There are several reasons why your mortgage lender might deny your attempt to modify your loan. You might not know what to do next after being faced with loan modification denial. Our Florida foreclosure defense lawyers have helped many people through similar situations.
Please keep reading to learn about some of the most common reasons people are denied by their mortgage lender. When you are in need of support to avoid losing your home, give our office a call to set up your free consultation.
An Incomplete Application
If a lender is looking over your application and they see missing pieces or errors, they are not going to be able to approve your modification. This is because they need to get a clear look into your finances.
When you are filling out your application, make sure you are thorough and accurate as to avoid loan modification denial. Give your lender all of the information that they need in order to verify your application.
We can help make sure that there is nothing wrong with your application before we send it over to your mortgage lender. This will greatly improve your odds of being denied a modification to your mortgage loan payments.
Your Current Mortgage Payment is Affordable
As mentioned, the mortgage lender is going to verify your finances. When they have all of the numbers laid out in front of them, they are going to use that information to determine your financial situation. If they find that your original mortgage payments are technically affordable, they are likely to deny your request for modification.
If your loan modification denial is due to the lender determining that you should be able to afford the payments that you are currently responsible for, please reach out to our lawyers right away.
You Didn’t Pay a Trial Payment
If your lender is willing to let you go forward with a loan modification, they are likely going to have you go through a trial period for the new payment amount. This does not mean your loan is now permanently modified because they are looking to see if you pay this modified amount.
If you miss a payment or skip one during this period, you are likely to face a loan modification denial. They will likely see it as a liability to give you a modification and they very well might pursue foreclosure if you cannot make the trial payments.
Call Our Florida Foreclosure Defense Lawyers Today
If you need help with your loan modification denial, please do not hesitate to get in touch with our Florida foreclosure defense lawyers. We have handled many cases where people were denied by their mortgage lenders for a loan modification. This is not necessarily the end of the road for you. If you want to save your home, please call us today to set up a free consultation.