Predatory Lending Practices Resulted to Numerous New York Bank Foreclosures

by Donald Hanz on States

Almost every American citizen has heard this tale before – mortgage companies offering borrowers with attractive loan packages that they do not understand and these borrowers will find out too late that they have actually taken out adjustable rate mortgages. After a couple of years, their mortgage payments will balloon by almost 40 percent, leaving them with no option but to face foreclosure. The thousands of New York bank foreclosures for sale is enough proof how rampant these predatory lending practices are.

Most of these owners fail to realize that they are actually available options that they can explore to prevent or even stop foreclosure. Many owners of these New York bank foreclosures failed to arm themselves with sufficient information that could have saved them from losing their homes. If you are facing foreclosure, here are some suggestions that could help.

Negotiate with Your Lender

Many owners do not know that sitting down and talking with their lender can stop foreclosure proceedings. If you have missed even a single mortgage payment, make a point to contact your lender and discuss your financial troubles. You might be surprised that your lender is more than willing to work out a new payment plan that is more manageable for you. On the other hand, hiding from your lender will actually make matters worse. Your lender would think that you are not willing to face your mortgage obligations and pursue a faster foreclosure proceeding.

Act Immediately

As soon as you realize that you are having mortgage problems, you should not wait for things to get ugly. For starters, sort out your finances and check whether you can still find a way to pay off your mortgage debts. If money is really tight, you should probably consider selling your home at the soonest possible time. There are actually brokers like Bank Foreclosures Sale who can help you look for a buyer.

Ask Assistance

With the soaring national foreclosures rate, you should not be surprised at the many non-government and government organizations that are dispensing out helpful advice and tips so that homeowners can stop foreclosure.