Phoenix Loan Modifications: Do You Want To Save Your Credit Or Save Your Home?

Will a Loan Modification Hurt My Credit?
I am asked this question every day. Short answer: Maybe.
Listen, banks care about one thing. Money. They don’t care about your situation unless it means they won’t be getting any money from you. If you fall behind on payments, or are at risk of falling behind on payments, then the bank will do something. Yes, you can complete a loan modification without falling behind on payments. No, you won’t save as much money as if you were behind. Would you rather save $1000 a month and drop 100 points on your credit score or save save $100 a month? I am not exaggerating. That can be the difference. If you can keep up with your payments by all means do it, but not at the expense of your emergency funds, your 401k, your credit cards, your child’s child support, etc.

I spoke with someone the other day who has drained the $30k they had in savings. It took them 6 years to get it in there and just over a year to lose it. All to stay current. Now, if their car breaks down, their child gets sick, whatever, they are screwed.

If you are having trouble making your mortgage payments, please don’t wait to call us. We can help you create a game plan. We can help you figure out if a loan modification or a short sale is best for you. (480) 389-5199