Your Credit Union is concerned that current economic conditions may have created a challenging situation for many individuals and families to meet their financial obligations. If you are having difficulty making your mortgage payments, our recommendation is to take immediate action and call your lender or a certified housing counselor (see contact details below).

The earlier you establish contact the more options you will have available to avoid the start of a foreclosure action on your property. The longer you wait the more expensive and difficult the process is to stop. A foreclosure will adversely affect your credit rating and could impact your ability to borrow money in the future.

Whether your loan is with The Long Beach City Employees Federal Credit Union or another institution, most lenders welcome the opportunity to work with you to keep your house, avoiding the costly foreclosure process. Please remember, however, your lender is under no obligation to offer or accept a workout. When you are delinquent on the loan, the default is your responsibility and the lender has the decision whether to offer potential remedies.

Options that may be available to you based on your lender’s evaluation and your individual situation include:

1. Repayment Plan — The lender may accept an agreement to help you get current with missed mortgage payments by creating a schedule for repaying the past-due amounts.
2. Loan Modification — The lender may present an option to permanently change the terms of the mortgage to make payments more affordable. Examples include an extension to the number of years on the loan, or change an adjustable interest rate to a fixed interest rate.
3. Forbearance — The lender may allow reduced or suspended payments for a short period of time, after which another option will be agreed upon to bring the loan current. A forbearance option is often combined with a repayment plan or modification to bring the account current at a specific time.

Financial documents you will need available for discussion with your lender include:

1. A written statement explaining your financial hardship signed by all parties to the loan
2. Verification of all sources of income, including most recent pay stubs and W-2’s.  If self –employed a current profit and loss statement and/or copies of tax returns.
3. Most recent bank statement
4. A written financial statement detailing your income and expenses
5. If you pay your homeowners insurance and/or property taxes yourself please provide a copy of the most recent paid insurance and tax bill.
   

Getting Started
The most important step is to get help as early as possible. Remember, doing nothing will cause the greatest setback.

Who to Call:

If your mortgage lender is The Long Beach City Employees Federal Credit Union:

(562) 595-4725 or (800) 595-4725

If your mortgage lender is another institution:

Please contact your lender immediately

For counseling - HUD (Housing and Urban Development) certified housing counselor: (800) 569-4287