How to avoid foreclosure
Jul 26th, 2006 by Jordan
When I worked as a debt collector for Saab Financial Services, I was always amazed at how people could just ignore their debt problems and, concurrently, act like I was being unreasonable by asking them to pay a bill that was grossly overdue. I have been, and continue to deal with low cashflow issues, so I know what it feels like. But there is one thing I understand: rent and car come first. Everything else comes second.
HUD has an article on how to avoid foreclosure, which makes on the pivotal points when dealing with debt: DO NOT IGNORE THE LETTERS FROM YOUR LENDER. Ignoring the problem does not make it go way.
The best way to deal with debt issues are to call your debtors and be nice. Ask for help. Explain your situation genuinely. Be willing to make sacrifices. Know that there is a time when you may have to cut your losses and get out — bankruptcy, voluntary reposessions, selling your house. Whatever the case may be, don’t wait until you have no other options or until your 50 days past due to make a decision. At that point, no one is going to work with you. It’s all common sense!