Financial hardships are all too common. A lost job, divorce, unexpected accident that leads to higher medical bills, or college tuition fees are just a few of the factors that might have made it hard (or impossible) for you to pay your mortgage. Unfortunately, financial hardships can happen to anyone. Depending on your mortgage terms, you might be able to defer a payment.
What Does It Mean To Defer A Mortgage Payment?
A deferred payment is a financial term that is used when you put off making a mortgage payment and instead choose to pay it later. It is important to note that you can defer a mortgage payment for only a short period of time.
Additionally, you will eventually need to pay the mortgage in full. Finally, you might be charged interest on a deferred payment. The interest charged will depend on your lender, and might put you further into debt or introduce other financial hardships down the road.
Will A Mortgage Company Defer A Payment?
A mortgage company will typically agree to defer a payment; however, the decision to do so will depend entirely on the lender. In many cases, the deferral can be a win-win scenario for both you and the lender, since it will help you to avoid foreclosing on your home. If you suspect that you will need to defer a payment, then you should speak with the lender as soon as possible.
With this in mind, many lenders will typically approve a deferral if you can prove that you are experiencing financial hardships. Income statements, medical bills, and termination letters can all be used as proof of your financial hardship. It is important that you also prove that the hardship is temporary. If you cannot prove that you will be able to resolve your financial hardship in a timely fashion, then your request for a deferral might be denied.
Have You Tried To Negotiate A Deal That Works For You?
You can try to negotiate a deal with your lender. For example, a lender may agree to wave your late fees once you get caught up on your missed payments. No matter the financial hardship, you will need to present a strong case for how you will resume payments in the future if they are going to allow you to defer your mortgage payment or cut you slack in another way.
By communicating with your lender as soon as you begin to experience financial hardship, you can typically make a stronger case for deferred payment. However, the decision will rest entirely in the hands of your lender, and in some cases, your request might be denied.
Skip The Stress Of A Deferred Payment By Selling Today
Missing mortgage payments can result in increased interest rates and higher levels of debt. If you want to pay off your debts, move on quickly, and avoid a foreclosure, HomeGo is here to help. A licensed HomeGo agent can make a same-day, transparent offer for your home and, in many cases, HomeGo can close on a home in as little as 7 days.
We understand that times are tough and you don’t have extra money to spend on repairs or upgrades. That’s why we purchase homes in as-is condition and never charge commission fees or closing costs.