A popular foreclosure tactic is being widely used across the nation, known as “Show Me the Note,” or “Produce the Note.” because many times the foreclosing lender doesn't even have the original mortgage note in their possession. Homeowners have the legal right to ask the lender to produce it, which generally stalls the legal proceedings and gives the borrower more time and leverage to work out a modification or other agreement with the lender.
Using the "Show Me the Note" or “Produce the Note” strategy is something all homeowners facing foreclosure can do. If you believe you’ve been treated unfairly, fight back! We're providing access to the templates needed for your legal request, a letter to your lender, and a motion to compel, in an effort to assist you through the process. For step-by-step instructions, click here
How To Stop Foreclosure
Arrange a repayment plan with the creditor – This stop foreclosure method is ideal for those who’ve only had a temporary set back. Arranging a repayment plan often includes an arrangement where the debtor agrees to pay a substantial amount of the arrears upfront and then agrees to pay the remainder of the amount owed on top of the monthly instalment. Proof of income or any other documentation to support the repayment plan will most probably be required by the creditor. Click here for more information about loan modification.
Get assistance or employ the services of a negotiator specialising in foreclosures – These individuals specialise in the area of foreclosures and the negotiation of new, often temporary, terms with the lender. This will temporarily stop foreclosure proceedings against the debtor under conditions which might include a reduction of the interest rate, increasing the length of the amortization period or anything else with the aim of reducing the required payments. HUD sponsors housing counseling agencies throughout the country to provide free or low cost advice. Click here for more information about HUD Counselors.
Deed in lieu – A deed in lieu is sometimes used to stop the foreclosure action and reduce the expense and effects associated with foreclosure. This stop foreclosure tactic means that the debtor gives the house back to the creditor according to some negotiated terms. It is often the case that there may still be a small amount due even after the property has been sold, which will then be the subject of further negotiations between the creditor and the debtor.
Short sale – Simply put, this stop foreclosure tactic means that the property is sold to a 3rd party at a price agreed to by the creditor. By agreement, foreclosures are cancelled and the debtor is left to move forward with their lives.
The above mentioned four stop foreclosure tactics are the most common and successful, although there maybe a number of others that can be attempted by individuals facing foreclosures. Be aware that, should a deal be arranged between the debtor and the creditor, there will often be a deficiency amount left to be paid after the stop foreclosure agreement has been completed.
If you have missed or about to miss a mortgage payment due to hardship ... or even if your loan already has been referred to an attorney -- please call your mortgage servicer immediately. The telephone number is on your mortgage bill or coupon book.
