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Foreclosure Defense

Things You Can Do If You’re Behind on Mortgage Payments

By April 5, 2022April 26th, 2022No Comments

Small 3D cartoon house on a cartoon calculator.

As per Mortgage Bankers Association, around 2.19 million homeowners missed their mortgage payments in June 2021, demonstrating how the coronavirus epidemic wreaks havoc on the economy.

While it may seem simpler to ignore your lender’s calls or conceal your payments, which is the worst thing to do. You must be proactive if you want to maintain your house.


What to Do When You Fall Behind On Your Mortgage


1) Make contact with your lender

If you are behind on your house mortgage or fear you’ll be in financial trouble soon, you should contact your lender. Because foreclosure is an expensive process, most lenders will work with you if it means not having to spend the money.

They usually employ one of two methods to help you catch up on your payments.


2) Plan of Repayment

The first option is to set up a repayment plan. This is a possible option if you’ve suffered a temporary financial setback, such as a job loss, but it’s now over.

A repayment plan divides the amount you owe in missed mortgage payments by the number of months you’ve missed and adds it to your current payment.


3) Restatement and patience

If you ask for reinstatement or forbearance, your lender agrees to suspend or cut your mortgage payments for some period temporarily.

You’ll be requested to make up for all missed mortgage payments with a single lump-sum payment at the end of that period.

It’s an excellent option if you’re certain that your financial problems will be resolved by the time your repayment is due.


4) Mortgage refinancing

On rare occasions, your lender might agree to amend the terms of your present loan. For example, the lender will either decrease your monthly payment by offering you a lower interest rate or extending your mortgage duration.


5) Speak with a HUD-approved housing counselor.

Go to a HUD-approved housing counselor if you need more assistance than your lender can provide. They can assist you in sorting through options and determining which is the best choice for you. In addition, they often provide their services for free or at a low cost.

If you choose this route, be careful to do your research before working with a particular counselor. As previously stated, you should employ a HUD-approved contractor.

There are several foreclosure avoidance schemes to be aware of. Anyone who seems to want to charge you an exorbitant cost for their services should be avoided.

Upset senior couple sitting on the porch of their home with a sale sign.

6) Sell Your House

You can always sell your home if all else fails and you can’t see a way to catch up on your mortgage payments. Many homeowners in this situation would choose for a short sale to avoid foreclosure, in which the house owner agrees to sell the home for less than the amount owing.

Again, you should consult with your lender before making this decision.


7) Consider refinancing your home.

Because mortgage rates are at all-time lows, now might be an excellent time to refinance. You may be able to lower your monthly payment by taking advantage of lower interest rates.

You may save money each month by changing the terms of your loan to a more extended payback period.

Although refinancing might help you save money on your monthly payments, it is not without cost. It’s nearly certain that refinancing will set you back hundreds of dollars.

Use Credible’s free online calculator to crunch the figures and compare rates to see how much you may save on monthly mortgage payments by refinancing today.


8) Inquire about debt modifications.

You’ll need a decent credit score and adequate income to refinance a loan. You may directly negotiate with your home lender to amend the terms of your current mortgage via a loan modification. You won’t have to advocate for changes in underwriting, but you will have to convince your lender to do so. If you change your loan, your credit score may be down, and if you miss a payment, the lender may be less lenient. However, you can decrease your every month’s payments without refinancing.


9) Inquire about forbearance on your mortgage.

Mortgage forbearance allows you to cease or reduce your monthly payments temporarily.

President Biden has delayed the deadline for requesting forbearance until March 31, 2021.

Depending on your circumstances, it’s good to discuss this and other forbearance options with your lender.


10) Make a payback schedule.

If you’re still unsure what to do if you can’t make your mortgage payments, contact your lender and inquire about a tailored repayment plan.

If you can establish that your income has stabilized, your lender may be willing to work with you. They may add the amount you owe in arrears to your future mortgage payments over many months.



Millions of homeowners have been suffering financial challenges due to the pandemic. There is, however, assistance available. Most lenders are more than happy to deal with homeowners trying to rebuild their credit.

If you’re behind on your payments, contact your lender as soon as possible to see what choices you have. Vilt Law can answer your mortgage inquiries and assist you in determining whether or not mortgage refinancing is a suitable fit for your financial position.