Mortgages

How to Request a Forbearance on Mortgage

The stimulus for homeowners is still continuing. How does one request forbearance on mortgage payments? If you’re affected by the pandemic and it’s hard to keep up with your mortgage payments, mortgage forbearance can be a great way to increase the tight money flow to your household.

Currently, you can request forbearance for up to 12 months if you’ve been affected by the pandemic. Ever since the CARES Act was introduced by the federal government in March 2020, homeowners have been protected.

Requesting mortgage forbearance is going to be very beneficial to your overall household income as you won’t pay your monthly mortgage payments while not incurring any interest or late penalties.

To request a forbearance on your existing mortgage payments, you must get in touch with your loan servicer. Your loan servicer is the company you make your monthly payments. The process of each loan provider may differ from one to another so there isn’t a set answer as to how the process is like. You shouldn’t have any issues whatsoever to request forbearance though.

This stimulus for homeowners is expected to help millions of Americans financially during the COVID-19 crisis. However, you must hurry as the deadline to get forbearance is coming up.

Forbearance Request Deadline

The mortgage loan forbearance was originally due on December 31, 2020 with the CARES Act but it has been extended. If you’re seeking mortgage forbearance, you have one or two more months depending on the type of mortgage you have.

Those who have a USDA, VA, or FHA mortgage must apply for forbearance by February 28 whilst those with a conforming mortgage must apply a month earlier – by January 31, 2021. It’s best to apply for mortgage relief as soon as possible.

The initial duration of the forbearance is 180 days. If this isn’t something that’s enough for you though, you can request an additional 180 days after the first 180 days.

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button