Government liquidating foreclosed homes
The SCRA covers all active duty service members, reservists, and members of the National Guard while on active duty.
Under the SCRA, if a service member is on active duty, mortgage lenders can't foreclose on or seize property for failure to pay.
For a list of resources, please visit the Resources for Distressed Homeowners section.
There are many steps a servicer must take before they can foreclose on your home.
The SCRA notice doesn't mean it is too late to apply for a modification or other foreclosure prevention options. Your lender might be willing to rewrite the terms of the homeowner's loan to address a delinquency. A loan modification may be able to make your monthly payment more affordable.
It is a long-term solution for when the original payments are unaffordable. A forbearance or a repayment plan are temporary agreements that may help stop the foreclosure process.
However, if you are current, you will have to show that you are at risk of imminent default. A default in payment brings you closer to foreclosure and damages your credit score.
To cure, you will need to make all your missed payments to the lender before the cure period ends.
The bill excludes from the final discharge of a debtor from all debts any unpaid portion of such a claim as reduced.
The federal judicial code is amended to prescribe standing trustee fees regarding certain payments received under a Chapter 13 bankruptcy plan.
Watch out for those who makes promises and ask for payment of upfront fees.
Such offers are likely fraudulent and against the law.