Homeowners facing a financial hardship situation may be eligible for a loan modification under the government’s bailout plan.  A loan workout is being offered to those borrowers who can prove that they are facing financial difficulties and are at risk of mortgage default.  The federal government has set standard guidelines for banks to use when determining which homeowners may be eligible for government assistance.

A financial hardship situation can be due to many reasons, however the loan modification program has basic acceptable guidelines and many borrowers will fall into one of these categories:

1. Loss of income/employment:  if your income has decreased due to less hours, or you have changed employment resulting in a lower monthly income, you may be eligible for a loan modification.
2. Medical expenses:  some borrowers have increased expenses due to medical bills/expenses.  This is a valid hardship reason.
3. Divorce/separation:  Life changes that have impacted your ability to repay your mortgage may be an acceptable hardship for loan modification.
4. Military service:  deployment or other service related issues that are causing a hardship may be considered
5. Increased Expenses:  using credit cards to pay living expenses may result in much higher monthly bills, making your mortgage unaffordable.

Know the 3 critical elements of a hardship letter

These are just some of the acceptable hardship reasons for a loan modification.  You will be asked to write a brief explanation of your financial situation and sign an affidavit of hardship.  There are three critical areas to cover in your hardship letter-writing a good convincing letter will help your lender decide if you are indeed qualified for a loan modification.

Not sure how to qualify for a loan modification?  Need help writing a great hardship letter?  Loan Mod Quick App software takes the confusion out of preparing your application.  This helpful tool takes the guesswork out of qualifying by figuring your debt ratio, target payment and other important calculations for you.  Why take chances with your application?

Prepare your application correctly!

Simply input your unique financial information into the Loan Mod Quick App and it calculates it all for you!  You can save hours of time and avoid costly mistakes.  The Complete Loan Modification Guide kit is the best selling do-it-yourself system that includes the software, handbook, forms and much more. Visit myloanmodificationcenter.com and order today-Immediate download!