Marc Cormier - WHERE DO I TURN? A COMPASSIONATE GUIDE TO AVOIDING FORECLOSURE

• If you have an FHA loan, call the FHA National Servicing Center at (877) 622-8525. • For military veterans, the U.S. Department of Veterans Affairs offers several assistance programs. For example, the Servicemembers Civil Relief Act may help you obtain a lower interest rate for a year or less, and VA counselors can often work with your loan servicer to find foreclosure options. Eligibility for a specific program may depend on whether you have a VA or conventional loan and when you incurred your mortgage debt relative to your military service. Contact the Department of Veterans Affairs at (877) 827-3702 or visit www.benefits.va.gov/homeloans. • You can also take advantage of aid programs such as: Medicaid, SNAP (food stamps), and heating assistance. This may not go directly to paying your mortgage, but the extra money will free up your budget allowing you to keep up with your mortgage payments. The Benefit Finder at Benefits.gov can help you find and apply for programs in your state.

TAPPING YOUR RETIREMENT FUND

If you have a retirement fund with some money, you can choose to make an early withdrawal and use the money to pay what you owe your lender. If you have a Roth IRA, you can also withdraw money from it and not have to pay extra taxes or any penalties. However, if you have a traditional IRA or 401k, you’ll be charged taxes and penalties for making an early withdrawal. Tapping into your retirement fund may set you behind on your retirement savings, but this is better than losing your house. You can work on catching up on your savings once you are back on track with your mortgage.

46

Powered by