For many people in today’s economy it is the only answer to financial woes to get a loan modification and alter the monthly mortgage payment owed. However, many people do not qualify for the loan modification, or even worse, don’t apply because the way they are told it will affect them. One of the ways that many people think loan modification will affect them is with their credit score.
Granted, in yesteryear’s world a loan modification would almost surely hurt your credit score because it was seen by the credit companies as an admittance of biting off more than you can chew. The mortgage company you were with had to bail you out because you didn’t plan your budget wisely.
In today’s economical crisis the government, and therefore credit companies, are having to reevaluate this process. The government in fact encouraged credit bureaus to start using a different code when showing loan modifications in order to give the consumer a break on their credit score.
The reason for this change was so that the government could encourage more people to get loan modifications so they would in turn have a greater chance of keeping their homes…and lives, in tact. So if you are possibly in the market for a loan modification it would definitely be worth your time, regardless of what you have heard about your credit.
Don’t waste any more time worrying about how to pay your mortgage, contact us today by phone at 813-612-5697 or 877-246-4486 or by email at Sales@TSherwoodLaw.com.
