even issues with the turbo components.

There have been a number of technical service bulletins issued by Dodge due to problems with this engine control software, and also some regarding soot accumulations in the turbocharger which is excessive and may result in problems with the emissions of the vehicle. There are lemon laws in place under the product defect liability laws, and if you are the owner of a 2007-2010 Dodge Ram 2500 or Dodge Ram 3500 with Cummins diesel engine and have experienced problems with your vehicle then you may be entitled to receive cash compensation. In addition there are experienced lawyers who will take your case on a contingency basis, which means the lawyer only receives payment if you receive financial compensation.

Dodge issued a Fire Recall Alert concerning 2007 and 2008 Dodge Ram 2500 and Dodge Ram 3500 trucks with Cummins diesel engines. The company received fourteen reports of fires which started in the engine bay compartment. These fires were caused by material used for noise insulation that sagged down and came into contact the exhaust gas recirculation cooler for the diesel engine. The solution to this problem is a simple bracket installation. This recall notice covered more than one hundred thousand vehicles. Another recall for Dodge Ram 2500 and 3500 trucks equipped with a 6.7L diesel engine for model years 2007, 2008, and 2009 was issued by Chrysler due to emissions, and this was the Chrysler Emissions Recall J35 Letter. This specific problem affected the Engine Control Module, and the solution was to have this module reprogrammed at a dealer facility.

If you own one of these vehicles and have experienced any of these problems or others then you should call a lemon law attorney as soon as possible. If your vehicle experienced problems due to a product defect then you could be eligible to receive monetary compensation for all of your time, aggravation, and expense. The Chrysler Group, LLC is the defendant in a class action lawsuit which was started in January 2010, and you may be entitled to be included in the group if you own one of the affected trucks. Unless you contact an attorney experienced in product defect laws you may not even realize you have a case. There is no charge if you do not recover, so you have nothing to lose and everything to gain. An experienced attorney can help you recover the money that you deserve, with no risks involved.

Adult Bullying, Tips For Legal Loitering & Other Interesting Book Titles

It all started when my wife was pregnant and we were at Border’s. We were walking by the help desk and I stopped and asked the employee to look up a book title for me. “Excuse me, but I’m looking for a book entitled, “How to NOT be a Dead Beat Dad.” This obviously embarrassed my wife, but I got great enjoyment out of watching the employee type in the ridiculous title in the computer.

I was referred to visit their Family section. I got such a kick out of it, that I make it a habit to ask for interesting sounding titles whenever we head over to the book store. If your like me and find the book store a little stuffy and boring, this may be a good way to add a little excitement to your next visit.

Excuse me, but what section can I find…

“Adult Bullying-Tips for Successful Bullying Late in Life”

“How to Pressure Your Kids into Excellence”

“Puppy Mills-How to dodge regulations and the ASPCA”

“Road Rage Techniques and Success Stories”

“Why it’s not OK to cry” A Children’s Book

“The Benefits of Smoking Cigarettes”

“I have my Art History Degree, now what the heck do I do?”

“Legal Loitering”

“How to approach your wife when you just got fired for obsessively looking at internet porn on company time”

“Organ Harvesting For Beginners”

“6 ways to sneak book store books into the restroom”

“Oops I slipped. Who can I sue and for how much money?”