Real Estate Hardship Assistance
Are you having difficulty making your mortgage payments?
Acting quickly in the face of financial hardship will offer the best options to avoid the start of a foreclosure on your home and potential damage to your credit score. Long Beach City Employees Federal Credit Union can provide assistance to members who are experiencing financial difficulty with paying their loans. As your lender, we would rather work with you to help you stay in your home, than go through the foreclosure process.
In all cases, we strongly urge you to stay in touch with a Credit Union representative. We will be able to discuss your options more fully and review the type of action plan for you. Call to speak with a Credit Union mortgage representative toll-free at 877-296-8728.
If you have a financial hardship, we may be able to provide temporary assistance that will keep you in your home, including:
- Repayment Plan: We may accept an agreement to help you become current with missed mortgage payments by creating a schedule for repaying the past-due amounts.
- Workout Plan (Modification): We may present options to temporarily change the terms of the mortgage to make payments more affordable. Examples include an extension to the number of years on the loan, or a change to the rate to lower your payment during your hardship.
- Forbearance: We may allow reduced or suspended payments for a short period, 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.
- Short Sale: If affording a home is no longer an option, then a short sale may be an option. A short sale would allow you to sell your home even if the mortgage balance exceeds the value of the home.
To start the process, Call the Mortgage Department toll-free at 877-296-8728. You will be asked to do the following:
- Explain your situation (What has changed since you opened the loan)
- Advise your Credit Union representative of your intentions regarding your loan
- Prepare a Hardship Letter (specify the Reason for Delinquency and your plan of action for sustaining your new payment arrangement)
These items are required to be considered for possible Hardship Assistance on Real Estate Loans:
- Hardship Letter (specify the Reason for Delinquency and your plan of action for sustaining your new payment arrangement)
- Copy of your most recent paycheck stub or proof of income
- List of Monthly debts & expenses - Personal Financial Assessment Form
- An estimate of an affordable Monthly Payment amount
- Your most recent bank statement
- Copy of your homeowner’s insurance policy
- Copy of your last 2 years federal tax returns, all pages and schedules
- Signed 4506 and 4506T IRS form
Additional Resources
(800) 569-4287 - HUD.GOV - Avoiding Foreclosure