A service member, or veteran, has the same rights as any other when it comes to assistance during financial difficulties. A veteran can qualify for a loan modification, a forbearance, a short sale or a deed in lieu of foreclosure. The veteran homeowner will submit the necessary paperwork during application time for the program assistance they are seeking and go through the same approval process as other homeowners. However, being a veteran borrower does secure some additional rights and assistance. It is important for a veteran to understand their rights before going through the application process to insure the best possible outcome.
Service Members Civil Relief Act
If you are a veteran seeking mortgage debt relief, you should know about the Service Members Civil Relief Act. If your mortgage debt occurred prior to your active service, you could qualify under this act for special assistance. The benefits under this act can include:
- interest rate reduction for up to one year
- forbearance qualification
- prevent foreclosure/trustee sale proceedings for up to nine months after active duty
Veterans with VA Guaranteed Loans
If you are a veteran that is in need of mortgage debt relief and you have a VA backed loan, the VA can offer assistance to help supplement the income needed to bring your loan current if you are behind in payments. If the veteran’s loan is not backed by the VA, there are still other options. There is an organization called HOPE NOW that can assist a veteran in working with their lender to find a program that works best for the veteran.
Navigating through your options can be overwhelming. Reaching out to a professional who has experience is a great way to ease your stress. We can help you get educated and find debt relief that is right for you and your situation. If you would like to discuss your options, please give us a call at 949-413-7911 or contact us.