Upside Down Mortgage

Loan Modification Financial Hardship Letter

Question: Can you help me with writing a financial hardship letter?

My husband, 2 children and I all live in a house w/ my mother. The house is in her name. My husband lost his job a month ago and now we are being flooded with the mortgage payments. My mother works but does not make any where near what my husband makes. I work as well and I pay all the other bills, car payments, food etc. We got a letter from the bank asking for a hardship letter and other things. I want to ask for a loan modification because we have 2 loans. One is @ 7% interest the other is @ 12%. I know that if the bank can remodify our loan it will help out a bunch because I will be able to take over the payments if this happens again. Does anyone have advice for helping us with this? I don't want to lose our house.
We will be 3 months behind on mortgage payments this coming month. Also I know this letter will come from my mother. I am helping her write it.

Answer: More than anything else your husband needs to get re-employed. Even if he's making less than he made, he needs to get back to work and contributing some kind of income. Nobody is going to modify your loan without adequate income.

One question, if your husband lost his job one month ago, how are you being "flooded" with mortgage payments? I would think so far you only have 1.

Sample hardship letter

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